Question: Boris is a CFP ? professional and has entered into a signed engagement letter to provide the first five steps of the financial planning process.
Boris is a CFP professional and has entered into a signed engagement letter to provide the first five steps of the financial planning process. Once Boris has made the recommendations, the engagement letter clearly identifies that the scope of the relationship ends, and the client is solely responsible for implementation and monitoring. Six months after Boris provided a client with his recommendations, the client approached Boris about purchasing life insurance through Boris, which was one of the recommendations in his plan. Which of the following is the most appropriate action for Boris to take?
Boris should refer the client to another insurance professional since Boris was not engaged to provide implementation.
Boris should update the terms of the engagement to expand the scope and timeframe.
Boris should sell the policy to client. Since he will be merely following the client's orders, he is no longer providing financial advice.
Boris should terminate the engagement to ensure that he is not held to a fiduciary duty when selling the policy to the client.
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