I know the soft dollars can be fine if you use it for the client’s benefit, but does your client needs to know that you are using it?
Ethics deals with INTENT as much as it does exclusion of certain information. In every situation, you should seek best execution and value for the client.
I think the client definitely needs to know, or at least you should disclose this to the client in order to avoid any possible future doubts.
yes the information must be disclosed to the client.