The Financial Planning Coalition is calling for legislation that would designate an oversight body to oversee the financial planning profession – and it wouldn’t be FINRA.

The coalition said the oversight body would set standards of ethics and competency for financial planners and would establish rules to promote the ficuciary standard of client care when providing financial planning services.

In a proposal announced Monday, the coalition said FINRA should not be considered as the regulatory authority for financial planners as it is a membership organization for the broker/dealer community. It would consequently have an inherent conflict of interest and a lack of expertise in a profession that provides comprehensive financial advice under the fiduciary standard of care.

The coalition – comprised of leaders from the Certified Financial Board of Standards (CFP Board), the Financial Planning Association (FPA) and the National Association of Personal Financial Advisors (NAPFA) – issued the following statement:

“In the wake of the financial crisis and with widespread distrust in Wall Street, now more than ever the public needs to know that those who offer financial advice are competent, ethical, and committed to the best interests of their clients. As part of comprehensive regulatory reform of the financial services industry, we believe it is time for Congress to take bold steps to enhance consumer protection by establishing common-sense, practical regulation of those who advise on financial matters.”