The CFP Board's fee-only controversy rolls on
A week has not calmed the waters surrounding the CFP Board's handling of who is — and who is not — allowed to claim fee-only status on the board's website. Reporter Mark Schoeff Jr.'s Page 1 story last week about the CFP flap continued to elicit strong feelings from readers online. And no matter what their opinion is regarding the CFP fee-only designation, most seemed to agree that the CFP Board had taken a heavy-handed approach to the controversy. Stay tuned.
“This is like a microcosm of what's wrong with our government and the bickering between the Senate and House. For those who can't say "fee only,' I say, so what? Get over it. Clients don't care. You explain to each one, "I'm only charging you a fee, there will be no commissions in our relationship.' BAM, it's done, no more issues.”
“I agree with Eric Reinhold's comments. Just do the right thing for your clients. The client comes first and that has been my motto for as long as I have been a CFP (since 1992).”
“The author's use of the word "fee-only' when describing NAPFA only adds to the confusion. It is great that NAPFA defines fee-only as 98% purity ... I think that the public assumes "only' to be 100%. IN, develop a standard: Does "only' mean "almost' or what?”
“I am getting a little tired of Ms. Florence stating that she and Mr. Goldfarb were not given the opportunity to come clean in the same way as the CFP Board has given that opportunity to all of the wirehouse brokers and NAPFA members who were in violation. Ms. Florence should be concerned with the opportunities that she was given vis-à-vis the Camardas, not an event that took place years after her case was adjudicated privately.
I would love to be a fly on the wall as the CFP Board attempts to spin this fiasco.”
— CT Yankee Cynic
“This is overly convoluted and entirely unnecessary. People at the CFP Board should look in the mirror and, quite honestly, be ashamed. Almost everyone on the planet has paid a commission at some point or another. Ever bought life insurance? You paid a commission. Anyone who's a Suze Orman fan who has bought one of her credit repair kits or books (who, incidentally, rails against commissions on occasion), guess what? You've paid a commission. These people don't work for free!”
— Planner X, MBA, CMFC, CFP
“The CFP designation remains a highly respected credential. However, recent CFP Board actions are beginning to resemble some of the bumbling and overly aggressive rule implementation efforts that Finra has been accused of.”
— Ron Edde
Go to www.InvestmentNews.com/cfpfee to read the full story and reader comments.