1st blank - sales of financial products or sales of financial plans or advice

2nd blank - client or planner

3rd blank - fee-only or fee-based

4th blank - services or products

5th blank - products or services

6th blank - planner or client

7th blank - fee-offset or fee-only

8th blank - a commission or an hourly/annual fee

9th blank - fee-offset or fee-only

10th blank - sell or do not sell

11th blank - impartial or biased

12 blank - client or planner

8. The activities of financial planners Who Are Financial Planners? There are many types of financial services professionals, who offer specialized financial services, including accountants and tax preparers, insurance agents, stockbrokers, real estate and mortgage brokers, attorneys and trust officers, and credit counselors. Although these individuals are often quite capable, they are often salespeople for specific financial products and companies. In contrast, financial planners perform a different function by providing competent, ethical, and impartial advice and services to their clients. Which of the following services do financial planners usually provide to their clients? Check all that apply. Managing corporate benefit plans Making referrals to outside, more specialized providers of financial services and products Assessing the personal needs, and identifying and prioritizing the financial goals of individuals and families Evaluating the financial condition and performance of individuals and/or families Financial planners are compensated using one of four arrangements. These compensation plans can affect both the type and the quality of the services received by their clients. What are these four plans, and how will they affect both the planner and his or her client? The commission-only arrangement means that the sole source of income for financial planners and brokers will be the commissions generated by the The advantage of the commission-only arrangement to the is that, a client only pays for the products purchased; and the other financial services provided by the planner are "free." A disadvantage of this plan, however, is that a planner may be motivated to recommend products that pay him or her the highest commission. The arrangement provides financial planners with both an up-front fee for the financial they provide and a commission for the financial purchased by a client. The advantage of this arrangement is that, the client has already paid for the planner's time, services, and products. Therefore, all he or she needs to do is to meet and engage with the planner and follow the plan. This is an advantage for the Under the arrangement, the client is charged The advantage of this plan is the fee reduction that Under the arrangement, the client is charged The advantage of this plan is the fee reduction that results from the purchase of financial products. by the planner, but this is reduced, or offset, by any commissions paid for financial products purchased by the client. The advantage of this plan is the fee reduction that results from the purchase of financial products. In a arrangement, the sole source of income for financial planners will be the hourly or annual fees charged for their services. Planners using this arrangement financial products and therefore are expected to be more in their recommendations for financial products. This can be a significant advantage to the 8. The activities of financial planners Who Are Financial Planners? There are many types of financial services professionals, who offer specialized financial services, including accountants and tax preparers, insurance agents, stockbrokers, real estate and mortgage brokers, attorneys and trust officers, and credit counselors. Although these individuals are often quite capable, they are often salespeople for specific financial products and companies. In contrast, financial planners perform a different function by providing competent, ethical, and impartial advice and services to their clients. Which of the following services do financial planners usually provide to their clients? Check all that apply. Managing corporate benefit plans Making referrals to outside, more specialized providers of financial services and products Assessing the personal needs, and identifying and prioritizing the financial goals of individuals and families Evaluating the financial condition and performance of individuals and/or families Financial planners are compensated using one of four arrangements. These compensation plans can affect both the type and the quality of the services received by their clients. What are these four plans, and how will they affect both the planner and his or her client? The commission-only arrangement means that the sole source of income for financial planners and brokers will be the commissions generated by the The advantage of the commission-only arrangement to the is that, a client only pays for the products purchased; and the other financial services provided by the planner are "free." A disadvantage of this plan, however, is that a planner may be motivated to recommend products that pay him or her the highest commission. The arrangement provides financial planners with both an up-front fee for the financial they provide and a commission for the financial purchased by a client. The advantage of this arrangement is that, the client has already paid for the planner's time, services, and products. Therefore, all he or she needs to do is to meet and engage with the planner and follow the plan. This is an advantage for the Under the arrangement, the client is charged The advantage of this plan is the fee reduction that Under the arrangement, the client is charged The advantage of this plan is the fee reduction that results from the purchase of financial products. by the planner, but this is reduced, or offset, by any commissions paid for financial products purchased by the client. The advantage of this plan is the fee reduction that results from the purchase of financial products. In a arrangement, the sole source of income for financial planners will be the hourly or annual fees charged for their services. Planners using this arrangement financial products and therefore are expected to be more in their recommendations for financial products. This can be a significant advantage to the