Future Of Financial Advice Report

The general objective of this policy paper is to deeply understand the latest and most influential financial reforms and the current financial environment in U.S through relatively comprehensive analysis with regard to the Dodd-Frank Act. In doing so, I move forward to provide some suggestions on improving the relevant legislature.

Just Graduate’s financial planner, Just Graduated has a job and makes $32, 000 after tax per year and he has a $25, 000 school loan. Student debt is to be paid off and monthly combined expenses of $2, 000 every month, with rent. Just Graduated has no credit card and is look for help to help him manage his financial expenses.

This paper is an analysis of the Financial Planning and Advice industry and the Department of Labor’s recently finalized law regarding the definition of an “Investment Advice Fiduciary”. The secondary focus will be on the company Robinhood Financial, LLC.

Analysis: The second largest United States financial firm, Wells Fargo was accused of having dishonest business practices. The company was fined for putting pressure on its investment brokers to sell loans to their clients (Zacks, 2016). This type of business is dishonest as well as unethical for any business. Morgan Stanley’s approach was to have internal sales contests and provided cash incentives worth up to $5,000 for selling securities bases loans (Zacks, 2016). This type of loan is an asset based loan which allows the investor to borrow cash against their securities. As many as 30 advisors took into the practice internally and the company reached $24 million in new loan assets (Zacks, 2016).

The reasons why the regulatory framework is exists is to describe the Financial Services Commission of Ontario (FSCO), how the FSCO fulfills its mandate by achieving regulatory outcomes, FSCO’s core regulatory activities and the principles that FSCO follows when conducting regulatory activities. In the financial services that FSCO regulates, expectations are one of the things that play a very important role. All the customers expected to be treated nicely, fairly and their money from the future pension must be secured. They expect more financial products and more services that should meet the public’s needs from FSCO. The regulatory framework will do its job by summarize the expectations of FSCO from businesses or some individuals that work

With 10 years of brokerage experience under his belt, Stan Smith knows that sometimes it’s better to be small, instead of being known by all. In an industry overflowing with specialists vying for their next commission check, Smith understands that close-knit client relationships are the foundation for any successful retirement solution. Taking on each task with a full admiration of family values and the importance of your future, he emphasizes the value of a dollar; and takes every step necessary to ensure that yours is not lost.

In more recent times, Australia has seen two major waves of financial reform. The first wave, in the1970s and 1980s, involved a major deregulation exercise which transformed

Notably, PS 7.5 places great significance on the on financial planner’s duty of loyalty towards their client and the “not to profit without informed consent rule”. (Australia, 2013) (Government, 2011) Mr Nguyen and Mr Gillespie consistently generated excess individual profits through the intentional disregard of their client’s involvement. PS 7.6 deals with the suitability of services rendered towards the client’s specific wants and needs. The high degree of commonalty exhibited in the risk profiling of their clients expresses the lack of professionalism shown by Mr Nguyen and Mr Gillespie, as well as an evident conflict of interest. The actions of Mr Nguyen and Mr Gillespie are also in direct violation of the rules relating to PS 7. Both parties actively engaged in fraudulent behaviour, consistently deceiving and misleading their clients, in order to gain financially (Adele Ferguson, 2013).

More complex services that require advice are offered through direct contact with our employees. Their solutions and advice are firmly rooted in our purpose to promote a sound and sustainable financial situation.

Even though the departments offer different services, they all contribute to the overall goals of the firm. They mainly deal with issues relating to securities trading and selling. The purpose of this report is to provide a comprehensive outlook of the retail and institutional sales department. The central function and responsibility of the department is to provide investment advice, obtain securities orders from individual and institutional or corporate clients and marketing services (Besley & Brigham, 2014). Some of the principal customers include insurance firms, banks, government and private pension plans corporate retirement plans among others (Downes & Goodman, 2003). The operations and processes at the retail wing are focused on individual clients who are interested in buying and selling stocks, mutual funds and bonds. In particular, daily operations in the department entail buying and selling of securities, offering investment advice and the provision of the marketing support for investment brokers. Representatives who work in the department also answer and respond to customer queries through telephones calls and emails from customers and mailing marketing literature and surveys to retail and institutional clients (Lee & Gabriel,

Since joining Merrill Lynch in 2012, Matt’s primary focus has been around delivering for his clients. He joined The Schalk DiLeonardo Group in 2013 as a registered client associate and his role was to deliver the highest level of client service. Matt currently serves as the financial planner of the practice and is passionate about understanding his clients’ needs. He strives to offer a holistic approach to a client’s retirement, education, investment and estate planning goals. He believes that in order to offer the best advice, he must know his clients on a very personal level – from their family, hobbies to their aspirations.

Throughout this document, I will be using various numbers and concepts under the assumption that they represent your financial position. In truth, these numbers are meant to be fluid and may change with time depending on the course of events in your life. Reviewing the document carefully to understand the underlying concepts

In the aftermath of Financial Crisis of 2008 that was caused by poor regulation of the finance industry Dodd Frank was passed. As part of Dodd-Frank, The Consumer Financial Protection Bureau (CFPB) was created to enforce federal consumer financial laws and protect consumers in financial marketplaces. Its’ mission is ensuring financial markets work for consumers and responsible providers for the benefit of the economy as a whole. In pursuit its mission it aims to protect consumers from illegal, deceptive, unfair and/or abusive practices. In order to achieve these goals, the CFPB works to empower consumers by creating tools, answering questions and providing advice to help them understand their choices and shop for the deal that best fits their needs. It also promotes financial education at all stages of life which improves financial outcomes. It publishes research in support of better policies. It also educates financial companies about their obligations under the law. It has the authority to propose new rules that are in the public interest as well as take action against predatory practices. The CFPB also allows consumers to file complaints, and monitors financial markets for risks.

The ASIC’s objectives are set by the Australian Securities and Investment Commission Act 2001. First objective is to maintain, facilitate and improve the performance of the financial system and the entities to reduce business costs, and the efficiency and development of the economy. The second is to promote confident and informed participation of investors and consumers in the financial system. The third is to administrate the

The Financial Conduct Authority (FSA) said that customers had been ‘ given misleading and unclear information about the policies’. And the new financial markets regulator said that the