Advisers that do not embrace a less finance-centric approach to their work will struggle to comply with a best interest duty, says the father of the ‘life planning’ movement, George Kinder.
In an interview with Morningstar India, Mr Kinder, a veteran financial adviser in the US and founder of the Kinder Institute of Life Planning, said that considering financial concerns of clients alone will not be sufficient to meet fiduciary tests imposed in a number of countries by law.
“Kinder has taught life planning courses on five continents, and believes that it is impossible to be a fiduciary without being a life planner,” said a document from the research house reflecting on a discussion with Mr Kinder.
“A fiduciary, in the purest sense of the term, needs to consider all aspects of their clients’ lives – life concerns and financial concerns.”
Mr Kinder previously expanded on his vision of life planning in an interview with ifa from the United States in 2015, saying this approach goes well beyond goals- or objectives-based advice.
“What we are committed to is essentially the client’s dreams and freedom,” Mr Kinder told ifa. “Who do they want to be and what do they want to achieve? This is our first preoccupation.”
For more on the emergence of the financial life management and life planning movements see https://www.ifa.com.au/editorial/cover-stories/15457-beyond-wealth
The professional body for the stockbroking and financial advice industry has called on the government to “urgently” review the ASIC levy model. ...
The Association of Financial Advisers (AFA) has confirmed the appointment of a new chief executive. ...
FPA chief executive Dante De Gori has announced he will step down from his role at the end of 2021. ...