Ethical Practices and Fiduciary Obligations: Rapid Fire

What this video covers

• Why every compensation model creates a conflict, and how asset-based advisory fees align interests while commission-based brokerage fees invite churning
• When performance fees are permitted, including the $1.4 million assets-under-management test and $2.7 million net-worth test for qualified clients, plus the fulcrum-fee and other statutory exceptions
• What triggers custody, how the two 3-business-day safe harbors work, and why oral discretionary authority is allowed for advisers but not for broker-dealer agents
• How pay-to-play de minimis thresholds depend on voter eligibility ($350 versus $150), and the strict two-year ban for exceeding them
• The SAR versus CTR distinction ($5,000 suspicious activity versus $10,000 cash), and why tipping off a client destroys your safe harbor
• The mandatory versus permissive duties for vulnerable-adult protection, including the 15-business-day hold and the trusted-contact disclosure rule
• The five mandatory elements of a NASAA business continuity plan, and why succession planning is deliberately not one of them