Fundamentals Flashcards
Practice Standard characteristics
The Practice Standards ALWAYS Apply (even in limited scope engagements).
If the scope of the engagement is limited to specific activities, no written agreement is required.
The Disciplinary Committee of the CFP Board relies upon the Practice Standards to determine if the Rules of Conduct have been violated
The Practice Standards are organized based on the domains of financial planning
If the practitioner is unable to obtain sufficient and relevant quantitative information and documents to form a basis for recommendations, the planner should either restrict the scope of or terminate the engagement.
The planner should make a reasonable effort to assist the client in understanding the client’s current situation, the recommendation, and its impact on the ability to meet the client’s goals, needs and priorities.
It is the Client’s responsibility to determine which recommendations should be implemented.
CFP Board’s Code of Ethics
includes Principles that are aspirational in character.
