Full question:
had a lawyer who acted as a fiduciary for my mothers trust, whom mistreated the guidlines of trust , which is not the topic . the said lawyer during his time hired a finacial adviser to help us with what I do not know . I wanted to take my money out of said finacial advisers hands to invest in a condo, I asked for my money and he replied that I would be better off refinacing my home where he put me intouch with a broker, come to find out the night before closing that the $ did not add up as promised, it would not even cover what I wanted to invest my money in. tried to call said finacial adviser to ask about and was not available, so I asked the secretary for my money and told her this day was the closing date, where I had invested 5000.00 of my money towards escrow already, she said she could not give me my money but could allow me so much as the said finacial adviser is away, so I had toput 10,000.00 towards the extension of closing date , seeing as moneys (from home refinance was not even close to what I needed) and I did have the money needed to make the sale go through in my said account that the finacial adviser was advising...except upon the advise of said finacial adviser to refinance and then left with no advice about the amount $ that was not even close to what I needed, so I had to put 10,000.00 down as I said to get extension of closing,which the secratery said I could get from my account, upon his return I called and he finally got back to me, past the date of extension of closing where I lost the 10,000.00, and trying as it seemed to make me say that I took a loan for the 10,000.00, through his secretary, I tried to say no she told me I could get this much (10,000.00) and talk to you about getting rest upon your return, which by the way was one week prior to this conversation, and never returned my calls till the following week. he kept on insisting that I took a loan and would be paying intrest back on the 10,000.00, plus the loan ??? WHAT LOAN, I had 189,000.00 in my said account but he kept trying to reword over the phone that it was a loan ???? anyway I lost 15,000.00 total from this hole mess , he never explained about the miscomsation of funds said and the abscence of him to advise about the whole mess, I was going to put a complaint in at the time but did not know the channels to go through , he did ask my brother if he had talked to me, as some one (me) had made a call in reference to a complait, he seemed interested if it may be him, anyway is there anything I can do ? at the time I could not even think of him let alone speak of him for his whole dealing with this investment went south and at my loss, and to be honest I don't even know what he may have charged me for the so said loan, and it's intrest cause I made the move to request all my money be transfered into my accout, which he seemed to do very quickly , unlike when my first request toward investment that upon his misleading and sneeky advice led me to the loss of 15,000.00 would this be a civil action of bad faith or some kind of misdealing and misreprentation of said funds. please let me know thank you,cordelia meyercordym44@msn.com
- Category: Trusts
- Date:
- State: Arizona
Answer:
Responsibility and authority over assets held in a trust rests with the trustee appointed by the person who created the trust (the trustor). Trustees typically have the authority to use other people to help them perform their duties, including financial advisors who consult with the trustee regarding how the assets in the trust are invested. These advisors usually do not have the authority to disburse money from the trust.
The Arizona statutes detail the powers given to a trustee:
14-7402. Fiduciary duties; general principles
A. In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of sections 14-7405 through 14-7409, a fiduciary:
1. Shall administer a trust or estate in accordance with the terms of the trust or the will, even if there is a different provision in this article.
2. May administer a trust or estate by the exercise of a discretionary power of administration given to the fiduciary by the terms of the trust or the will, even if the exercise of the power produces a result different from a result required or permitted by this article.
3. Shall administer a trust or estate in accordance with this article if the terms of the trust or the will do not contain a different provision or do not give the fiduciary a discretionary power of administration.
4. Shall add a receipt or charge a disbursement to principal to the extent that the terms of the trust and this article do not provide a rule for allocating the receipt or disbursement to or between principal and income.
B. In exercising the power to adjust under section 14-7403, subsection A or a discretionary power of administration regarding a matter within the scope of this article, whether granted by the terms of a trust, a will or this article, a fiduciary shall administer a trust or estate impartially, based on what is fair and reasonable to all of the beneficiaries, except to the extent that the terms of the trust or the will clearly manifest an intention that the fiduciary shall or may favor one or more of the beneficiaries. A determination in accordance with this article is presumed to be fair and reasonable to all of the beneficiaries.
Financial advisors and analysts provide analysis and guidance to businesses and individuals to help them with their investment decisions. Both types of specialist gather financial information, analyze it, and make recommendations to their clients. However, their job duties differ because of the different type of clients they work for. Financial analysts assess the economic performance of companies and industries for firms and institutions with money to invest. Personal financial advisors generally assess the financial needs of individuals, providing them a wide range of options.
They are employed with securities and commodity brokers, exchanges, investment services firms, depository and nondepository institutions, including banks, savings institutions, and mortgage bankers and brokers. The remainder work primarily for insurance carriers; accounting, tax preparation, bookkeeping, and payroll services; management, scientific, and technical consulting services; and state and local government agencies.
A license is not required to work as a personal financial advisor, but advisors who sell stocks, bonds, mutual funds, insurance, or real estate may need licenses to perform these additional services. Also, if legal advice is provided, a license to practice law may be required. Financial advisors who do not provide these additional services often refer clients to those qualified to provide them.
Financial analysts may receive the title Chartered Financial Analyst (CFA), sponsored by the Association of Investment Management and Research. To qualify for CFA designation, applicants must hold a bachelor’s degree, must have 3 years of work experience in a related field, and must pass a series of three examinations. The essay exams, administered once a year for 3 years, cover subjects such as accounting, economics, securities analysis, asset valuation, and portfolio management.
Personal financial advisors may obtain the Certified Financial Planner credential, often referred to as CFP (R), demonstrating to potential customers that a planner has extensive training and competency in the area of financial planning. The CFP (R) certification, issued by the Certified Financial Planner Board of Standards, Inc., requires relevant experience, the completion of education requirements, the passage of a comprehensive examination, and adherence to an enforceable code of ethics.
If it is suspected that a licensed financial advisor mis-used or otherwise deceived a client, then the appropriate response would be to start with a complaint to the agency who issued his or her license.
In Arizona, the Securities Division of the Arizona Corporation Commission is responsible for the regulation of the securities industry. They have a complaint procedure for investors. Please see the link below.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.
