Which of the following is a core principle of ethical financial planning?
Correct!
Wrong!
Integrity is foundational to ethical financial consulting, ensuring that planners place their clients' interests first.
What does the fiduciary duty of a financial consultant require?
Correct!
Wrong!
A fiduciary duty means acting in the best interests of the client, putting their needs above the advisor's own.
What should a consultant do when faced with a conflict of interest?
Correct!
Wrong!
Transparency is critical—conflicts of interest must be disclosed to the client to maintain trust and ethical compliance.
Why is confidentiality important in financial planning?
Correct!
Wrong!
Clients must trust that their personal and financial data will remain private to feel secure and maintain open communication.
Which of the following best reflects professional competence?
Correct!
Wrong!
Staying current with industry changes and continuing education reflects a consultant’s commitment to maintaining professional standards.
How should a financial planner address unrealistic client expectations?
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Wrong!
Advisors must provide honest feedback to align client expectations with realistic outcomes based on data and expertise.