[Series 65] 72, Advisory Contracts and Client Agreements

This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams. In this episode you will learn: - Advisory contracts must be in writing and detail the services, term, fee formula, and any discretionary authority. - A change in the majority ownership of an advisory firm is considered an "assignment" and requires client consent. - Performance-based fees are prohibited unless the client is a "qualified client" with at least $1.1 million AUM or a $2.2 million net worth. - Contracts cannot contain "hedge clauses" that require a client to waive their legal rights. - Upon termination, clients are entitled to a pro-rata refund of any prepaid, unearned advisory fees. For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep