A heads-up if your adviser is broke

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Do your financial adviser’s actions speak louder than his/her advice? Starting July 1, 2012, you’ll be able to find out more easily whether your financial adviser is (or was) in financial straits personally.

On its website, cfp.net, Certified Financial Planner Board of Standards (CFPBS) will flag the online profile of any certified financial planner who has filed for bankruptcy in the past 5 years, and it will list those names in quarterly news releases. Previously, CFPBS subjected advisers who had filed for bankruptcy to a disciplinary process that often disclosed little to consumers.