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Wealth Professional | 23 Dec 2014, 09:19 AM Agree 0
The case for wooing clients away from the big banks might have just gotten more difficult due to an $11 million lawsuit against two independent financial advisors.
  • Jim Rynn | 23 Dec 2014, 10:42 AM Agree 0
    Big banks do not always stay at arms leagth.They own or create many of the investments that are sold to thier clients.Two companies that do not own thier own products are Edward Jones and Raymond James. Edward Jones is a large limited partnership that protects clients at arms leangth and is backed by a large partnership of over 13,000 partners. The right balance for advisors and clients may be found in a large independant firm like Edward Jones.
  • Mark Winson | 23 Dec 2014, 10:44 AM Agree 0
    Working for a bank is no substitute for integrity and good compliance. No matter who you work for, a self-serving advisor can cause financial harm. I can be perfectly Bank compliant and sell my client a new issue of sub-prime debt scoring a ten percent new issue commission. So don't fool yourself that dealing with a bank advisor is all the due diligence required.
  • Peter | 29 Dec 2014, 03:51 PM Agree 0
    Suggesting that an arm's length relationship is "more easily maintained while working at the big bank firms such as RBC Dominion Securities and BMO Nesbitt Burns" is a completely irresponsible comment.
    Banks and some of their advisors receive large fines very often for non-compliance or non-suitability or similar instance.
    Whether you are an independent advisor, work for a broker/dealer or for a Bank, expertise, honesty and integrity are always paramount.
    Every advisor should have a fiduciary duty to always place the client's best interests ahead of their own.
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