Quote:
Originally Posted by retiredguy123
I don't think being a fiduciary has anything to do with charging a maintenance fee. But, if he advised clients about their qualified retirement account, such as an IRA, a 401K, or 403B accounts, then the advisor is required by Federal law to act as a fiduciary. This is a law created by the Department of Labor. See Post No. 33 for a link to the law's requirements.
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Here is Mr. Whitaker’s problem (among others):
All ChFC and CFP are fiduciaries, regardless of who they advise. Mr. Whitaker is a ChFC. Therefore, Mr. Whitaker is a fiduciary. Mr. Whitaker can’t turn on and off his fiduciary duties like a light switch. The ChFC takes the following oath-
From the American College of Financial Services:
Becoming a Chartered Financial Consultant® involves taking the Professional Pledge, which reads:
"In all my professional relationships, I pledge myself to the following rule of ethical conduct: I shall, in light of all conditions surrounding those I serve, which I shall make every conscientious effort to ascertain and understand, render that service which, in the same circumstances, I would apply to myself."
“This commitment to a fiduciary duty shows your prospective and existing clients that you will always place their needs above your own. In a world where clients must choose between working with independent advisors, large brokerage firms or even no advisor at all, your willingness to hold sacred the best interest of your clients will help you gain a competitive advantage and secure a book of business that trusts you, depends on your expertise, and sticks around for the long term.”
I wonder what dollar amount of GWG L-bonds Mr. Whitaker personally owns.
As you can see, Mr. Whitaker likely has many dark days ahead.