Attorney as FA questions....

[bolt]

I'll try to make this succinct because im not a great communicator. IIRC, I saw somewhere that it was against the law that an attorney could additionally be someones FAdivisor/Adviser also. This seems like a conflict of interest also, if your attorneys advising you to invest in Edward Jones/ Raymond James load funds that hes also a agent of and selling, he's getting paid twice. Plus hes managing the funds...this sounds like a bad, if not illegal set up. Additionally, I've searched, to no end, but come up empty. I could have sworn I saw this posted somewhere before and it was against the law, or legal ethics minimally of the B.A.R. assn. If anyone knows anywhere I could search "please" LMK. This is a situation i'd like to know if the knowledgable posters here might provide information on, that I could present to another, thats not internet able. Thank you!

 

[Brat]

Do you know of an attorney who is collecting a fee from investment companies?

I don't have any problem with an attorney providing their opinion about investment vehicles based on their experience, or the law. My attorney gave me the name of a good CPA, places to search for life insurance (he did say to buy term and avoid any of the other stuff insurance agents propose) and told me to study so that I could make my own decisions about investments.

 

[foxfirev5]

I don't know about the legalities but they are two different fields of study and practice. It is conceivable that someone could be competent in both but unlikely.

 

[sanfanciscotreat]

An attorney could discuss alternative investments with no conflicts of interest.
They sometimes come across property that can be purchased cheap and sold quickly at a profit.

 

[Gill]

I don't see the problem, as long as there is full disclosure. I'm an attorney, also a CPA, and I could just as well also clean your house, babysit your kids and change the oil on your car. Where's the problem?
Bruce

 

[bolt]

Thanks for the replies. My understanding is that the atty, was approached to set up a trust for this individual, has set it up, it was funded, and was in the control (P.O.A) of the atty and set up as he advised. He's additionally a EJones/Raymond James advisor ~ (so as not to stain either set of advisors, although those loads or fees are not something i'd pay).

 

[Brat]

That would bother me a lot but whether or not it is unethical..

 

[Gumby]

This is what the American Bar Association Model Rules of Professional Conduct say about the conflict of interest inherent in conducting a business transaction with a client. Note that the rules applicable in any particular state may vary from the model presented here.

Rule 1.8: Current Clients: Specific Rules | The Center for Professional Responsibility