To clarify what is meant by financial guidance the NFEC developed this financial guidance definition: “Sharing expertise and directing clients toward resources and education that can help them make decisions based on their personal goals. Financial guidance is the act or process of pointing clients through education, research, reflection, and other ways to help them make their own decisions.”
It further illustrates that both advice and guidance are given by someone regarded as knowledgeable or authoritative. Advice is providing specific recommendations for specific action to be taken. Advice is an opinion or recommendation offered to direct action or conduct. While financial guidance is sharing expertise and directing clients toward resources and education that can help them make decisions based on their personal goals.
Additional Financial Guidance Information
National Financial Educators Council (2020) Financial Guidance Survey
Certified Financial Planner ® Board of Standards, Inc. (2017). Continuing Education Policies. Washington, DC: CFPBS. https://www.cfp.net
Federal Trade Commission (2006). Financial Institutions and Customer Information: Complying with the Safeguards Rule. Washington, DC: FTC. https://www.ftc.gov