IFIC’s recent Canadian Mutual Fund Investor Survey found that investors are very satisfied with their advisors and prefer to pay their fees indirectly
Regulators’ proposals to impose a best interests standard would be “duplicative and confusing”
How will removing embedded commissions enhance the client experience? And how will a fiduciary standard work exactly?
By eliminating incentives, we’re driving down excellence by rewarding minimum expectation
The conflicts of interest in selling products with embedded commissions are enormous, as evidence shows
Banning a specific type of compensation will not magically turn abusers into non-abusers. They will just find new ways to abuse
Client's best interest not effectively achieved by a specific rule or regulation
Implementing a best interest standard and leaving the oversight of advisors to the existing regulators is not a viable option
As the U.K. reconsiders rules banning embedded commissions, Advocis reaffirms its commitment to both raising proficiency standards for advisors and embedded compensation
It’s worth reviewing the experience of the U.K., where advisors have faced higher proficiency standards since 2013
John De Goey’s response to Advocis fails to address how clients will suffer if many have to leave the business
It seems contradictory to ask for both the retention of embedded fees and higher standards for financial advisors
To protect clients, Advocis supports a new professional accreditation for financial advisors. Failure to do so will leave regulatory gaps.
Transparency issues are being addressed by CRM2
A recent report finds most people prefer the commission model
Only regulating the title “financial planner” still leaves consumers at risk
Where are the safeguards to ensure fee-based advisors aren’t collecting a fee for doing nothing?
Gross is not saying that advice shouldn't be paid for; he is only saying that the investment advice that investors receive should be unbiased of…
Greg Pollock’s rebuttal to Neil Gross is bang-on. It gives hope to many hard-working advisors preparing to leave the industry
Both Pollock and Archibald gloss over the pre-eminent concern in this discussion: that embedded compensation unequivocally causes bias
Financial advisors should have a regulatory structure similar to those of lawyers, accountants, dentists and other professionals
There needs to be a national organization that governs financial planning with ethics and educational standards