One of the best ways to stay out of hot water is to learn from the mistakes of others. That’s the theory behind National Ethics Bureau’s Rogue Advisors feature, which appears monthly in Senior Market Advisor‘s Market Conduct & Suitability e-newsletter and on SMA’s website. Now there’s another valuable resource: Case histories from the CFP Board of Standards that illustrate what can happen when an advisor violates legal or ethical standards.
“The CFP Board is opening its file cabinets,” said CFP Board CEO Kevin R. Keller. “The ultimate goal of putting this sensitive information online is both to improve our transparency as a standards setting body for the financial planning profession and to provide a new user-friendly resource to our CFP certificants,” he said.
By going to the board’s case history page, you can search by type of disciplinary outcome, keywords, standard violated and type of disciplinary matter. Although the case histories are anonymous, reading them can help you see where other advisors have crossed the line into unethical or illegal conduct–and how they were punished.