The cost of fraud is expensive with attorney fees, settlement costs, revocation of your license(s) and not covered by your errors and omissions insurance. Remember, he who frames the argument wins.
Presentations to the public are going to be scrutinized for any misleading information that enhances the “sales close.”
An example: Historical performance is not an indication of future performance. If that’s true why do you bring it up all. Case in point: 10-year performance calculated from 2008 to 2017. Not the latest 10-year performance, but the best 10 year “timeline” in recent years. Omitting the underperformance of 2018 would lower the rate of return. Starting the timeline at the year 2000 would include double digit losses of 2000, 2001, 2002 and 2008. So, they are often omitted. Best practices here is not to use historical references at all.
It’s shocking to discover that agents and advisers rarely perform a risk tolerance test or a liquidity test with their clients. These types of evaluations can change client thinking as it applies to recommending market risk products and insurance products with surrender charges. The test also exposes the psychonomics or financial disposition of the client. Editing or omitting them altogether is not only frowned upon but can be used in proving intent to deceive.