AAFM Exam GLO_CWM_LVL_1 Topic 8 Question 79 Discussion

Actual exam question for AAFM's GLO_CWM_LVL_1 exam

Question #: 79
Topic #: 8

[All GLO_CWM_LVL_1 Questions]

Which of the following is true with regard to wealth planner's liability?

AA disclaimer removes all liability

BA principal advisor is responsible for actions of representative

CAdvice is distinguishable from a recommendation

DAn advisor may not be held liable for failure to predict economic changes

Show Suggested Answer

Suggested Answer: A

by William at May 12, 2024, 07:29 AM

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Cheryll

2 months ago

Predicting economic changes? That's like trying to herd cats - good luck with that, advisor!

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Jesus

17 days ago

That's true, it's like trying to herd cats!

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Kristine

22 days ago

I agree, predicting economic changes can be quite challenging.

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King

2 months ago

I know, it's definitely not an easy task!

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Teresita

2 months ago

A disclaimer that removes all liability? Might as well have a 'Get Out of Jail Free' card in your back pocket!

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Jeff

2 months ago

D? Really? So an advisor can just shrug and say 'I didn't see that coming' whenever the economy tanks? Not buying it.

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Levi

16 days ago

D) An advisor may not be held liable for failure to predict economic changes

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Charlesetta

1 months ago

C) Advice is distinguishable from a recommendation

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Raul

1 months ago

B) A principal advisor is responsible for actions of representative

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Marylyn

2 months ago

A) A disclaimer removes all liability

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Odelia

2 months ago

Hmm, I'm going with C. Advice and recommendation are two different things, and that distinction is key here.

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Tiera

1 months ago

That's true, it's important to understand the difference between the two.

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Aliza

1 months ago

I agree, advice and recommendation are definitely not the same.

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Stephanie

2 months ago

A is just wishful thinking - no way a simple disclaimer can remove all liability. That's like saying 'I'm not responsible for anything I do.'

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Georgiann

2 months ago

Hmm, that's a good point. I see where you're coming from.

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Jannette

2 months ago

I'd say B is the correct answer. The principal advisor is responsible for the actions of their representatives, no ifs and buts about it.

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Alayna

25 days ago

True, but an advisor can't be held liable for failing to predict economic changes.

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Stevie

1 months ago

That's a good point, but I think advice is different from a recommendation.

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Regenia

1 months ago

But isn't it true that a disclaimer can remove all liability?

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Sylvia

2 months ago

I agree, the principal advisor is definitely responsible for their representatives.

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Joseph

2 months ago

I disagree, I believe C is true. Advice is distinguishable from a recommendation.

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Georgiann

3 months ago

I think B is true, the principal advisor is responsible for actions of representative.

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