Financial Planning Coalition Responds to New Jersey Bureau of Securities’ Pre-Proposal to Adopt Fiduciary Standard

The Financial Planning Coalition (“Coalition”) – comprised of Certified Financial Planner Board of Standards (“CFP Board”), the Financial Planning Association® (“FPA”), and the National Association of Personal Financial Advisors (“NAPFA”) – on December 14, 2018, submitted a comment letter to the NJ Securities Bureau on the pre-proposal to adopt a state-based fiduciary standard for personalized investment advice.This comment letter echoes many of the points made by John Crosby, CFP®, ChFC, CLTC, CRPC, on behalf of the Financial Planning Association, in testimony on November 19, 2018 before the Bureau.

The Coalition’s position on a fiduciary standard for personalized investment advice is based upon the real-world business experience of the more than 82,000 CFP® professionals who are stakeholders and members of the Coalition organizations. Importantly, CFP® professionals provide fiduciary-level services across business models – as investment advisers, broker-dealers, and insurance agents – and across compensation models – including commission and fee models. It is this unique perspective the Coalition brings to the discussion about the proper standard of conduct for investment advice.

Read full comment letter here.