IMPORTANT CLIENT Disclosures
General Information
As a CFP® Certificant, I am required by the Certified Financial Planner Board of Standards, Inc. to provide certain information to my clients and prospective clients. I am an employee of (Name of Sponsoring Agent), doing business as (DBA name)[1]. Through my association with (Sponsoring Agents DBA) I have been appointed to The Prudential Insurance Company of America and its affiliated insurers for insurance and am a Registered Representative of Pruco Securities, LLC, as well as an investment adviser representative of Prudential Financial Planning Services, the marketing name used by Pruco Securities when providing investment advisory services. The Prudential Insurance Company of America, its affiliated insurers and Pruco Securities, LLC are collectively referred to in this document as “Prudential.”
In addition, I may be authorized by (Sponsoring Agents DBA) and Prudential to offer insurance and investment products through firms not affiliated with Prudential but with which Prudential has selling relationships (collectively, “Prudential Relationships”).
I may also, subject to the terms of my employment agreement with (Sponsoring Agents DBA) and my appointment with Prudential, offer you, outside the scope of my relationship with Prudential, insurance products issued by other insurance companies (collectively, “Non-Prudential Relationships”).
Prudential Relationships and Non-Prudential Relationships are collectively referred to in this document as “Offering Entities.”
Nature of My Services; Including Obligations and Responsibilities
Whether you are interested in saving for retirement and/or education, protecting your family and/or assets or interested in purchasing a specific insurance or investment product, I can help you determine your needs and recommend appropriate options in an effort to help you achieve your financial goals.
When, and if, we mutually agree to work together, the services to be provided may include some or all of the following:
- Discussing your financial goals and objectives;
- Gathering relevant financial information;
- Reviewing your financial situation and performing a needs analysis to help determine appropriate solutions; and
- Assist with the implementation of product recommendations;
Please note that the recommendations that I make for you will be based, in part, on the data you provide; and therefore, completeness and accuracy of the information is very important. Whenever there are material changes in your financial situation, it is your responsibility to inform me of those changes.
Compensation
If you decide to purchase a product with my assistance, (Sponsoring Agents DBA), Prudential or the Offering Entities, as applicable, will receive revenue.
These entities receive revenue from a number of sources, including:
- The premiums, charges and/or fees you pay for the purchase, sale and management of products, services, contracts and policies, including but not limited to sales commissions and 12b-1 fees.[2]
- The fees you pay for investment advice and related services in investment advisory programs and/or certain other financial planning services made available by Prudential Financial Planning Services.
Since I am a registered representative of Pruco Securities, LLC and appointed with the Prudential Insurance Company for insurance sales, I will recommend investment and insurance products that are manufactured or issued by Prudential and its affiliated companies. I may also offer certain non-Prudential products. However, I do nothave a greater financial interest in the sale of Prudential products and services than of other Offering Entities. My recommendation will be based on what is right for you.
I may receive compensation in the form of commissions, renewal commissions, bonuses, and/or other benefits provided by my employer or Prudential for any sale of insurance or investments products I make.
I can also receive an advisory fee for providing investment advisory services. Generally, such advisory fee is an annual fee based on a percentage of the assets in your account. Should you determine to utilize my services in the future to provide financial planning services, I will also receive a portion of the fee you pay for financial planning services.My advisory fees are negotiable. Advisory fees count towards bonuses, retirement benefits and other benefits I may receive.
I may also be provided business expense support from my employer to offset the expenses incurred while writing and servicing approved business. This support may be in the form of direct expense coverage.
Prudential will pay bonuses based on the level of sales of approved products. (Both Prudential and Other Entities may pay bonuses based on sales volume and other factors.)
I may also be eligible to receive other incentives from my employer such as attending conferences for attaining a certain level of sales.
Please note that as a client or prospective client, you are entitled to request further information regarding product and service costs and associated compensation.
Potential Conflicts of Interest
Should you choose to utilize my services in providing products and services to help you meet your financial needs and goals, I will recommend to you investment and insurance products that are manufactured or issued by Prudential and its affiliated companies (“Prudential Proprietary Products”). I may also recommend to you non-Prudential products and services from other Offering Entities.
When I act in my capacity as a registered representative and/or licensed insurance agent of the Offering Entities, I am required to make suitable and appropriate recommendations based on the personal and financial information you provide, and such recommendations are not subject to a fiduciary duty except under limited circumstances. When I act as an investment adviser representative of Prudential Financial Planning Services, including when I provide financial planning services, and when I provide investment advice concerning your employer sponsored benefit plan(s) or individual retirement account(s),I am required to place your interests ahead of my own at all times by providing advice and investment recommendations that, in my reasonable determination, are in your best interests.
In addition, if you purchase any products or services from me, I will receive compensation in connection with your purchase. The amount of compensation received will depend on the type of product purchased. (Sponsoring Agents DBA), Prudential and its affiliatesreceive revenue as the result of the sale by me of products managed, issued, sponsored or advised by Prudential and its affiliated companies.
Additional Information
If you have any questions regarding these disclosures, you can contact me at [insert phone number] for further information. You can also contact my employer, (Sponsoring Agents DBA) at [insert phone number]. You may also contact the Prudential Insurance Company of America at 1-800-201-6690 regarding my registrations and appointments.
Please feel free to discuss with me the details of the Offering Entities I am authorized to represent or any of the services I can provide. [Remove next sentence if not applicable] For further information regarding my background, please refer to my profile disclosure provided to you separate from these disclosures.
You will be provided a copy of any material update I make to these disclosures.
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AP CFP Disclosure
IMPORTANT CLIENT Disclosures
Name of Client:______
Date of Delivery of Disclosure to Client______
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AP CFP Disclosure
[1] (Sponsoring Agents DBA) is not affiliated with and is not a subsidiary of Prudential and/or its affiliated companies. (Sponsoring Agents DBA) is not acting in the capacity of a FINRA Registered Broker-Dealer and is not a Registered Investment Adviser as defined by the Investment Advisers Act of 1940.
[2] 12b-1 fees are fees charged by some mutual funds to cover promotion, distribution and marketing expenses, and sometimes compensation to financial representatives. For more information about the fees and charges associated with individual products and services, see the applicable fund prospectus and other disclosure documents.