FIPA Seal of Approval
In order to provide information and guidance to investors that maintain the highest standards of objectivity, publishers do not accept payments of any kind for recommending a particular security or company. In addition, the Financial Publishers Association (FIPA) provides its Seal of Approval to members who abide by the following:
1. Distinction between investment publishers and investment advisors.
According to the 1985 U.S. Supreme Court decision in Lowe vs. SEC., publishers may be exempt from registration with the SEC as investment advisors. Consequently, most established investment publishers in the U.S. are not registered. To help clarify this distinction, non-registered FIPA members state on their websites and through other venues that they
- are strictly investment publishers, providing educational information that is the same for all readers, and
- do not provide investment advice that is tailored to individual circumstances of each investor.
3. Performance results. Each publisher should establish and publish a standard procedure for estimating performance results. The Association believes it is good practice to either publish a complete track record or disclose that investment results cited do not necessarily represent a complete performance record.
4. Privacy. Each publisher respects the privacy of readers, especially with respect to personal information provided by readers on the Internet and through e-mail.