Despite such nebulous conclusions, some advisors think the GAO study has helped set the tone for future action.
Ron Rhoades, an advisor who sits on the Financial Planning Coalition leadership council, called the GAO report one in a "series of stepping stones" toward making financial planning a profession.
Although the report stopped short of saying financial planning should be regulated as a profession, it did find that consumers are unclear as to when a financial planner is required to act in their best interest, said Rhoades, co-founder of Hernando, Fla.-based Joseph Capital Management LLC. The other important finding, he said, is consumers' confusion over titles in financial planning and the securities industry in general.
"In many respects I thought the report was very good," he said. "It confirmed consumer confusion exists and there is no regulation of financial planners, unlike with many other professionals, such as hair dressers."
Given that it was given only six months to conduct the study by Congress, Rhoades feels it was unrealistic to expect the GAO to make a more definitive recommendation. "I really don't expect action in Congress on this report, at least not anytime soon," he said. "But I do think it will have some influence on regulators."