Submitted this morning to the Wilmington News Journal
As a financial planner, the trust my clients have in my advice has been essential to the success of my business. As a result, despite the financial roller coaster of the last ten years, my business has grown for one reason and one reason only: trust. You might think the linchpin of my business, my fiduciary duty to my clients to act in their best interest, would be the same for the rest of our financial system. Unfortunately, you would be wrong.
Presently, as the Senate and House negotiate a final bill on financial reform, lobbyists from Wall Street want to weaken the most valuable asset a financial planner or advisor has, the trust of his or her clients. Big money lobbyists from Wall Street actually want to weaken House language that requires all financial advisors to put their client’s interest first, and want to weaken anti-fraud provisions.
This is crazy. Wall Street’s war on Main Street has crashed our economy and cost millions of jobs. Is it too much to ask financial advisors to actually act in their clients’ best interest? Haven’t enough savings and pension funds been wiped out already? The House language establishing a fiduciary duty for broker dealers should be a part of the conference report and final bill. Americans need a strong financial reform bill to put an end to financial fraud.
Paul Baumbach, CFA, CFP(R), ChFC
Mallard Advisors, LLC