Defining the client-planner relationship is essential in financial planning, as it establishes expectations and responsibilities that foster trust and communication. Key elements include the scope of services, duration, communication frequency and methods, compensation, documentation, and termination procedures. Clarifying these aspects helps ensure better outcomes for clients and maintains a transparent relationship.

1. Defining the Client-
Planner Relationship

2. • Defining the client-planner
relationship is a crucial step in any
financial planning or advisory service.
• It involves establishing clear
expectations and responsibilities
between the financial planner and the
client.
• This relationship sets the foundation
for trust and effective
communication, ultimately leading to
better outcomes for the client.

3. Key elements that are addressed when
defining this relationship:
o Scope of Services: Clearly outline what services the
planner will provide. This can range from investment
advice and retirement planning to tax strategies and
estate planning.
o Duration of the Relationship: Specify whether the
relationship is on-going or limited to a specific project
or time period.
o Communication: Define how often the parties will
communicate, through what modes (e.g., in-person
meetings, email, phone), and who will be the primary
point of contact.

4. o Compensation: Clearly articulate how the planner
will be compensated. This might be through fees
(flat fees, hourly rates, or a percentage of assets
under management) or commissions based on
products sold.
o Documentation and Reporting: Detail what reports
and documentation the client will receive regarding
their finances and the frequency of these reports.
This helps clients stay informed about their financial
status and the performance of their investments.
o Termination of the Relationship: Define how either
party can terminate the relationship, including any
notice requirements and final settlement details.

5. Thank You