Standards of Professional Conduct

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The purpose of the Certified Financial Planner (CFP®) Board’s Standards of Professional Conduct, effective January 1, 2007, is to make certain that an individual’s conduct does not reflect negatively upon the profession of Certified Financial Planners. Included in the standards are: code of ethics and professional responsibility, rules of conduct, financial planning practice standards, disciplinary rules and procedures, and candidate fitness standards. These standards establish character and fitness standards to promote and protect the integrity of the CFP® designation.

M I S S I O N S T A T E M E N T

The mission of Certified Financial Planner Board of Standards Inc. (CFP Board)

is to benefit the public by granting the CFP® certification and upholding it as

the recognized standard of excellence for personal financial planning.

In order to establish the highest standards within the industry, the CFP Board adopted seven principles to outline the ethical and professional ideals expected within the CFP® profession. These principles serve as a foundation for the Board’s Disciplinary Rules, Practice Standards and Rules of Conduct. The principles also define the professional and personal responsibilities certificants’ have to their clients, co-workers, employers and the public.

The seven principles defined in the CFP Boards Code of Ethics and Professional Responsibility are integrity, objectivity, competence, fairness, confidentiality, professionalism and diligence. In my opinion, the first principle, integrity, is the foundation of any relationship, business or otherwise. Due to the private nature and intrusiveness of financial planning the establishment of trust, honesty and candor is essential. In fact, fiduciary res...

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... last five years, more than one judgment lien, revocation or suspension of a non-financial professional license, suspension of a financial license, felony conviction within the last five years or any felony conviction of a violent crime. The Candidate Fitness Standards reduce discreditation of the CFP® brand by eliminating candidates with a history of weak character.

In conclusion, the Certified Financial Planner Board has established the mark of CFP® to one of the highest designations in the industry of financial planning. The Standards of Professional Conduct serve as an industry-wide excellence that helps set the bar, maintain and promote the field of financial planning. Periodic revisions, constant diligence to over-site and a continued value on ethics and professionalism will ensure the future integrity of the CFP® designation.

Works Cited

CFP standards

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