When it comes to a city that perfectly captures India’s rich cultural heritage, Ahmedabad stands out. Often called the “Manchester of the East,” this vibrant city is a blend of traditions, stunning architecture, and an entrepreneurial spirit that has thrived through the ages.
Walking through the old city’s winding lanes feels like stepping back in time. Every corner tells a story of its glorious past. From the beautiful carvings on the Sidi Saiyyed Mosque to the bustling Dhal ni Pol market, Ahmedabad’s heritage is alive and vibrant, showcasing its fascinating history.
But Ahmedabad isn’t just about its historical charm; it’s also a bustling center of commerce and entrepreneurship. For generations, the city has been home to a dynamic community of businessmen and industrialists whose determination and financial savvy have driven Ahmedabad forward.
This entrepreneurial spirit has given rise to the House of Financial Planners. As an authorized educator of the prestigious CFP (Certified Financial Planner) certification, this esteemed institution is dedicated to helping individuals master personal finance.
The CFP certification is considered the gold standard in financial planning, and the House of Financial Planners is dedicated to delivering top-notch education and training. Their comprehensive curriculum, taught by experienced professionals, covers a broad range of topics, including investment planning, risk management, tax planning, retirement planning, and estate planning.
What makes the House of Financial Planners unique is their focus on ensuring students are not only knowledgeable in financial theory but also skilled in practical application. Through case studies, simulations, and interactive workshops, students gain valuable hands-on experience, equipping them to confidently navigate the ever-changing financial world.
In a city like Ahmedabad, where entrepreneurship is a way of life, the importance of sound financial planning cannot be overstated. Whether you’re a new entrepreneur wanting to build your own distribution or wealth management business, a seasoned mutual fund distributor looking to grow and protect your business, or a student eager to start a career in finance, the House of Financial Planners offers a comprehensive suite of services tailored to your specific needs.
So, if you want to achieve financial prosperity while soaking in the rich cultural tapestry of Ahmedabad, turn to the House of Financial Planners. Embrace the city’s timeless allure and let their expertise guide you toward a future where financial security and cultural heritage go hand in hand.
Imagine a world where your clients view you not just as a mutual fund distributor, but as a trusted advisor who guides them through every aspect of their financial lives. In today’s ever-changing financial landscape, staying ahead of the curve is essential. The Certified Financial Planner (CFP) certification can make this vision a reality, offering unmatched opportunities to distinguish yourself and advance your career.
The value CFP certification adds:
FPSB has done the research.
Increased Client Satisfaction: 92% of CFP professionals report higher client satisfaction levels due to their comprehensive approach to financial planning.
Improved Client Retention: 87% of CFP professionals have higher client retention rates, as clients value the holistic financial advice provided.
Higher Earning Potential: CFP-certified professionals earn 26% more on average compared to their non-certified counterparts.
Enhanced Job Security: 83% of CFP professionals feel more secure in their jobs, thanks to their specialised knowledge and skills.
How CFP Certification Can Increase Your Business?
Make Smarter Decisions with Extensive Knowledge
Knowledge is power, and with a CFP certification, you’ll have a treasure trove of it. Imagine having the ability to make well-informed decisions that not only benefit your clients but also grow your business. With a broad knowledge base, you can tackle estate planning and tax planning with ease, leading to more insightful conversations with your clients. This expertise helps you manage more of their assets and builds a larger, more loyal clientele.
Why stop at being just a mutual fund distributor? With CFP certification, you can expand your horizons and offer consulting services, including financial planning, estate planning, and tax planning. These additional services are like adding more strings to your bow, attracting new clients and increasing the value you provide to existing ones. As they say, “Variety is the spice of life,” and offering a variety of services spices up your business, making it more attractive and competitive.
How CFP Certification can help you protect your business?
Secure Your Assets Under Management (AUM)
Ring Fencing:- Imagine building a substantial AUM of 100 crores. Now, picture a competitor with advanced knowledge trying to lure your clients away. Scary, right? As a CFP, you can protect your Assets Under Management (AUM) from such potential threats. This certification equips you with the expertise to safeguard your business, ensuring that your clients’ assets remain with you. It’s like building a fortress around your hard-earned assets, creating long-term trust and stability.
The benefits of getting a CFP certification for mutual fund distributors are crystal clear. It boosts your credibility, builds trust with your clients, increases your earning potential, and provides you with extensive financial knowledge. Additionally, it helps you protect your assets under management (AUM) from future threats, ensuring long-term stability for your business. In short, this certification is a smart investment in your career and future success.
Conclusion
As Benjamin Franklin once said, “An investment in knowledge pays the best interest.” If you’re ready to take your career to the next level, consider pursuing CFP certification. Visit the House of Financial Planners for more information on how to get started. Transform your career, enhance your knowledge, and become the financial expert your clients need today!
Don’t just aim for success; strive for significance in your clients’ lives. Get your CFP certification and make a lasting impact.
The journey after the 12th can be both exciting and daunting, filled with endless possibilities and tough choices. If you have a passion for finance and a desire to shape your future, then the Certified Financial Planner (CFP) course should be at the top of your list.
Let’s take a look at the various popular finance-related courses you could pursue after finishing 12th grade:
Certified financial planning (CFP)
Chartered Accountancy (CA)
Company Secretary (CS)
Cost and Management Accountancy (CMA)
Bachelor of Commerce (B.Com)
Bachelor of Business Administration (BBA)
Bachelor of Economics (BE)
Among these options, the CFP program is particularly noteworthy as it offers a comprehensive entry point into a satisfying and lucrative career in Financial Planning/Personal Finance.
What is CFP and Why Should You Consider It?
The Certified Financial Planner program is a globally recognized certification that equips you with the knowledge and skills to provide holistic financial planning services. It covers everything from investment planning, tax planning, retirement planning, estate planning, and more. With a CFP certification, you’ll be part of an elite group of professionals who can guide individuals in personal finance. Remarkably, by completing the CFP program, you’ll earn four valuable certifications, setting you apart from the crowd.
Certificates You Will Earn with CFP:
Investment Planning
Risk and Estate Planning
Retirement and Tax Planning
Certified Financial Planner
A major benefit of the CFP certification is its global recognition. Accepted in 27 countries, it allows you to seek international career opportunities and collaborate with financial professionals worldwide, underscoring the program’s excellence and relevance.
One of the key advantages of the CFP certification is its global recognition. The program is currently recognized in 27 countries worldwide, allowing you to explore international career opportunities and collaborate with financial professionals across borders. This global acceptance underscores the program’s excellence and validity, making it a passport to success in the ever-evolving world of finance.
Is CFP right for you?
The beauty of the CFP course lies in its inclusivity. Whether you’re a fresh mind straight out of 12th or a working professional seeking career growth, the program welcomes all. The only prerequisites are a strong numerical aptitude, excellent communication skills, and an unwavering commitment to ethics and client-centricity.
The Future of CFP
As the world becomes increasingly complex, the need for skilled financial planners continues to soar. With people seeking expert guidance to navigate their finances, a CFP certification opens doors to numerous opportunities in banks, investment firms, insurance companies, and independent financial advisory firms. The future is bright, and those who embrace CFP today will be at the forefront of this ever-growing industry.
Why Pursue CFP Immediately After 12th?
While the CFP course is open to all, there are distinct advantages to pursuing it right after 12th:
Head Start: By starting early, you’ll gain a significant head start in your career, allowing you to build experience and expertise while your peers are still completing their undergraduate studies.
Focused Learning: With a fresh and receptive mind, you’ll be able to absorb the complex concepts of financial planning more effectively, laying a solid foundation for your future success.
Early Exposure: The CFP program includes practical training and internships, providing you with invaluable industry exposure and networking opportunities right from the start.
Competitive Edge: As a young CFP professional, you’ll stand out in the job market, showcasing your dedication, foresight, and commitment to excellence.
Advantages of Pursuing CFP After 12th
By choosing to embark on the CFP journey right after the 12th, you’ll unlock a plethora of benefits that will shape your future:
Accelerated Career Growth: With an early start and focused training, you’ll be able to climb the career ladder at a faster pace, opening up opportunities for leadership roles and higher earning potential.
Diverse Career Paths: The CFP certification is a versatile qualification that opens doors to various industries, including banking, insurance, wealth management, and independent financial advisory firms.
Global Recognition: As a CFP professional, you’ll be part of a globally recognized network, enabling you to explore career opportunities worldwide.
Lifelong Learning: The financial world is ever-evolving, and the CFP program ensures that you stay up-to-date with the latest trends, regulations, and best practices through continuous education and professional development.
Personal Fulfillment: As a CFP professional, you’ll have the opportunity to make a tangible difference in people’s lives by guiding them towards financial security and helping them achieve their dreams.
At the House of Financial Ahmedabad, we offer online, offline, and hybrid classes, we believe in empowering young minds to shape their futures and make a lasting impact. Our CFP program is designed to nurture your talents, hone your skills, and prepare you for a fulfilling career in financial planning.
Don’t let the opportunities slip by. Embrace the CFP journey right after the 12th and unlock a world of possibilities. Your future is waiting; it’s time to take the leap and soar to new heights!
Got any doubts? Do check our free workshop page and register for it. Free Workshop
Got any doubts about the fees of CFP? Do check our fee calculator. CFP Cost Calculator
Act now and let’s chart your path to success together!
Are you prepared for an excellent educational opportunity provided by Financial Planning Standards Board Ltd.(FPSB), the organization that sets standards for the worldwide financial planning industry? The retirement and tax planning course from FPSB Ltd. can be taken online or with an instructor like House of Financial Planners FPSB Ltd.’s retirement and tax planning course helps you create strategies to increase your clients’ wealth and manage their money better as they approach and go through retirement. It also guides you how to use tax planning to help achieve their goals.
The course teaches you to take into account your client’s individual financial objectives, risk capacity and tolerance, asset locations, the composition and effects of public and private retirement plans, and the effects of taxes on your clients’ financial status and objectives. To gain recognition from employers, clients, and the public for your expertise in retirement and tax planning, follow the steps outlined below to achieve the FPSB Retirement and Tax Planning Specialist certification in India.
About FPSB Ltd. and FPSB Programs in India
The Financial Planning Standards Board Ltd. (FPSB) sets global standards for financial planning and owns the CFPCM, CERTIFIED FINANCIAL PLANNERCM and marks outside the United States. FPSB proudly offers FPSB’s Retirement and Tax Planning Specialist program, which is one of three pathways to achieving CFP certification in India:
FPSB® Investment Planning Specialist
FPSB® Risk and Estate Planning Specialist
FPSB® Retirement and Tax Planning Specialist
Each certification pathway has specific requirements, including coursework, exams, and credentials. Notably, completing FPSB’s pathways also counts towards the educational requirements needed for CFPCM certification in India. Professionals interested in pursuing CFP certification can start by enrolling with FPSB for any of these three pathway certifications in any sequence. This blog will specifically address the FPSB Retirement and Tax Planning Specialist certification.
FPSB® Retirement and Tax Planning Specialist Overview
Take Your Career to the Next Level
Available online or through an instructor like House of Financial Planners, the FPSB® Retirement and Tax Planning Specialist course equips you to create strategies that enhance your clients’ wealth and cash flow as they approach and enter retirement, and it provides guidance on incorporating tax planning to support their objectives.
This course instructs you to analyze your clients’ personal financial goals, their risk tolerance and risk capacity, asset allocation, the structure and impact of public and private retirement plan, and how taxation will affect your clients’ financial situation and goals. To gain recognition from employers, clients, and the public for your advanced expertise in retirement and tax planning, follow the steps provided below to earn your FPSB® Retirement and Tax Planning Specialist certification in India.
Steps to Initial Certification
The requirements for FPSB® Retirement and Tax Planning Specialist certification are as follows:
Successfully complete the FPSB Ltd. Ethics Course.
Pass the FPSB® Retirement and Tax Planning Specialist exam, which aligns to the topics identified in the FPSB Retirement and Tax Planning Specialist Competency Profile
Complete your certification application, which includes your agreement to comply with FPSB Ltd.’s Code of Ethics and payment of an annual certification fee.
Step 1: Education
Criteria to Register
Candidates must be at least 18 years old and have completed HSC/12th grade (Std XII/HSC) to enroll with FPSB and start the FPSB Retirement and Tax Planning Specialist education course. It is required that candidates register with FPSB at least 30 days before registering for the exam.
Period for Course Completion
Individuals are required to finish the FPSB® Retirement and Tax Planning Specialist certification program within three years from their initial registration with FPSB Ltd. and must renew their registration every year. If the program is not completed within three years, FPSB Ltd. will deem the registration invalid. Candidates should evaluate their ability to meet this timeline before registering.
FPSB Ltd. Educational Resources
FPSB Ltd. will provide program participants with digital textbooks, supplementary post-chapter quizzes, post-module exams, and additional course materials via its online learning platform, MyFPSBlearning. All educational resources provided by FPSB Ltd. are tailored to the FPSB Retirement and Tax Planning Specialist learning. Every candidate, irrespective of their chosen method of study, must acquire these materials.
Education
Candidates may complete the FPSB® Retirement and Tax Planning Specialist education requirement and become eligible to sit for the certification exam in one of three ways:
1. Self-Paced Education
Candidates who sign up with FPSB and choose the “Self-Paced Learning” option will be given a password to access FPSB’s online learning portal, MyFPSBlearning. There, they can study and interact with various FPSB learning materials at their own pace, and evaluate their understanding through quizzes and module tests, enhancing their learning experience. This self-directed educational path may be especially suitable for appealing to experienced investment professionals or self-starters who enjoy studying on their schedule.
*Self-paced learners who do not pass all FPSB Retirement and Tax Planning Specialist module exams within two attempts, they will be required to switch to the instructor-led method by registering with an Authorized Education Provider (AEP). The House of Financial Planners is one of the AEP’s of FPSB
2. Instructor-Led Education
Candidates seeking a comprehensive educational experience with interactive learning and access to an FPSB Authorized Education Provider should choose the “Instructor-Led Learning” option when registering with FPSB. FPSB Authorized Education Providers deliver both classroom and online learning experiences. Upon registering for instructor-led education with FPSB, individuals will be prompted to choose from among FPSB’s authorized providers, all of which are detailed on the FPSB Ltd. website.
Candidates who opt for FPSB’s instructor-led education can expect to receive the below teaching hours per module.
Step 2. Exam
After successfully finishing the FPSB Retirement and Tax Planning Specialist education requirement, either through instructor-led options like House of Financial Planners or via a self-paced education course, candidates will be eligible to take the FPSB® Retirement and Tax Planning Specialist exam.
This exam evaluates the knowledge, skills, and abilities required to obtain the FPSB® Retirement and Tax Planning Specialist credential. It focuses on the essential functions of collection, analysis, and synthesis, which are further elaborated below. Each exam question primarily targets a specific competency element outlined in the FPSB Retirement and Tax Planning Specialist Competency Profile and might involve integrating multiple competencies.
Exam Overview
75 multiple-choice questions (4 possible answer choices), of which a minimum of 65 questions are potentially scored and up to 10 questions are used to develop future exams.
Computer-based testing format
Duration – two hours
Financial calculators permitted (data must be erased)
There will be two possible marks: correct, with points allotted; or incorrect, for zero points. Candidates will not have points deducted (referred to as ‘negative marking’)
Exam Scoring
The passing point on the FPSB® Retirement and Tax Planning Specialist exam is set to a level that is what is required for competent practice. Once set, future exams are equated to this same level so that candidates who take the exam one month have the same opportunity to demonstrate their abilities as candidates who take the exam a different month. The level of ability is what is consistent. This means that even if one exam is harder than another, the equating process gives every candidate the same opportunity to pass.
Areas of Practice
The exam will test the following areas of practice, which are also described to in more detail in the FPSB Retirement and Tax Planning Specialist Competency Profile.
FPSB Retirement and Tax Planning Specialist Areas of Practice
Retirement Planning 1. Retirement Principles 2. Retirement Objectives 3. Retirement Needs Analysis and Projections 4. Potential Sources of Retirement Cash Flow 5.Retirement Cash Flow, Withdrawal Projections and Strategies
Tax Planning 1. International Taxation 2. Cross-Border and Source Rules 3. Tax Strategies 4. Accounting Standards and Research
India Specific Modules/Chapters
Retirement Planning
Tax Planning
1. The Characteristic India Demography, Family, and the Retirement Preparedness 2. Pension Reforms in India 3. Retirement Products in India 4. Employee Benefits on Superannuation
1. India Tax Structure: Direct and Indirect 2. TaxesIncome-tax Act, 1961: Concepts and Terminology 3. Rules of Residency 4. What Constitutes Income From ‘Salary’? 5.Various Allowances and Their Exemption Limits 6. Taxable Perquisites 7. Income from House Property 8. Income from Capital Gains 9. Income from Other Sources 10. Income Exempt from Tax 11. Exemptions Available on Transfer of Long-term Capital Assets 12. Permissible Deductions from Gross Total Income 13. Profits and Gains of Business or Profession 14. Tax Treatment of Various Investments and Relative Advantage 15. Various Other Provisions Available under Tax Laws 16. Computation of Taxable Income and Tax and Filing of Returns
The FPSB Retirement and Tax Planning Specialist exam will test the knowledge, skills and abilities from the FPSB Retirement and Tax Planning Specialist education modules in the below proportions. However, there will not be specific sections allocated to the modules. Instead, questions relating to each module will appear in no specific order throughout the exam.
Likewise, although the FPSB Retirement and Tax Planning Specialist textbooks draw a distinction between “global” and “India-specific” education content, exam questions will not be specifically identified as such, and will appear in no specific order throughout the exam.
Difficulty Levels
The FPSB Retirement and Tax Planning Specialist certification exam is designed to assess knowledge, skills and abilities in the areas of collection, analysis and synthesis in approximately the following proportions:
Collection: Gathering information and identifying related facts by making required calculations and arranging client information for analysis. During the collection function, the core competency is to collect both the quantitative and qualitative information required to provide retirement advice.
Analysis: Considers issues, performs financial analysis and assesses the resulting information to be able to develop strategies for the client. This includes: (1) considering potential opportunities and constraints in developing strategies, and (2) assessing information to develop strategies.
Synthesis: Integrates the information needed to develop and evaluate strategies to create a retirement plan.
Once submitted, exam results will be reviewed in detail and the Candidate will receive additional determination information. Any appeal must be received no later than 30 days from the intimation of the exam result in LMS or through email. The decision after the appeal is completed will be considered final.
Step 3. Ethics
FPSB mandates that all individuals complete the FPSB Ethics course shortly after registering for the FPSB® Retirement and Tax Planning Specialist course. This course, included with the course materials purchase, is crucial as passing it and adhering to the Code of Ethics are prerequisites for obtaining the FPSB® Retirement and Tax Planning Specialist certification. The requirement to pass the Ethics course applies only once, even if pursuing multiple Specialist certifications and the CFPCM certification. Conducted online via MyFPSBlearning, the FPSB Ethics Course features interactive, recorded lessons that can be completed in one or several sessions, with periodic knowledge assessments. Once finished, this course fulfills the ethics training requirement for all FPSB Ltd. certifications available in India.
Ethics Attestation
After candidates have passed the FPSB Ethic Course, they must, as part of the FPSB Retirement and Tax Planning Specialist certification process, attest and agree to abide by the FPSB Code of Ethics.
1. Evaluate the public perception of the financial services profession
Knowledge Items
1. Why financial services professionals should study ethics 2. The difference between values and principles 3. Ethics and the law 4. Characteristics of a financial services professional 5. Public perception of the financial services profession
1. Construct a personal code of ethics
Knowledge Items 1. The purpose of a code of ethics 2. Business conduct standards 3. Reasonable person standard 4. Professional practice standard 5. Eight principles of FPSB’s Code of Ethics 6. Personal code of ethics
Step 4. Initial and Ongoing Certification
Ongoing Certification Requirements
To retain the FPSB Retirement and Tax Planning Specialist credential, certification holders are required to continually update their professional skills, knowledge, and competencies through ongoing educational activities.
FPSB Ltd. mandates that FPSB Retirement and Tax Planning Specialists renew their certification every year. To remain certified, you must:
✔ Commit to adhere to FPSB Ltd.’s Code of Ethics and any applicable laws and regulations.
✔ Obtain at least five Continuing Professional Development (CPD) hours/points. All points must be completed before applying for renewal of certification. At least two CPD hours/points need to directly relate to FPSB Ltd.’s Code of Ethics.
FPSB Coursework as Continuing Professional Development
FPSB Retirement and Tax Planning Specialists who pursue other Specialist courses are considered to have met their annual CPD requirement through the coursework for FPSB’s other financial certifications – as proven by registration in the FPSB Risk and Estate Planning Specialist, FPSB Investment Planning Specialist, or CFPCM certification programs.
Using your Badge and Certification Name Correctly
FPSB will post guidance on how to correctly identify yourself as an FPSB Retirement and Tax Planning Specialist. All certification holders will be required to abide by the guidance as part of the FPSB Code of Ethics.
FPSB Retirement and Tax Planning Specialist Competency Profile Module:
Retirement Planning
Global Retirement Planning
Chapter 1: Retirement Principles
Learning Objectives
1-1 Explain the value of planning for retirement
1-2 Analyze strategies for funding retirement
Knowledge Items
1.1 Value of early and consistent planning for retirement
1.2 Investing for retirement
1.2.1 Accumulation strategies
Chapter 2: Retirement Objectives
Learning Objectives
2-1 Identify a client’s retirement objectives
2-2 Evaluate the implications of a client’s attitudes toward retirement
2-3 Evaluate trade-offs needed to meet a client’s retirement objectives
2-4 Calculate capital required to fund a client’s retirement
Knowledge Items
2.1 Retirement goals and objectives
2.1.1 Goals and needs
2.1.2 Capital required for retirement
2.1.3 High net worth clients
2.2 Establishing retirement cash flow targets
2.2.1Conflicting goals and trade-offs
2.3 Objectives in retirement
2.4 Wealth transfer
Chapter 3: Retirement Needs Analysis and Projections
Learning Objectives
3-1 Identify the types of information to collect regarding a client’s estimated retirement expenses 3-2 Analyze financial goals and obligations
3-3 Calculate financial projections in retirement based on a client’s current financial position 3-4 Calculate amounts required to fund retirement cash flow needs
3-5 Analyze the impact of changes in assumptions on financial projections
Knowledge Items
3.1Longevity risk, inflation and the impact on retirement cash flow needs
3.2 Goal classification and funding
3.2.1 Fixed and terminable
3.2.2 Fixed and permanent
3.2.3 Variable and terminable
3.2.4 Variable and permanent
3.3 Goal development
3.3.1 Establishing goals and timelines
3.3.2 Determining goal priorities
3.4 Selecting and administering long-term investment portfolios
3.4.1 Risk, return and implications for retirement planning
Chapter 4: Potential Sources of Retirement Cash Flow
Learning Objectives
4-1 Identify details to collect of a client’s potential retirement cash flow sources
4-2 Analyze retirement benefits provided by the government
4-3 Analyze retirement benefits provided by employers
4-4 Explain how annuities are used to provide retirement cash flow
Knowledge Items
4.1 Pension funds
4.1.1 Government-sponsored
4.1.1.1 Defined benefit plans
4.1.2 Employer-sponsored
4.1.2.1 Defined contribution plans
4.2 Types of non-pension employee retirement benefits
4.3 Individual retirement plans
4.4 Annuities
4.4.1 Types of annuities
4.4.2 Settlement and payout options
Chapter 5: Retirement Cash Flow, Withdrawal Projections and Strategies
Learning Objectives
5-1 Calculate and analyze financial projections for a client’s retirement plan.
5-2 Describe whether a client’s retirement objectives are realistic
5-3 Describe the impact of changes in assumptions on financial projections
5-4 Calculate, analyze, and explain factors impacting retirement account distributions.
5-5 Apply retirement distribution strategies
Knowledge Items
5.1 Sources of cash flow in retirement
5.2 Portfolio distribution strategies
5.3 Retirement distribution rates
5.4 Sequence risk
5.4.1 Portfolio distribution options
5.5 Impact of taxes on retirement cash flow
India-Specific Retirement Planning
Chapter 1: The Characteristic India Demography, Family and the Retirement Preparedness
Learning Objectives
1-1 Understand India demography and potential disruptions in the future
1-2 Compare fiscal constraints with social security programs
1-3 Explain characteristics of the Indian family unit
Topics
1.1. A young India with low old age dependency ratio
1.2 Improving Life Expectancies, other Potential Disruptions to India Demography
1.3 Fiscal Constraints to deal with Large-scale Social Security Programs
1.4 A typical Indian Family – Three generations living together is still more common
1.5 Other Priority Goals and Obligations delay or disrupt retirement savings
1.6 Late Marriages and subsequent goals blur usual Life Stages
Chapter 2: Pension Reforms in India
Learning Objectives
2-1 Explain Old Age Social and Income Security (OASIS) Project
2-2 Distinguish pension scenario and defined benefit schemes
Topics
2.1 Old Age Social and Income Security (OASIS) Project
2.2 Pension Scenario – State Governments, Autonomous Bodies and Un-organized Sector
2.3 Government – Decisive shifting away from Defined Benefit Schemes
2.4 Mandatory contributory system
Chapter 3: Retirement Products in India
Learning Objectives
3-1 Understand employee provident funds and their digital transition
3-2 Illustrate National Pension System’s (NPS) infrastructure, functioning and advantages
3-3 Explain Public Provident Fund (PPF) and other voluntary institutional retirement products
3-4 Evaluate annuities and reverse mortgage schemes
Topics
3.1 Provident Funds
3.1.1 Employees’ Provident Fund and Employees’ Pension Scheme
3.1.2 Other recognized Provident Fund Types
3.1.3 Defined Contribution Plans – Institutional Framework and Investment Architecture
3.1.4 Tax Benefits on Subscriptions and Withdrawals
3.1.5 Universal Account Number (UAN) and Employer Portability
3.2 National Pension Systems (NPS) – PFRDA (Pension Fund) Regulations, 2015
3.2.1 Signature Scheme of Pension Fund Regulatory and Development Authority (PFRDA)
3.2.2 Unique Permanent Retirement Account Number (PRAN) and Portability Features
3.2.3 Types of Accounts – Tier-I and Tier-II
3.2.4 Tier-I Account (Meant for retirement savings)
3.2.4.1 Tax Treatment – Exempt-Exempt-Taxed (EET)
3.2.4.2 Withdrawal Limits on Retirement, Taxability and other Rules
3.2.4.3 An Exclusive Additional Tax Deduction under Section 80CCD(1B)
3.2.4.4. Other Features – Very Low Cost, Regulated and Funds based (Accumulated Units)
3.2.4.5 Annuity Provisions and Annuity Service Providers (PFRDA empaneled)
3.2.4.6 Partial withdrawal, Premature withdrawal, continuation and deferment
Broad Principles that categorize ‘Income’, Extended meaning of income
Capital and Revenue Receipts, and their Taxability
Chapter 3: Rules of Residency
Learning Objectives
3-1 Illustrate norms that establish the tax status of residents
3-2 Determine factors which differentiate Indian income from foreign income
Topics
Residential status of an individual and other taxable entities
Taxability based on Residential status
Individuals – Resident in India, Ordinarily Resident and Not-ordinarily resident
Individuals – Not-resident in India (NRI)
Residential Status of a Foreign Company
Residential Status of Hindu Undivided Family (HUF)
Residential Status of ‘any other person’
Incidence of Tax or Tax Liability
Indian Income and Foreign Income
Income ‘received’ vs. ‘accrue’ or ‘arise’ in India
Income deemed to accrue or arise in India
Chapter 4: What Constitutes Income From ‘Salary’?
Learning Objectives
4-1 Describe salary received in various forms and under various heads
4-2 Distinguish all receipts which are recognized and taxed within the meaning salaries
Topics
Salary received, salary due, arrears of salary, advance salary
Various heads of salary and their taxability
Various allowances including Dearness Allowance
Various perquisites
Profits in lieu of salary
Wages
Fees and Commission
Gratuity, Exemption limits – Government and other employees – on retirement or resignation
Annuity and Pension – Taxability of commuted pension amount – received with or without Gratuity payment
Leave encashment on retirement or resignation
Balance in recognized Provident Fund
Employer contribution under notified pension scheme, National Pension System (NPS) and recognized Provident Funds
Compensation received on Voluntary Retirement/Separation Schemes – Exemption limits for IT commissioner approved VRS/VSS schemes
Chapter 5: Various Allowances and Their Exemption Limits
Learning Objectives
5-1 Distinguish allowances which are exempt subject to rules and limits based on actual expenditure
5-2 Identify the rules and limits for various other specific allowances
Topics
Based on expenditure incurred
House Rent Allowance (HRA)
City Compensatory Allowance
Entertainment Allowance
Special Allowance – Travelling, Conveyance, Daily, Uniform, etc.
Irrespective of expenditure incurred
Hill area allowance
Tribal area allowance
Transport allowance
Chapter 6: Taxable Perquisites
Learning Objectives
6-1 Describe amenities and facilities provided by employer which attract tax
6-2 Illustrate Sweat equity and Employee Stock Options as perquisites and their tax incidence
Topics
Furnished /Unfurnished accommodation with no rent/concessional rent charged
Services of house help, attendant
Supply of amenities (electricity, water, gas, etc.)
Interest free loan or concessional loan
Use of car and other movable assets
Medical facility and club facility
Employer’s contribution towards superannuation fund (above the exempt maximum limit)
Value of specified security, sweat equity, Employee Stock Option Plan (ESOP) allotted/transferred to employee
Tax of an employee paid by employer
Chapter 7: Income from House Property
Learning Objectives
7-1 Evaluate the income ascribed to a house property treated as investment
7-2 Calculate loss from a self-occupied house property built on borrowed capital
Topics
The Basis of Charge
The Basis of computing income from a let out house property
Gross Annual Value (GAV) on the basis of Municipal Valuation (MV), Fair Rent (FR) and Standard Rent (SR)
Net Annual Value (NAV)
Standard Deduction under section 24(a) and Interest on borrowed capital u/s 24(b)
Self-occupied house purchased/built on borrowed capital
Chapter 8: Income from Capital Gains
Learning Objectives
8-1 Categorize various capital assets on their respective norms of long-term holding
8-2 Identify capital assets where the benefit of indexation is not allowed
8-3 Determine cost of acquisition and holding period on transfer of capital assets acquired at no consideration
8-4 Assess capital gain on transfer/redemption of equity oriented and debt securities
Topics
‘Capital Asset’
‘Short-term’ and ‘Long-term’ capital asset
Minimum period for different capital assets to become long-term capital assets
Indexation benefit basis cost inflation index (CII) in respect of certain capital assets
Capital assets transferred under a Gift, a Will, by succession/inheritance, etc. – Basis of cost of acquisition including improvement cost
Fair Market Value for capital assets acquired before April 1, 2001
Capital gain on transfer of land and building
Self-generated capital assets (goodwill, business rights/permits/licenses, trade mark, brand, etc.
Shares converted from debentures/bonds – basis of cost and period of holding
Transfer of securities in Dematerialized form – FIFO basis of cost and period of holding
Transfer of ESOP – cost of acquisition/consideration
Capital gain (long-term) on transfer/redemption of equity shares of domestic companies and units of equity-oriented MF schemes w.e.f. April 1, 2018 (grandfathering provisions)
Capital gain on buyback of shares
Capital gain on transfer/redemption of debt securities and units of income/liquid MF schemes
Tax on long-term/short-term capital gains where Securities Transaction Tax (STT) is paid
Tax on long-term/short-term capital gains where STT is not paid
Chapter 9: Income from Other Sources
Learning Objectives
9-1 Categorize various receipts which have treatment of tax at marginal rates
9-2 Calculate the tax incidence the recipient has on gifts of cash/kind, movable and immovable assets
Topics
Interest on Deposits (with banks, post office, companies, cooperative societies, etc.)
Interest on loans
Interest on securities, e.g. bonds, debentures, government securities, etc. (other than dividend from Indian companies)
Dividends received by residents and ordinarily residents from non-domestic companies
Gifts
Gift of cash and kind exempt within prescribed limit
Gift of movable assets above the prescribed limit
Gift of immovable assets at inadequate consideration
Winning from lotteries, horse races, card games, crossword puzzles, TV shows/contests, etc.
Income from racing establishment
Rental income on letting out plant, machinery, furniture and attached premises to such plant
Advance money received and forfeited in the course of negotiations on transfer of a capital asset
Income from undisclosed sources
Chapter 10: Income Exempt from Tax
Learning Objectives
10-1 Distinguish various income receipts exempt with their respective limits under rules
10-2 Analyze the exemption of Agricultural income and its evaluation on aggregate and net basis
10-3 Illustrate exemption admissible under house rent allowance in various conditions
Topics
Agricultural Income (meaning and tax treatment)
Family income received by a member of HUF
Leave Travel Concession (LTC)
Gratuity received by an employee on retirement or by dependents on death of employee (subject to rules)
Commuted value of pension (subject to rules)
Leave Encashment including on retirement (subject to rules)
Voluntary retirement/separation compensation (subject to rules and limits)
Life insurance policy proceeds1
Amount received on maturity from Public Provident Fund, statutory Provident Fund, Sukanya Samriddhi Scheme
House Rent Allowance (subject to rules and limits)
Income of minor child (subject to limits)
Dividends from domestic companies and Units of Mutual Fund schemes (on or after April 1, 2003, subject to limits w.e.f. April 1, 2018)
Any amount received in a transaction of reverse mortgage (lump-sum or installments)
Chapter 11: Exemptions Available on Transfer of Long-term Capital Assets
Learning Objectives
11-1 Construct a scenario of availing exemption of long-term capital gains arising from transfer of house property
11-2Assess various situations to minimize long-term capital gains on transfer of other capital assets
11-3 Describe the stipulations/conditions to be maintained over various timelines if exemption of long-term capital gains availed
Topics
Capital gains arising from transfer of residential property (long-term)
In acquiring another housing property (in terms of Section 54)
In acquiring Equity shares in an ‘eligible company’2 (in terms of Section 54GB) until March 31, 2021
Capital gains deposit account scheme is utilized to park funds to be used in specified time limits
Capital gains arising from transfer of any long-term capital asset
In acquiring certain specified bonds3 (in terms of Section 54EC)
In acquiring certain long-term specified assets4 (in terms of Section 54EE)
In acquiring the first residential property (in terms of Section 54F)
Chapter 12: Permissible Deductions from Gross Total Income
Learning Objectives
12-1 Categorize deductions from gross total income and optimize them within overall limits
12-2 Evaluate deductions available with short-term and long-term commitments to reduce tax incidence within income constraints and financial goals
Topics
Standard Deduction
Professional Tax
Employer contributions (forming part of Employee cost to company) to statutory and recognized Provident Funds, National Pension System (subject to approved limits)
Approved investments, PF/NPS employee contributions, insurance premium, repayment of borrowed capital in housing loans, etc. (subject to limits of Section 80CCE)
Additional contribution under NPS (subject to limits of Section 80CCD[1B])
Interest on borrowed capital in housing loans (subject to limits of Section 24b)
Medical Insurance premium (Section 80D)
Medical treatment (Section 80DD/Section 80DDB)
Approved Donations (Section 80G)Rent paid by self-employed individuals (subject to rules and limit under Section 80GG)
Interest on deposits in savings bank account (subject to limit under Section 80TTA)
Rebate under Section 87A
Chapter 13: Profits and Gains of Business or Profession
Learning Objectives
13-1 Describe businesses and their receipts with related principles for recognition
13-2 Understand allowances and specific deductions available to businesses
Topics
Meaning of business, profession or vocation
The basis of charge
Business income, profits, compensation received, etc.
Principles for arriving at business income
Exclusions from business income
MAT and AMT – Objectives, Provisions and Applicability
Methods of Accounting
Business allowances and deduction including specific deductions
Depreciation allowance (methods, rates for different assets, set off and carry forward provisions)
Masala Bonds, FCCB, Security Receipts, PTCs, GDRs and Warrants
Tax Applicability on Stock Lending/Borrowing, Segregated portfolios of MFs, Winding up of MF schemes
Sovereign Gold Bonds (SGB), tax advantage on maturity and secondary market transactions over bullion investment
Taxability of Investment Instruments – EEE, EET and ETE
Tax Aspects of AIFs, REITs and InvITs, Derivatives on Currency, Interest Rate and Commodities
Tax Liability on Foreign Investments by NRIs and PIOs
Chapter 15: Various Other Provisions Available under Tax Laws
Learning Objectives
15-1 Explain various provisions under tax laws as well as certain requirements for effective discharge of tax statuses
15-2 Understand and interpret various set-off and carry forward of losses available under various heads as well as loss avoidance not available in dividend and bonus stripping
Topics
Clubbing of Income
Set off and carry forward of losses
Business loss and depreciation
Speculation loss
Capital loss (rules for long-term and short-term set off)
Loss from house property
Loss on sale of shares/securities where dividend received (Section 94[7])
Loss on sale of units of Mutual Fund where bonus units received (Section 94[8])
Deduction and Collection of Tax on Source
Tax Deducted at Source (TDS)
Salaries, Fees on Professional and Technical Services
Rents and Deposits
Payment to Contractors/sub-contractors
Winning from Lotteries, Races, Crossword Puzzles, TV shows/contests, etc.
Withdrawal from provident funds within minimum prescribed period
Tax Collected at Source (TCS)
Penalty in case of failure to deduct TDS/TCS
Rounding off of taxable income
Cash payment over a specified limit
Chapter 16: Computation of Taxable Income and Tax and Filing of Returns
Learning Objectives
16-1 Explain the process to arrive at taxable income and determine tax liability
16-2 Arrange ways to discharge tax liability estimated by way of self-assessment tax and periodical advance taxes
16-3 Understand nuances of timely filing tax return and the associated advantages and as well as pitfalls on default of filing return
16-4 Explain the circumstance where revised return needs to be filed
Topics
Income from all sources
Set off of losses – Current year and earlier years – Gross Total Income
Admissible deductions – Net Income or Taxable Income
Tax Liability – Income taxable at special rates and normal rates
Tax as per slabs and applicable rates, surcharge and cesses
Self-assessment tax
Advance Tax – Due dates of filing and percentage limits of advance tax payable
Who should file Returns?
Exemption Limits for Resident, Senior Citizen and Super Senior Citizen
Benefit of filing Return – Set off of carry forward losses, adjustment/refund of TDS amounts
Appropriate Income Tax Return (ITR) Form
Mode of submission (e-filing) and last due date
Return filed beyond time – Penalty and other consequences
Interest payable on default in furnishing return and default in payment of advance tax
Revised Return
Tax Refunds
FPSB Certification Code of Ethics (for all FPSB certifications)
FPSB LTD. CODE OF ETHICS
Observing the highest ethical and professional standards allows professionals to serve the interests of clients and promote the profession for the benefit of society. As part of their commitment, professionals should provide appropriate disclosures and comply with ethical standards when delivering advice to clients. FPSB has incorporated ethical behavior and judgment, and compliance with ethical standards, into its global standards for professionals. To ensure these obligations are understood, FPSB incorporates ethical standards into its certification requirements.
FPSB’s Code of Ethics Principles are statements expressing in general terms the ethical standards that professionals should adhere to in their professional activities. The comments following each Principle further explain the intent of the Principle. The Principles are aspirational and are intended to provide guidance for professionals on appropriate and acceptable professional behavior.
FPSB’s Code of Ethics Principles reflect professionals’ recognition of their responsibilities to clients, colleagues and employers. The Principles guide the performance and activities of anyone involved in the practice of advice; the concept and intent of these Principles are adapted and enforced on professionals by FPSB through rules of professional conduct.
Principle 1 – Client First
Place the client’s interests first
Placing the client’s interests first is a hallmark of professionalism, requiring the specialist to act honestly and not place personal gain or advantage before the client’s interests.
Principle 2 – Integrity
Provide professional services with integrity.
Integrity requires honesty and candor in all professional matters. Professionals are placed in positions of trust by clients, and the ultimate source of that trust is the specialist’s personal integrity. Allowance can be made for legitimate differences of opinion, but integrity cannot co-exist with deceit or subordination of one’s principles. Integrity requires the specialist to observe both the letter and the spirit of the Code of Ethics.
Principle 3 – Objectivity
Provide professional services objectively.
Objectivity requires intellectual honesty and impartiality. Regardless of the services delivered or the capacity in which a specialist functions, objectivity requires that professionals ensure the integrity of their work, manage conflicts of interest and exercise sound professional judgment.
Principle 4 – Fairness
Be fair and reasonable in all professional relationships. Disclose and manage conflicts of interest.
Fairness requires providing clients what they are due, owed or should expect from a professional relationship, and includes honesty and disclosure of material conflicts of interest. Fairness involves managing one’s own feelings, prejudices and desires to achieve a proper balance of interests. Fairness is treating others in the same manner that you would want to be treated.
Principle 5 – Professionalism
Act in a manner that demonstrates exemplary professional conduct.
Professionalism requires behaving with dignity and showing respect and courtesy to clients, fellow professionals, and others in business-related activities, and complying with appropriate rules, regulations and professional requirements. Professionalism requires the specialist, individually and in cooperation with peers, to enhance and maintain the profession’s public image and its ability to serve the public interest.
Principle 6 – Competence
Maintain the abilities, skills and knowledge necessary to provide professional services competently.
Competence requires obtaining and maintaining an adequate level of abilities, skills and knowledge in the provision of professional services. Competence also includes the wisdom to recognize one’s own limitations and when consultation with other professionals is appropriate or referral to other professionals necessary. Competence requires the specialist to make a continuing commitment to learning and professional improvement.
Principle 7 – Confidentiality
Protect the confidentiality of all client information.
Confidentiality requires that client information be protected and maintained in such a manner that allows access only to those who are authorized. A relationship of trust and confidence with the client can only be built on the understanding that the client’s information will not be disclosed inappropriately.
Principle 8 – Diligence
Provide professional services diligently.
Diligence requires fulfilling professional commitments in a timely and thorough manner and taking due care in delivering professional services.
Are you prepared for a top-tier educational experience provided by the Financial Planning Standards Board Ltd., the organization that sets standards for the financial planning profession globally? Available both online and through instructors like House of Financial Planners, FPSB Ltd.’s investment planning course equips you to enhance your clients’ investment strategies based on their risk profile, financial capacity and constraints.
The course teaches you about different types of securities, investment theory and practice, portfolio construction and management, investment strategies and tactics, and securities laws and regulatory compliance. To be recognized by employers, clients, and the public for your knowledge and competency in investment planning, complete the roadmap below to obtain FPSB® Investment Planning Specialist certification in India.
About FPSB Ltd. and FPSB Programs in India
Financial Planning Standards Board Ltd. (FPSB) serves as the global authority for setting standards in financial planning and owns the CFPCM, CERTIFIED FINANCIAL PLANNERCM and , and marks outside the United States. FPSB is delighted to present its Investment Planning Specialist program, one of three pathways to CFP certification in India:
FPSB® Investment Planning Specialist
FPSB® Risk and Estate Planning Specialist
FPSB® Retirement and Tax Planning Specialist
Each certification includes its unique coursework, examination, and credential. Notably, the courses for FPSB pathway certifications contribute to the educational requirements for CFPCM certification in India. Professionals interested in pursuing CFP certification can start by enrolling with FPSB and choosing any of the three pathway certifications, in any sequence. This document will concentrate on the FPSB Investment Planning Specialist certification.
FPSB® Investment Planning Specialist Overview
Take Your Career to the Next Level
Whether completed online or through an instructor like House of Financial Planners, the FPSB® Investment Planning Specialist course details methods for creating strategies and techniques aimed at maximizing a client’s investments, considering their risk profile, financial capacity, and constraints. This course is structured to deepen your understanding of various securities, investment theory and practice, the building and managing of portfolios, investment strategies and approaches, and adherence to securities laws and regulatory compliance.
Steps to Initial Certification
The requirements for FPSB Investment Planning Specialist certification are as follows:
Successfully complete the FPSB Ltd. Ethics Course.
Successfully complete FPSB’s education modules for
Personal Financial Management
Investment Planning and Asset Management
Regulatory Environment, Law and Compliance
Pass the FPSB Investment Planning Specialist exam, which aligns to the topics identified in the FPSB Investment Planning Specialist Competency Profile.
Complete your certification application, which includes your agreement to comply with FPSB Ltd.’s Code of Ethics and payment of an annual certification fee.
Step 1: Education
Criteria to Register
Candidates must be at least 18 years old and have completed HSC/12th grade (Std XII/HSC) to register with FPSB and start the FPSB Investment Planning Specialist education course. It is required that candidates register with FPSB at least 30 days before registering for the exam.
Period for Course Completion
Individuals are required to finish the FPSB Investment Planning Specialist certification program within three years from their initial registration with FPSB Ltd. and must renew their registration annually. If the program is not completed within three years, FPSB Ltd. will deem the registration invalid. Candidates should evaluate their ability to complete the program within this timeframe before registering.
Module
Name and Description
Personal Financial Management
The Personal Financial Management module provides an overview of how to evaluate and collect client information. Candidates will learn how to evaluate investment strategy options and develop financial management strategies based on a client’s unique situation. Candidates will learn how to develop an implementation plan that will provide the client an opportunity to meet his or her financial management goals and objectives.
Investment Planning and Asset Management
The Investment Planning and Asset Management module provides an overview of global and local economic institutions and other factors, such as the stock exchange, asset classes and securities, that impact investment planning as well as principles of investment risk. Candidates will learn various methods of computing expected returns from stocks, bonds and integrated portfolios, including investment risk and valuation ratios Through this module, Candidates will become familiar with the concepts of buying and selling securities, pooled investment products and behavioral finance, and learn how to interview clients to develop a personal risk profile.
Regulatory Environment, Compliance and Law
The Regulatory Environment module provides an overview of key foundational legislation and regulations. Through this module Candidates will become familiar with various regulatory bodies and varying economic, social and political environments. Other fundamental topics covered in the module include anti-money laundering and behavioral finance.
FPSB Ltd. Educational Resources
FPSB Ltd. Will provide program participants with digital textbooks, supplementary post-chapter quizzes, post-module exams, and additional course materials via its online learning platform, MyFPSBlearning. All educational resources provided by FPSB Ltd. are tailored to the FPSB Investment Planning Specialist curriculum. Every candidate, irrespective of their chosen method of study, must acquire these materials.
Education
Candidates may complete the FPSB Investment Planning Specialist education requirement and become eligible to sit for the certification exam in one of three ways:
Self-Paced Education
Candidates who enroll with FPSB and opt for “Self-Paced Learning” will be provided a password to access FPSB’s online learning platform, MyFPSBlearning. There, they can engage with various FPSB learning materials at their preferred pace and evaluate their understanding through quizzes and module tests, enhancing their learning experience. This self-directed educational path is particularly suitable for seasoned investment professionals or motivated individuals who prefer to study according to their own schedules.
*Self-paced learners who do not pass all FPSB Investment Planning Specialist module exams after the two attempts will be asked to pursue the instructor-led path by enrolling with an Authorized Education Provider (AEP). The House of Financial Planners is an authorized education provider of FPSB India.
2. Instructor-Led Education
Candidates seeking a comprehensive educational experience with interactive learning and access to an FPSB Authorized Education Provider should choose the “Instructor-Led Learning” option when registering with FPSB. FPSB Authorized Education Providers deliver both classroom and online learning experiences. Upon registering for instructor-led education with FPSB, individuals will be prompted to choose from among FPSB’s authorized providers, all of which are detailed on the FPSB Ltd. website.
Candidates who opt for FPSB’s instructor-led education can expect to receive the below teaching hours per module.
Step 2. Exam
Upon successfully completing the FPSB Investment Planning Specialist education requirement, either through an FPSB instructor-led course or a self-paced education program, candidates will qualify to take the FPSB Investment Planning Specialist exam.
This exam evaluates the depth of knowledge, skills, and abilities required to obtain the FPSB Investment Planning Specialist credential. It includes tasks such as collection, analysis, and synthesis, which are explained in more detail below. Each question in the exam is mainly based on a specific competency from the FPSB Investment Planning Specialist Competency Profile and may involve combining several competencies to provide a comprehensive assessment.
Exam Overview
75 multiple-choice questions (4 possible answer choices), of which a minimum of 65 questions are potentially scored and up to 10 questions are used to develop future exams.
Computer-based testing format
Duration – two hours
Financial calculators permitted (data must be erased)
There will be two possible marks: correct, with points allotted; or incorrect, for zero points. Candidates will not have points deducted (referred to as ‘negative marking’)
Exam Scoring
The passing point on the FPSB® Investment Planning Specialist exam is set to a level that is what is required for competent practice. Once set, future exams are equated to this same level so that candidates who take the exam one month have the same opportunity to demonstrate their abilities as candidates who take the exam a different month. The level of ability is what is consistent. This means that even if one exam is harder than another, the equating process gives every candidate the same opportunity to pass.
Areas of Practice
The exam will test the following areas of practice, which are also described to in more detail in the FPSB Investment Planning Specialist Competency Profile.
FPSB Investment Planning Specialist Global Areas of Practice
Personal Financial Management
Investment Planning and Asset Management
Regulatory Environment, Law and Compliance
Personal Financial Situation
Investment Objectives, Constraints and Suitability
Introduction to the Regulatory Environment
Cash Flow Demands and Conflicts
Asset Classes and Securities
Legislated ‘Client Best Interest’ Requirement
Budget and Emergency Funds
Pooled Investment Products
Economic Environment and Financial Advice
Debt and Financing Alternatives
Principles of Investment Risk
Social and Political Environments
Financial Management Strategies
Investment Performance Management
Compliance and Implications
Time Value of Money
Investment Theory
Anti-Money Laundering
Asset Allocation
Wealth Management
Behavioral Finance
FPSB Investment Planning Specialist India Specific Areas of Practice
Personal Financial Management
Investment Planning and Asset Management
Regulatory Environment, Law and Compliance
Cash Management/ Liquid Investment Products in India
Indian Financial Markets
Regulatory System and Environment
Sources of Personal Credit/Debt in India
The Investment Landscape
Role of Regulators
Credit/Debt Management
Investing in Capital Markets, Operational Aspects and Investment Products
Acts Relevant to Corporate Entities, Securities and External Trade
Small Savings Schemes and Instruments with Sovereign Guarantee
Consumer Grievances Redressal
Investing in Fixed Income Securities
Other Acts, Statutes and Regulations Relevant to Financial Consumers
Evaluation of Ecosystem and Client Sensitivity in Managing Situations
Regulation of Market Intermediaries in Financial Products
Financial Advisory and Financial Planning
The FPSB Investment Planning Specialist exam will test the knowledge, skills and abilities from the FPSB Investment Planning specialist education modules in the below proportions. However, there will not be specific sections allocated to the modules. Instead, questions relating to each module will appear in no specific order throughout the exam.
Likewise, although the FPSB Investment Planning Specialist textbooks draw a distinction between “global” and “India-specific” education content, exam questions will not be specifically identified as such, and will appear in no specific order throughout the exam.
Difficulty Levels
The FPSB Investment Planning Specialist certification exam is designed to assess knowledge, skills and abilities in the areas of collection, analysis, and synthesis in approximately the following proportions:
Collection: Gathering information and identifying related facts by making required calculations and arranging client information for analysis. During the collection function, the core competency is to collect both the quantitative and qualitative information required to provide investment advice.
Analysis: considers issues, performs financial analysis and assesses the resulting information to be able to develop strategies for the client. This includes: (1) considering potential opportunities and constraints in developing strategies, and (2) assessing information to develop strategies.
Synthesis: integrates the information needed to develop and evaluate strategies to create an investment plan.
Once submitted, exam results will be reviewed in detail and the Candidate will receive additional determination information. Any appeal must be received no later than 30 days from the intimation of the exam result in LMS or through email. The decision after the appeal is completed will be considered final.
Step 3. Ethics
FPSB requires all individuals complete the FPSB Ethics course shortly after enrolling in the Investment Planning Specialist course. This course, included with the purchase of course materials, is essential as passing it and adhering to the Code of Ethics are prerequisites for obtaining the Investment Planning Specialist certification. The requirement to pass the Ethics course applies only once, even if pursuing multiple Specialist certifications and the CFPCM certification. Conducted online via MyFPSBlearning, the FPSB Ethics Course features interactive, recorded lessons that can be completed in one or several sessions, with periodic knowledge assessments. Once finished, this course fulfills the ethics training requirement for all FPSB Ltd. certifications available in India.
Ethics Attestation
After candidates have passed the FPSB Ethic Course, they must, as part of the FPSB Investment Planning Specialist certification process, attest and agree to abide by the FPSB Code of Ethics.
Introduction
Codes of Ethics
Learning Objectives 1. Explain why financial services professionals should study ethics 2. Describe the difference between values and principles 3. Describe the relationship between ethics and the law 4. Describe a financial services professional 5. Identify characteristics of a professional 6. Evaluate the public perception of the financial services profession
Knowledge Items 1. Why financial services professionals should study ethics 2. The difference between values and principles 3. Ethics and the law 4. Characteristics of a financial services professional 5. Public perception of the financial services profession
Learning Objectives 1. Identify the purposes of codes of ethics 2. Distinguish between the reasonable person standard and the professional practice standard 3. Identify the eight principles of FPSB’s Code of Ethics 4. Apply the principles of FPSB’s Code of Ethics to various case studies and examples 5. Construct a personal code of ethics
Knowledge Items 1. The purpose of a code of ethics 2. Business conduct standards 3. Reasonable person standard 4. Professional practice standard 5. Eight principles of FPSB’s Code of Ethics 6. Personal code of ethics
To maintain the right to use the FPSB Investment Planning Specialist credential, certification holders must maintain their professional skills, knowledge, and abilities through ongoing learning activities.
FPSB Ltd. requires FPSB Investment Planning Specialists to renew their certification annually. To remain certified as an FPSB Investment Planning Specialist certification holders must:
✔ Commit to adhere to FPSB Ltd.’s Code of Ethics and any applicable laws and regulations.
✔ Obtain at least five Continuing Professional Development (CPD) hours/points. All points must be completed before applying for renewal of certification. At least two CPD
hours/points need to directly relate to FPSB Ltd.’s Code of Ethics.
FPSB Coursework as Continuing Professional Development
FPSB Investment Planning Specialists who pursue other Specialist courses are considered to have met their annual CPD requirement through the coursework for FPSB’s other certifications – as proven by registration in the FPSB Risk and Estate Planning Specialist, FPSB Retirement and Tax Planning Specialist, or CFPCM certification programs.
Using your Badge and Certification Name Correctly
FPSB will post guidance on how to correctly identify yourself as an FPSB Investment Planning Specialist. All certification holders will be required to abide by the guidance as part of the FPSB Code of Ethics.
Chapter 3: Acts Relevant to Corporate Entities, Securities and External Trade
Learning Objectives
3-1 Distinguish Acts in India specific to financial sector regulation
Topics
The Companies Act, 2013 (erstwhile 1956)
The Indian Trusts Act, 1882
The Securities Contracts Regulation Act, 1956
The Securities and Exchange Board of India Act, 1992
The Foreign Exchange Management Act, 1999
The Prevention of Money Laundering Act, 2002 (PMLA)
The Insolvency and Bankruptcy Code, 2016 (IBC)
Negotiable Instruments Act, 1883
The Forward Contracts Regulation Act, 1952
The Indian Contract Act, 1872The Indian Partnership Act, 1932
The Limited Liability Partnership Act, 2008
Chapter 4: Consumer Grievances Redressal
Learning Objectives
4-1 Understand consumer grievances redressal under various regulators
4-2 Distinguish nuances of comprehensive consumer empowerment in the digital era
Topics
Redress in Banking – The Banking Ombudsman Scheme 2006 (amended July 1, 2017)
Investor Grievance Redress Mechanism – SEBI Complaints Redress System (SCORES) platform
Insurance Ombudsman Scheme
Stipendiary Ombudsman – PFRDA
The Consumer Protection Act, 2019 (new act)
Chapter 5: Other Acts, Statutes and Regulations Relevant to Financial Consumers
Learning Objectives
5-1 Understand other Acts, Statutes and Regulations impacting financial consumers
Topics
Right to Information Act, 2005 RTI)
SEBI (Disclosure and Investor Protection) Guidelines, 2000 (DIP)
IRDAI (Protection of Policyholders’ Interests) Regulations, 2017
Chapter 6: Regulation of Market Intermediaries in Financial Products
Learning Objectives
6-1 Compare regulations of market intermediaries in financial products
Topics
SEBI (Intermediaries) Regulations, 2008
SEBI (Investment Advisers) Regulations, 2013
SEBI (Self-Regulatory Organizations) Regulations, 2004
PFRDA Retirement Adviser) Regulations, 2016
PFRDA (Point of Presence) Regulations, 2015
IRDA (Licensing of Insurance Agents) Regulations, 200
FPSB Certification Code of Ethics (for all FPSB certifications)
FPSB LTD. CODE OF ETHICS
Observing the highest ethical and professional standards allows professionals to serve the interests of clients and promote the profession for the benefit of society. As part of their commitment, professionals should provide appropriate disclosures and comply with ethical standards when delivering advice to clients. FPSB has incorporated ethical behavior and judgment, and compliance with ethical standards, into its global standards for professionals. To ensure these obligations are understood, FPSB incorporates ethical standards into its certification requirements.
FPSB’s Code of Ethics Principles are statements expressing in general terms the ethical standards that professionals should adhere to in their professional activities. The comments following each Principle further explain the intent of the Principle. The Principles are aspirational and are intended to provide guidance for professionals on appropriate and acceptable professional behavior.
FPSB’s Code of Ethics Principles reflect professionals’ recognition of their responsibilities to clients, colleagues and employers. The Principles guide the performance and activities of anyone involved in the practice of advice; the concept and intent of these Principles are adapted and enforced on professionals by FPSB through rules of professional conduct.
Principle 1 – Client First
Place the client’s interests first
Placing the client’s interests first is a hallmark of professionalism, requiring the specialist to act honestly and not place personal gain or advantage before the client’s interests.
Principle 2 – Integrity
Provide professional services with integrity.
Integrity requires honesty and candor in all professional matters. Professionals are placed in positions of trust by clients, and the ultimate source of that trust is the specialist’s personal integrity. Allowance can be made for legitimate differences of opinion, but integrity cannot co-exist with deceit or subordination of one’s principles. Integrity requires the specialist to observe both the letter and the spirit of the Code of Ethics.
Principle 3 – Objectivity
Provide professional services objectively.
Objectivity requires intellectual honesty and impartiality. Regardless of the services delivered or the capacity in which a specialist functions, objectivity requires that professionals ensure the integrity of their work, manage conflicts of interest and exercise sound professional judgment.
Principle 4 – Fairness
Be fair and reasonable in all professional relationships. Disclose and manage conflicts of interest.
Fairness requires providing clients what they are due, owed or should expect from a professional relationship, and includes honesty and disclosure of material conflicts of interest. Fairness involves managing one’s own feelings, prejudices and desires to achieve a proper balance of interests. Fairness is treating others in the same manner that you would want to be treated.
Principle 5 – Professionalism
Act in a manner that demonstrates exemplary professional conduct.
Professionalism requires behaving with dignity and showing respect and courtesy to clients, fellow professionals, and others in business-related activities, and complying with appropriate rules, regulations and professional requirements. Professionalism requires the specialist, individually and in cooperation with peers, to enhance and maintain the profession’s public image and its ability to serve the public interest.
Principle 6 – Competence
Maintain the abilities, skills and knowledge necessary to provide professional services competently.
Competence requires obtaining and maintaining an adequate level of abilities, skills and knowledge in the provision of professional services. Competence also includes the wisdom to recognize one’s own limitations and when consultation with other professionals is appropriate or referral to other professionals necessary. Competence requires the specialist to make a continuing commitment to learning and professional improvement.
Principle 7 – Confidentiality
Protect the confidentiality of all client information.
Confidentiality requires that client information be protected and maintained in such a manner that allows access only to those who are authorized. A relationship of trust and confidence with the client can only be built on the understanding that the client’s information will not be disclosed inappropriately.
Principle 8 – Diligence
Provide professional services diligently.
Diligence requires fulfilling professional commitments in a timely and thorough manner and taking due care in delivering professional services.
Are you prepared for a premier learning experience provided by the Financial Planning Standards Board Ltd., the global authority setting standards in the financial planning industry? Whether taken online or through an instructor like House of Financial Planners, FPSB Ltd.’s risk and estate planning course equips you to devise strategies to minimize your clients’ financial risks and effectively manage their accumulated assets.
The course teaches you to evaluate your clients’ legal, tax, financial, and insurance positions, and the impacts of non-financial issues, to guide clients to conserve and transfer wealth consistent with client goals. To be recognized by employers, clients, and the public for your knowledge and competency in retirement and tax planning, complete the roadmap below to obtain FPSB® Risk and Estate Planning Specialist certification in India.
About FPSB Ltd. and FPSB Programs in India
Financial Planning Standards Board Ltd. (FPSB) serves as the global authority for setting standards in financial planning and is the proprietor of the CFPCM, CERTIFIED FINANCIAL PLANNERCMand, and marks outside the United States. FPSB proudly offers its Risk and Estate Planning Specialist program, which is one of three pathways to achieving CFP certification in India:
FPSB® Investment Planning Specialist
FPSB® Retirement and Tax Planning Specialist
FPSB® Risk and Estate Planning Specialist
Each certification pathway includes its specific coursework, examination, and credential. Notably, completing these pathway courses also counts towards the educational requirements for CFPCM certification in India. Professionals interested in pursuing CFP certification can start by enrolling with FPSB and choosing any of the three pathway certifications, in any sequence. This document will concentrate on the FPSB Risk and Estate Planning Specialist certification.
FPSB® Risk and Estate Planning Specialist Overview.
Take Your Career to the Next Level
The FPSB® Risk and Estate Planning Specialist course equips you to create strategies that manage clients’ financial exposure arising from personal risks and assists clients in preserving and distributing their accumulated assets.
This course trains you to assess your clients’ legal, tax, financial, and insurance positions, as well as the impacts of non-financial factors, guiding them to protect and transfer wealth in alignment with their objectives. To gain acknowledgment from employers, clients, and the public for your advanced skills and knowledge in risk and estate planning, follow the outlined steps to secure the FPSB® Risk and Estate Planning Specialist certification in India.
Steps to Initial Certification
The requirements for FPSB Risk and Estate Planning Specialist certification are as follows:
Successfully complete the FPSB Ltd. Ethics Course.
Pass the FPSB Risk and Estate Planning Specialist Exam, which aligns with the topics identified in the FPSB Risk and Estate Planning Specialist Competency Profile
Complete your Certification Application, which includes your agreement to comply with FPSB Ltd.’s Code of Ethics and payment of an annual certification fee.
Step 1: Education
Criteria to Register
Candidates must be at least 18 years old and have completed HSC/12th grade (Std XII/HSC) to register with FPSB and start the FPSB Risk and Estate Planning Specialist education course. It is required that candidates register with FPSB at least 30 days before registering for the exam.
Period for Course Completion
Individuals must complete the FPSB Risk and Estate Planning Specialist certification program within three years of their initial registration with FPSB Ltd., and they are required to renew their registration annually. If the program is not completed within three years, FPSB Ltd. will deem the registration invalid. Candidates should evaluate their ability to complete the program within this timeframe before registering.
Module
Name and Description
Risk Management
The material in this course covers risk management and insurance. Upon completion of this course, candidates should have a good understanding of risk management need areas and ways to address them. Candidates should be able to evaluate existing insurance coverage and how it addresses the client’s risk management needs. Finally, candidates should be able to develop various strategies to protect the client’s financial wellbeing through appropriate risk management.
Estate Planning
The material in this course covers risk management and insurance. Upon completion of this course, candidates should have a good understanding of risk management need areas and ways to address them. Candidates should be able to evaluate existing insurance coverage and how it addresses the client’s risk management needs. Finally, candidates should be able to develop various strategies to protect the client’s financial well-being through appropriate risk management.
FPSB Ltd. Educational Resources
FPSB Ltd. It will provide participants of the program with digital textbooks, supplemental practice quizzes after each chapter, post-module exams, and additional course materials via its online learning portal, MyFPSBlearning. All educational resources from FPSB Ltd. are tailored to meet the FPSB Risk and Estate Planning Specialist learning objectives. All candidates, irrespective of their mode of education, are required to purchase these materials.
Education
Candidates may complete the FPSB Risk and Estate Planning Specialist education requirement and become eligible to sit for the certification exam in one of three ways:
Self-Paced Education
Candidates who enroll with FPSB and choose the “Self-Paced Learning” option will receive a password to access FPSB’s online learning platform, MyFPSBlearning. Here, they can study FPSB’s various educational materials at their own pace and test their understanding through quizzes and module tests to enhance their learning experience. This mode of self-paced education is particularly suitable for seasoned investment professionals or independent learners who prefer to study on their own timetable.
*Self-paced learners who do not pass all FPSB Risk and Estate Planning Specialist module exams after the two attempts will be asked to pursue the instructor-led path by enrolling with an Authorized Education Provider (AEP). The House of Financial Planners is an education provider of FPSB India.
2. Instructor-Led Education
Candidates who want an immersive educational experience with hands-on learning and access to an FPSB Authorized Education Provider should register for “Instructor-Led Learning” when signing up with FPSB. FPSB Authorized Education Providers offer both classroom and online education experiences. When registering with FPSB, individuals who sign up for instructor-led education will be asked to select from amongst FPSB’s authorized providers, which are also listed on the FPSB Ltd. website.
Candidates who opt for FPSB’s instructor-led education can expect to receive the below teaching hours per module.
Step 2. Exam
Upon successful completion of the FPSB® Risk and Estate Planning Specialist education requirement, whether through instructor-led or self-paced education courses, candidates will be able to sit for the FPSB® Risk and Estate Planning Specialist exam.
The exam assesses the level of knowledge, skill, and ability needed to earn the FPSB Risk and Estate Planning Specialist credential, including the functions of collection, analysis, and synthesis (detailed further below). Each question on the exam focuses primarily on a specific element of competency from the FPSB® Risk and Estate Planning Specialist Competency Profile and may require integration across several competencies.
Exam Overview
75 multiple-choice questions (4 possible answer choices), of which a minimum of 65 questions are potentially scored and up to 10 questions are used to develop future exams.
Computer-based testing format
Duration – two hours
Financial calculators permitted (data must be erased)
There will be two possible marks: correct, with points allotted; or incorrect, for zero points. Candidates will not have points deducted (referred to as ‘negative marking’)
Exam Scoring
The passing point on the FPSB® Risk and Estate Planning Specialist exam is set to a level that is what is required for competent practice. Once set, future exams are equated to this same level so that candidates who take the exam one month have the same opportunity to demonstrate their abilities as candidates who take the exam a different month. The level of ability is what is consistent. This means that even if one exam is harder than another, the equating process gives every candidate the same opportunity to pass.
Areas of Practice
The exam will test the following areas of practice, which are also described in more detail in the FPSB Risk and Estate Planning Specialist Competency Profile.
FPSB Risk and Estate Planning Specialist Areas of Practice
Risk Management – Global 1. Principles of Risk Management 2. Risk Exposures 3. Introduction to Insurance 4. Insurance Company and Advisor Selection 5. Strategic Solutions
Estate Planning – Global 1. Estate Planning Terminology 2. Estate Planning and Wealth 3. Distribution Goals 4. Estate Planning Process 5. Transfer During Life and at Death 6. Planning for Incapacity 7. Estate Planning Strategies
Risk Management – India-Specific 1. Overview of the Insurance Sector in India 2. Regulatory Infrastructure around Insurance Insurance 3. Intermediation in India 4. Life Insurance 5. General Insurance 6. Various Provisions and Perspectives for Policyholders
Estate Planning – India-specific 1. The Indian Succession Act, Governing Principles and Applicability 2. Succession Laws Applicable to Individuals as per Religion 3. Testamentary Succession – Some Features of Indian Succession Act 4. Types of Wills in India and Requirements of Valid Will 5. Administration of Estate in a Testamentary Succession 6. Other Methods/Will substitutes – Tenancies, Survivorship 7. Accounts and Nominations 8. Trust Structure in India for Estate Planning and Wealth Transfers
The FPSB® Risk and Estate Planning Specialist exam will test the knowledge, skills and abilities from the FPSB Risk and Estate Planning Specialist education modules in the below proportions. However, there will not be specific sections allocated to the modules. Instead, questions relating to each module will appear in no specific order throughout the exam.
Likewise, although the FPSB® Risk and Estate Planning Specialist textbooks draw a distinction between “global” and “India-specific” education content, exam questions will not be specifically identified as such, and will appear in no specific order throughout the exam.
Difficulty Levels
The FPSB Risk and Estate Planning Specialist certification exam is designed to assess knowledge, skills, and abilities in the areas of collection, analysis, and synthesis in approximately the following proportions:
Collection: Gathering information and identifying related facts by making required calculations and arranging client information for analysis. During the collection function, the core competency is to collect both the quantitative and qualitative information required to provide risk management and estate planning advice.
Analysis: Considers issues, performs financial analysis and assesses the resulting information to be able to develop strategies for the client. This includes: (1) considering potential opportunities and constraints in developing strategies, and (2) assessing information to develop strategies.
Synthesis: Integrates the information needed to develop and evaluate strategies to create a risk management and estate planning plan.
Once submitted, exam results will be reviewed in detail and the Candidate will receive additional determination information. Any appeal must be received no later than 30 days from the intimation of the exam result in LMS or through email. The decision after the appeal is completed will be considered final.
Step 3. Ethics
FPSB requires all individuals to successfully complete the FPSB Ethics course soon after they register in the FPSB® Risk and Estate Planning Specialist course. This course is included with the purchase of the course material. Passing the Ethics course and abiding by Code of Ethics is a pre-requisite for holding the FPSB® Risk and Estate Planning Specialist certification. It is required to be passed only once for holding one or more Specialist certifications and CFPCM certification. The FPSB Ethics course is conducted online in MyFPSBlearning. The interactive FPSB Ethics Course consists of recorded instruction that can be taken in one or multiple sittings with knowledge checks throughout. Once completed, the FPSB Ethics Course is valid for all FPSB Ltd. certifications offered in India.
Introduction
Codes of Ethics
Learning Objectives 1. Explain why financial services professionals should study ethics 2. Describe the difference between values and principles 3. Describe the relationship between ethics and the law 4. Describe a financial services professional 5. Identify the characteristics of a professional 6. Evaluate the public perception of the financial services profession
Knowledge Items 1. Why financial services professionals should study ethics 2. The difference between values and principles 3. Ethics and the law 4. Characteristics of a financial services professional 5. Public perception of the financial services profession
Learning Objectives 1. Identify the purposes of codes of ethics 2. Distinguish between the reasonable person standard and the professional practice standard 3. Identify the eight principles of FPSB’s Code of Ethics 4. Apply the principles of FPSB’s Code of Ethics to various case studies and examples 5. Construct a personal code of ethics
Knowledge Items 1. The purpose of a code of ethics 2. Business conduct standards 3. Reasonable person standard 4. Professional practice standard 5. Eight principles of FPSB’s Code of Ethics 6. Personal code of ethics
Ethics Attestation
After candidates have passed the FPSB Ethic Course, they must, as part of the FPSB Risk and Estate Planning Specialist certification process, attest and agree to abide by the FPSB Code of Ethics.
Step 4. Initial and Ongoing Certification
Ongoing FPSB Risk and Estate Planning Specialist Certification Requirements
To maintain the right to use the FPSB Risk and Estate Planning Specialist credential, certification holders must maintain their professional skills, knowledge, and abilities through ongoing learning activities.
FPSB Ltd. requires FPSB Risk and Estate Planning Specialists to renew their certification annually. To remain certified as an FPSB Risk and Estate Planning Specialist certification holders must:
✔ Commit to adhere to FPSB Ltd.’s Code of Ethics and any applicable laws and regulations.
✔ Obtain at least five Continuing Professional Development (CPD) hours/points. All points must be completed before applying for renewal of certification. At least two CPD hours/points need to directly relate to FPSB Ltd.’s Code of Ethics.
FPSB Coursework as Continuing Professional Development
FPSB Risk and Estate Planning Specialists who pursue other Specialist courses are considered to have met their annual CPD requirement through the coursework for FPSB’s other financial certifications – as proven by registration in the FPSB Risk and Estate Planning Specialist, FPSB Investment Planning Specialist, or CFPCM certification programs.
Using your Badge and Certification Name Correctly
FPSB will post guidance on how to correctly identify yourself as an FPSB Risk and Estate Planning Specialist. All certification holders will be required to abide by the guidance as part of the FPSB Code of Ethics.
FPSB Risk and Estate Planning Specialist Competency Profile
Global Risk Management and Insurance Planning
Chapter 1: Principles of Risk Management
Learning Objectives
1-1 Identify the types of risk clients potentially face (including pure versus speculative)
1-2 Describe principles of insurance
1-3 Discuss the four techniques used to manage risk.
1-4 Explain the three rules of risk management.
1-5 Compare pure and speculative risk versus perils and hazards.
1-6 Explain the six steps of the risk management process to assess exposure to financial risk.
1-7 Discuss the four factors that insurers consider as requirements for an insurable risk.
1-8 Identify the four insurance concepts that apply to insurance law that affect the operation of the insurance policy.
Knowledge Items
1.1 Fundamentals
1.1.1 Meaning and treatment of risk
1.1.2 Basic risk management assumptions and techniques
1.2 Types of Risk
1.2.1 Pure and speculative risk
1.2.2 Major types of pure risk
1.2.3 Major types of speculative risk
1.2.4 Perils and Hazards
1.3 Personal risk tolerance and management
1.4 Principles of Insurance
1.4.1 Characteristics of Insurance
1.4.1.1 Requirements for an insurable risk
1.4.1.2 The Insurance Contract
Chapter 2: Risk Exposures
Learning Objectives
2-1 Evaluate a client’s personal and general insurance exposures
2-2 Evaluate a client’s risk management needs
Knowledge Items
2.1 Financial obligations: existing and potential
2.2 Analysis and evaluation of risk exposures
Chapter 3: Introduction to Insurance
Learning Objectives
3-1 Explain general insurance.
3-2 Analyze homeowner’s insurance.
3-3 Discuss vehicle insurance.
3-4 Evaluate liabilities and liability insurance.
3-5 Explain traditional and non-traditional life insurance
3-6 Discuss features and provisions of individually-owned life insurance
3-7 Analyze and calculate how much life insurance do people need.
3-8 Compare various types of annuities.
3-9 Discuss health insurance.
3-10 Explain long-term care.
3-11 Evaluate disability insurance.
3-12 Discuss business related insurance.
Knowledge Items
3.1 General Insurance
3.1.1 Homeowners
3.1.2 Personal property
3.1.3 Vehicles
3.2 Liability
3.2.1 Personal liability
3.2.2 Professional liability
3.2.2.1 Malpractice and errors and omissions
3.3 Life insurance
3.3.1 Term life insurance
3.3.2 Traditional – whole life and endowment
3.3.3Non- traditional – universal, adjustable, variable, variable universal
3.3.4 Joint Life Policies
3.3.5 Amount of life insurance needed
3.4.6 Annuities
3.4 Health insurance
3.4.1 Types of Medical Expense Insurance
3.4.2 Managed health care plans
3.4.3 Long-term care (LTC)
3.4.3.1 Common features of LTC insurance policies
3.5 Disability: Personal
3.5.1 Common features of disability insurance
3.5.1.1 Definition of disability
3.5.1.2 Common continuation provisions
3.6 Business-related
3.6.1 Key person
3.6.2 Disability: Business
3.6.3 Business overhead expense
3.6.4 Business liability and board member cover
Chapter 4: Insurance Company and Intermediary Selection
Learning Objectives
4-1 Explain the elements to consider in a company evaluation when selecting an insurance company
4-2 Explain the elements to consider in a due diligence when selecting an insurance advisor (agent).
4-3 Discuss advisor / agent selection and responsibilities.
4-4 Evaluate and choose an insurance policy.
4-5 Discuss legal and financial characteristics of insurance parties.
Knowledge Items
4.1 Company and intermediary selection and due diligence
4.1.1 Company evaluation and selection
4.1.2 Intermediary selection and responsibilities
4.1.3 Choosing an insurance policy
4.2 Legal and financial characteristics of insurance parties involved in an insurance contract
4.2.1 Insurance company
4.2.2 Policy owner
4.2.3 Beneficiary
4.2.4 Insured
4.3 Regulation and Compliance
Chapter 5: Strategic Solutions
Learning Objectives
5-1 Determine potential risk management strategies for a client
5-2 Identify the advantages and disadvantages of risk management strategies
5-3 Optimize risk management strategies to make recommendations
5-4 Prioritize action steps to assist a client in implementing risk management strategies
Knowledge Items
5.1 Risk management priorities
5.1.1 Risk review and evaluation: Property and liability
5.1.2 Risk review and evaluation: Life
5.2 Risk management tools to address risk exposures
5.3 Risk management needs
5.4 Risk management optimization
5.4.1 Risk Management Audit
5.4.2 Implement the chosen approaches
5.4.3 The road map
India-Specific Risk Management and Insurance Planning
Chapter 1: Overview of the Insurance Sector in India
Learning Objectives
Explain the insurance sector in India
Describe the laws governing the insurance business in India
Topics
Economic, Commercial, and Social Aspects of Insurance
Scope of Insurance Business
Life Insurance – History and Growth
General Insurance – Historical Perspective and Potential
Non-Life Insurance
Health Insurance
Re-Insurance
Laws governing Insurance Business in India
The Insurance Act, 1938
The Insurance Laws (Amendment) Act, 2015
Law relating to Agency under the Indian Contract Act, 1872
The Consumer Protection Act, 2019
Doctrines of Waiver and Equitable Estoppel
Chapter 2: Regulatory Infrastructure Around Insurance
Learning Objectives
2-1 Understand the regulatory infrastructure around insurance
2-2 Explain the authorities which control- various insurance functions
Topics
Insurance Regulatory and Development Authority of India (IRDAI Act, 1999)
Duties, Powers, and Function
Licensing and Governance of Insurance Companies and Intermediaries
Apex Insurance Regulator and Industry Watch-Dog
Supervision of Tariff Advisory Committee
Power to Issue Guidelines and Directions
Insurance Councils and General Insurance Council
Constitution and Powers
Self-Regulatory Mechanism
Insurance Information Bureau of India
Insurance Ombudsman
Establishment and Objectives
Appointment, Tenure and Jurisdiction
Rights and Powers
Insurance Institute of India
Authority and Functions
Education and Training
Chapter 3: Insurance Intermediation in India
Learning Objectives
3-1 Describe the categories of intermediaries
3-2 Compare other specialists in insurance
Topics
Categories of Intermediaries, their respective Domains, Functions and Code of Conduct
Individual Agents
Corporate Agents, Bancassurance
Insurance Brokers
Web Aggregators
Insurance Marketing Firms
Point of Sales Persons
Other Specialists in Insurance (other than procurement)
Insurance Surveyor or Loss Assessor
Medical Examiners
Third party Administrators (TPA)
Insurance Repositories (electronic issue of insurance policies)
Chapter 4: Life Insurance
Learning Objectives
4-1 Illustrate the structure and organization of life insurance companies in India
4-2 Understand the insurer’s fixing of premium and distribution of benefits
4-3 Illustrate various group insurance schemes
4-4 Understand the features of Insurance Contract and Policy Document
4-5 Distinguish policy revival schemes and claims
Topics
Structure and Organization of Life Insurance Companies in India
Mandate and Responsibilities
Income Sources and Rate-fixing
Premium and Types
Factors in Fixation of premium, Rate Making
Mortality Tables and Actuarial Valuation
Age, Medical Condition and Sum Assured
Rates of Guaranteed Benefits
Right Premium and Adverse Selection
Distribution of Benefits
Bonus – With Profit or Participating Plans
Simple and compound Reversionary Bonus, Guaranteed Addition
Terminal Bonus, Survival Bonus, Loyalty Addition
Interim Bonus
Taxation Aspect of Various Life Insurance Policies for Individuals
Loans Eligibility against Life Insurance Policies – With Profit, Endowment, and investment Plans
Group Insurance Schemes
Group Term Insurance Schemes
Employees’ Deposit Linked Insurance (EDLI) Scheme
Group Gratuity Schemes
Actuarial Valuation; data of retirement, resignation, death, disability
Methods to Manage – Create internal resources, Set up a Gratuity Fund
Investment Linked Insurance – Unit Linked Insurance Plan (ULIP)
Protection, Investment and Income Tax Benefits (subject to Lock-in Period)
Choice of Plans – Equity, Debt, Hybrid, Money Market Fund and Switch options
Net Asset Value based redemption, maturity and claim settlement
Contingency Planning
Disability insurance with premium waiver option
Child Plans with premium waiver
Married Women’s Property Act and Insurance Planning
Insurance Policy Document and Legal Implications
Preamble
Operative Clause
Proviso
Schedule
Attestation
Conditions and Privileges
Policy Revival Schemes
Ordinary and Special Revival
Installment Revival
Loan-cum-Revival
Foreclosure of Policy and Reinstatement provisions
Surrender of Policy
Assignment of Policy
Claims
Claims by Maturity
Claims at Periodic Intervals (Money-Back Plans)
Claims at Maturity (on surviving the Policy term)
Claims by Death
Claimant (Nominee/Assignee) or Legal Representative (Proof of Title)
Documents required – Letter of Intimation, Death Certificate (Proof of Death)
Non-Early Death Claim (Beyond three years) – Presumed to be Dead for missing persons, applicability of Indian Evidence Act, 1872
Chapter 5: General Insurance
Learning Objectives
5-1 Explain the Indian general insurance market
5-2 Evaluate the various insurance classifications
5-3 Understand public liability, product liability, professional and employer liabilities
5-4 Distinguish the nuances of Motor Vehicles Act with respect to public liability
5-5 Determine the non-life insurance contract, policy document and legal implications
Topics
Structure of Indian General Insurance Market
Government and Private Insurance Companies
Agents and Brokers
Loss assessors
Classification
Non-Life Insurance
Health Insurance
Taxation Aspect of Health Insurance Policies – Individuals, Family and Dependent Senior Citizens
Taxation Aspect of Group Health Insurance Policies for Corporates
Agriculture Insurance
Credit Insurance
Export Credit Guarantee Corporation of India Limited (ECGC)
Role of ECGC in Facilitating International Trade
Reinsurance (General Insurance Corporation of India Limited – GIC Re)
Mandatory Provisions
Concept of Ceding
Liability Insurance – Legal Liability Policies
Public Liability
The Public Liability Insurance Act, 1991
Environmental Impairment Liability (EIL)
Product Liability
Professional Indemnities
Employer’s Liability Insurance
The Workmen’s Compensation Act, 1923
The Employees State Insurance Act, 1948 (ESI)
Role of Powers of Employees State Insurance Corporation (ESIC)
The Maternity Benefit Act, 1961
Motor Insurance
The Motor Vehicles Act, 1988
The Motor Vehicles (Amendment) Act, 2019
Motor Accidents Claim Tribunals
Types of Losses
Loss of damage to the Vehicle (Own Damage)
Third Party Liability (TPL) – Compulsory Insurance
Policy Document and Legal Implications
Proposal Form
Policy Component
Heading
Preamble
Operative Clause
Policy Schedule
Signatures
Exceptions
Conditions
Chapter 6: Various Provisions and perspectives for Policyholders
Learning Objectives
6-1 Evaluate benefits and limitations of holding multiple policies with different insurers
6-2 Describe group insurance policies by employers and their sufficiency
6-3 Determine merits/demerits of surrendering insurance policy
6-4 Explain benefits and limitations of Keyman insurance from personal and organizational perspectives
6-5 Distinguish between Offline and Online Insurance Policies
6-6 Discuss global coverage of different life and general insurance policies
Topics
Provisions in insurance when the insurance is taken from multiple companies
Life insurance policies
General Insurance policies
Provisions related to employer provided and group policies – benefits/limitations
Group life insurance
Group health insurance
Provision of life insurance policy surrender – merits/demerits
Comparative evaluation of various life insurance policies
Benefits and limitations in different types of non-life insurance policies
Health insurance and Critical Illness insurance
Health insurance – basic policy and top-up provisions, floater and super floaters
Provisions of Keyman insurance – personal and organizational perspectives
Provisions of Overseas Travel Insurance
Offline versus Online Insurance Policies
Global coverage of insurance policies
Life insurance policies
General and other non-life insurance policies
Global Estate Planning
Chapter 1: Estate Planning Terminology
Learning Objectives
1-1 Describe estate planning and wealth distribution terms
Knowledge Items
1.0 Estate distribution terminology
1.1 Estate planning and inheritance
1.2 Law: common and civil
1.3 Legal documents and distribution methods
1.4 Property ownership
1.5 Laws of succession and forced heirship
1.6 Incapacity
1.7 Taxable, probate and gross estate
1.8 Gifts
Chapter 2: Estate Planning and Wealth Distribution Goals
Learning Objectives
2-1 Distinguish between estate planning goals
2-2 Determine constraints to meeting estate planning goals
Knowledge Items
2.0 Estate planning and wealth distribution goals
2.1 Discovering client goals
2.2 Common estate planning goals
2.2.1 Providing for loved ones
2.2.2 Children and grandchildren
2.2.3 Providing for organizations and others
2.3 Small business owners
Chapter 3: Estate planning process
Learning Objectives
3-1 Develop steps in the estate planning process
3-2 Determine estate value at death
3-3 Evaluate ways to reduce taxes and expenses at death
Knowledge Items
3.1 Steps in the estate planning process
3.1.1 Creating and reviewing a will
3.1.2 Trusts
3.2 Determine expenses and estate value at death
3.2.1 Estate expenses
3.2.2 Determining estate value
3.3 Ways to reduce taxes and expenses at death
3.3.1 Administration
3.3.2 Debt, tax, and other financial settlement expenses
Chapter 4: Transfer during life and at death
Learning Objectives
4-1 Describe estate distribution/transfer tools
4-2 Distinguish between testamentary and intervivos transfers
4-3 Describe laws of succession and compulsory (forced) heirs
Knowledge Items
4.1 Lifetime transfers
4.1.1 Small business owners
4.2 Transfers at death
4.2.1 Personal representative
4.2.2 Probate process
4.2.3 High net worth individuals
4.3 Forced heirship
Chapter 5: Planning for incapacity
Learning Objectives
5-1 Describe incapacity
5-2 Analyze plans to address incapacity
Knowledge Items
5.1 Degrees of incapacity
5.1.1 Mild cognitive impairment
5.1.2 Severe cognitive impairment
5.2 Forms to file
Chapter 6: Estate planning strategies
Learning Objectives
6-1 Assess specific needs of beneficiaries
6-2 Develop estate planning strategies
6-3 Evaluate advantages and disadvantages of estate planning strategies
Knowledge Items
6.0.1 Common concerns
6.1 Spouse, partner, ex-spouse
6.1.1 Spouse
6.1.2 Unmarried partner
6.1.3 Ex-spouse
6.2 Lifetime (inter vivos) gifts
6.3 Children and grandchildren
6.4 Intrafamily transfers
6.5 Disclaiming an inheritance
India-Specific Estate Planning
Chapter 1: The Indian Succession Act, Governing Principles and Applicability
Learning Objectives
1-1 Understand the legal structure of estate and succession in India
1-2 Understand the key principles under the Indian Succession Act, 1925.
1-3 Understand the law governing succession of individuals based on religion.
Topics
1.1 The Indian Succession Act, 1925
1.1.1 Law of situs of land – Immovable property
1.1.2 Law of domicile of testator – Movable property
1.1.2.1 Domicile of Origin
1.1.2.2 Acquisition of new domicile (taking up fixed habitation)
1.1.3 Kindred or Consanguinity
1.1.3.1 Lineal Consanguinity
1.1.3.2 Collateral Consanguinity
1.1.3.3 Mode of computing of degree of kindred
1.1.4 Intestate Succession
1.1.4.1 Deceased has not made testamentary disposition (Will)
1.1.4.2 The testamentary disposition is untenable or invalid
1.1.4.3 Distribution based on laws of inheritance based on religion of the deceased
1.1.4.4 Hindu Succession Act, 1956
1.1.4.5 Mohammedan Law (Muslim Personal Law)
1.1.4.6 Provision of Indian Succession Act applies to Parsis and Indian Christians
1.1.4.7 Succession certificate and/or Letter of Administration
1.1.4.8 Mutation and process of distribution of Estate
Chapter 2: Succession Laws Applicable to Individuals as per Religion
Learning Objectives
2-1 Understand the applicability of succession laws based on religion of a person
2-2 Understand basic principles of the Hindu Succession Act, 1956 and Mohammedan Law.
Topics
2.1 The Hindu Succession Act, 1956 (applies to Hindus, Buddhists, Sikhs, Jains)
2.1.1 Principle of Propinquity (proximity of relationship)
2.1.2 General rules of succession (on priority)
2.1.2.1 Distribution of property among Class I heirs
2.1.2.2 Distribution of property among Class II heirs
2.1.2.3 Order of succession among ‘agnates’ and ‘cognates’
2.1.5 Share of pre-deceased son/pre-deceased daughter would devolve to their respective children
2.2 The Muslim Personal Law (Shariat) Application Act, 1937 (deals with marriage, succession, inheritance and charities among Muslims)
2.2.1 Primary Sources of Muslim law in India (The Quran, Sunna of Hadis, Ijma, Qiya)
2.2.2 A bequest of entire property to one heir to the exclusion of all others is void
2.2.3 Only one third of total property through a will (Wasiyatnama)
2.2.4 If bequest (of one-third) to one heir, the consent of other heirs is required in Sunni law
2.2.5 If bequest (of one-third) to a non-heir (stranger), the consent of heirs is not required
2.2.6 The bequeathable one-third will not apply to a case where the testator has no heir
2.2.7 A bequest to a child in womb is valid if born within 6 months (Sunni law)
2.2.8 A bequest to a child in womb is valid if born up to 10 months, i.e. longest gestation period (Shia law)
2.2.9 Rateable abatement of legacy applies (Sunni), Rule of chronological priority applies (Shia)
2.2.10 Heir’s consent should be given after the death of testator (Sunni)
Chapter 3: Testamentary Succession – Some Features of Indian Succession Act
Learning Objectives
3-1 Understand common definitions.
3-2 Identify the applicability and salient features of the ISA.
Topics
3.1 Person capable of making wills (Section 59)
3.1.1 animus testandi (intention to make a testament)
3.1.2 Of sound mind, capable of making judgment
3.1.3 Intention to have a testamentary operation
3.1.4 No collateral objects (inducing other person/s to comply with testator’s wishes)
3.2 Lapse of Legacy (Section 105 and 106)
3.3 Bequest made to a class of persons (Section 111)
3.4 Rule against perpetuity (Section 114)
3.5 Onerous, Independent and Contingent Bequests (Section 122-124)
3.6 Specific and Demonstrative Legacy (Section 150)
Chapter 4: Types of Wills in India and Requirements of Valid Will
Learning Objectives
4-1 Distinguish between the different types of Wills.
4-2 Understand the basic requirements of a valid Will.
Topics
4.1 Privileged Will (Oral Will in the presence of two witnesses)
4.2 Contingent Will
4.3 Concurrent Will (cross border bequests)
4.4 Mutual Will
4.5 Joint Will
4.6 Holograph (handwritten) Will
4.7 Duplicate Will (Revocation of testator destroys copy in his/her custody)
4.8 Requirements of a valid Will
4.8.1 Duly and validly executed Will (registration not mandatory)
4.8.2 Mandatory attestation by at least two witnesses
4.8.3 Appointment of executor of the Will
4.8.4 Will needs to be revisited periodically for material change in circumstances
Chapter 5: Administration of Estate in a Testamentary Succession
Learning Objectives
5-1 Understand the role and powers vested in an executor.
5-2 Understand the importance and general procedure of obtaining a probate.
Topics
5.1 The Executor – Legal Representative in fiduciary capacity
5.2 Power, Role and Responsibility as conferred by Indian Succession Act
5.3 Procedure for Probate
5.3.1 The death certificate of the testator (State Authority)
5.3.2 Verify and declare that the Will attached is final testament and duly executed
5.3.3 The value of assets likely to be inherited
5.3.4 The executor is so authorized in the Will
5.4 Get the Will verified by a competent court (Grant of Probate)
5.5 Aggregate inventory of estate and assess value
5.6 Establish solvency of the estate; pay expenses, pay off debt on priority
5.7 Honor specific legacies and proportionate general legacies
Chapter 6: Other Tools and Methods, Will substitutes – Tenancies, Survivorship Accounts and Nominations
Learning Objectives
6-1 Understand joint tenancy and tenancy-in-common in relation to holding of, and succession to, immovable property.
6-2 Understand the effect of joint holding, and nomination, in relation to the management and transmission of securities and investments.
6-3 Understand the effect of nominations made in relation to holdings in a co-operative society ownership structure.
Topics
6.1 Tenant-in-Common and Joint Tenant
6.2 Contracts – Holdings on Any/Either or Survivor basis in bank accounts, Mutual Funds and Securities Accounts
6.3 Nomination in Life insurance Policies
6.4 Nomination in Housing Society documents
6.5 Married Women’s Property Act and Estate Planning
6.6 Other Tools for Estate Planning – Power of Attorney
6.6.1 Powers of Attorney, its use and purpose
6.6.2 Types of Power of Attorney – general and special
6.6.3 Revocation of PoA
6.6.4 Limitations of PoA holder
6.6.5 PoA executed abroad
Chapter 7: Gifts, Trusts & Family Arrangements in Estate Planning
Learning Objectives
7-1 Understand basic law relating to gifts of movable and immovable property.
7.2 Distinguish between different types of trusts.
7-3 Understand the advantages of adopting a trust vehicle of estate planning.
7-4 Understand the value of trust structures in small/family businesses.
7-5 Understanding family arrangements and settlements and their role in estate planning
Topics
7.1 Gifts
7.1.1 Inheritance Tax
7.1.2 Tax on Gifts
7.1.2.1 Moveable Property – Fair Market Value
7.1.2.2 Immovable Property – Stamp Duty
7.1.3 Other Tools for Estate Planning – Power of Attorney
7.1.3.1 Powers of Attorney, its use and purpose
7.3.1.2 Types of Power of Attorney – general and special
7.1.3.3 Revocation of PoA
7.1.3.4 Limitations of PoA holder
7.2 The Indian Trusts Act,1882
7.2.1 Definitions
7.2.2 Types of Trusts
7.2.2.1 Testamentary & Non-Testamentary Trusts
7.2.2.2 Public, Charitable or Religious Trusts & Private Trusts
7.2.2.3 Revocable & Irrevocable Trusts
7.2.2.4 Non-Discretionary & Discretionary Trusts
7.3 Advantages of Private Trusts
7.3.1 Planning succession
7.3.2 Ring fencing of assets
7.3.3Tax planning
7.3.4 Protecting persons with special needs
7.3.5 Flexibility
7.3.6 Transparency in management
7.3.7 Strategic objectives
7.3.8 Trust as a Pass-through entity
7.4 Exception – HUF Property
7.5Succession planning for small businesses
7.6 Business succession
7.7 Offshore Trusts
7.8 Family Arrangements
FPSB Certification Code of Ethics (for all FPSB certifications)
FPSB LTD. CODE OF ETHICS
Observing the highest ethical and professional standards allows professionals to serve the interests of clients and promote the profession for the benefit of society. As part of their commitment, professionals should provide appropriate disclosures and comply with ethical standards when delivering advice to clients. FPSB has incorporated ethical behavior and judgment, and compliance with ethical standards, into its global standards for professionals. To ensure these obligations are understood, FPSB incorporates ethical standards into its certification requirements.
FPSB’s Code of Ethics Principles are statements expressing in general terms the ethical standards that professionals should adhere to in their professional activities. The comments following each Principle further explain the intent of the Principle. The Principles are aspirational and are intended to provide guidance for professionals on appropriate and acceptable professional behavior.
FPSB’s Code of Ethics Principles reflect professionals’ recognition of their responsibilities to clients, colleagues and employers. The Principles guide the performance and activities of anyone involved in the practice of advice; the concept and intent of these Principles are adapted and enforced on professionals by FPSB through rules of professional conduct.
Principle 1 – Client First
Place the client’s interests first.
Placing the client’s interests first is a hallmark of professionalism, requiring the specialist to act honestly and not place personal gain or advantage before the client’s interests.
Principle 2 – Integrity
Provide professional services with integrity.
Integrity requires honesty and candor in all professional matters. Professionals are placed in positions of trust by clients, and the ultimate source of that trust is the specialist’s personal integrity. Allowance can be made for legitimate differences of opinion, but integrity cannot co-exist with deceit or subordination of one’s principles. Integrity requires the specialist to observe both the letter and the spirit of the Code of Ethics.
Principle 3 – Objectivity
Provide professional services objectively.
Objectivity requires intellectual honesty and impartiality. Regardless of the services delivered or the capacity in which a specialist functions, objectivity requires that professionals ensure the integrity of their work, manage conflicts of interest and exercise sound professional judgment.
Principle 4 – Fairness
Be fair and reasonable in all professional relationships. Disclose and manage conflicts of interest.
Fairness requires providing clients what they are due, owed or should expect from a professional relationship, and includes honesty and disclosure of material conflicts of interest. Fairness involves managing one’s own feelings, prejudices and desires to achieve a proper balance of interests. Fairness is treating others in the same manner that you would want to be treated.
Principle 5 – Professionalism
Act in a manner that demonstrates exemplary professional conduct.
Professionalism requires behaving with dignity and showing respect and courtesy to clients, fellow professionals, and others in business-related activities, and complying with appropriate rules, regulations and professional requirements. Professionalism requires the specialist, individually and in cooperation with peers, to enhance and maintain the profession’s public image and its ability to serve the public interest.
Principle 6 – Competence
Maintain the abilities, skills and knowledge necessary to provide professional services competently.
Competence requires obtaining and maintaining an adequate level of abilities, skills and knowledge in the provision of professional services. Competence also includes the wisdom to recognize one’s own limitations and when consultation with other professionals is appropriate or referral to other professionals necessary. Competence requires the specialist to make a continuing commitment to learning and professional improvement.
Principle 7 – Confidentiality
Protect the confidentiality of all client information.
Confidentiality requires that client information be protected and maintained in such a manner that allows access only to those who are authorized. A relationship of trust and confidence with the client can only be built on the understanding that the client’s information will not be disclosed inappropriately.
Principle 8 – Diligence
Provide professional services diligently
Diligence requires fulfilling professional commitments in a timely and thorough manner and taking due care in delivering professional services.
The Effectiveness of the CFP Designation in Establishing Trust and Expertise
The CFP designation plays a crucial role in establishing trust and expertise within the financial planning industry. By obtaining this certification, professionals demonstrate their commitment to high ethical standards, extensive financial knowledge, and ongoing education.
Being a certified financial planner (CFP) brings numerous benefits, such as enhanced credibility, increased client trust, and a competitive edge in the market. Clients are more likely to trust advisors who hold the CFP designation due to the rigorous requirements and ethical standards associated with it.
The importance of the CFP designation cannot be understated, as it signifies a higher level of expertise and professionalism in the field of financial planning. It serves as a symbol of excellence and dedication to providing clients with quality financial advice and services.
Best Practices: Using the CFP Designation with Your Name Professionally
When using the Certified Financial Planner (CFP) designation with your name professionally, it is essential to follow best practices to enhance your credibility and professionalism. Adding CFP after your name signifies that you have met rigorous standards and ethical requirements in the field of financial planning.
By incorporating CFP into your professional title, you demonstrate to clients and colleagues that you are committed to upholding high standards of competence and integrity in financial services. It is important to ensure that you use the CFP designation accurately and in compliance with the guidelines set forth by the Certified Financial Planner Board of Standards.
Properly utilizing the CFP designation can help establish trust with clients and differentiate yourself as a qualified and knowledgeable financial planner. It is recommended to include CFP prominently in your professional materials, such as business cards, email signatures, and marketing materials, to highlight your expertise in financial planning.
Understanding the Proper Use of CFP Marks in India
Introduction to CFP Marks
The CFP®, CERTIFIED FINANCIAL PLANNER®, and associated marks (collectively referred to as “CFP Marks”) play a crucial role in maintaining the integrity and legal status of the financial planning profession. In this blog, we will delve into the essential guidelines for the proper usage of these marks in India, as outlined by the Financial Planning Standards Board Ltd. (FPSB Ltd.).
General Guidelines for CFP Professionals
Respecting Ownership and Validity
CFP professionals in India must recognize and agree that FPSB Ltd. holds the sole, absolute, and exclusive rights to the CFP Marks. This includes acknowledging that FPSB Ltd. is the rightful owner of these marks outside the United States and agreeing not to challenge their validity.
Usage and Promotion Conduct
CFP professionals are expected to refrain from adopting, using, or promoting any mark that closely resembles the CFP Marks. Additionally, they should avoid any actions that might weaken FPSB Ltd.’s rights or misuse the CFP Marks.
Representation and Business Usage
It is imperative to use the CFP Marks truthfully to represent an individual’s certified status. These marks must not be incorporated into the name of a business or company.
Detailed Usage of CFP Mark
Typography and Symbols
When writing the abbreviation ‘CFP’, always use capital letters without periods. The appropriate trademark symbol “®” should always accompany it.
Contextual Use
The CFP Mark should be used as a descriptive adjective, not as a noun or verb. It’s appropriate to use it following your name, such as in a signature block. Additionally, the mark should be paired with certification, credential, designation, exam/examination, mark, practitioner, and professional. However, this rule is exempted when the mark is used following your name.
Prohibitions in Usage
The CFP mark should never be used in a plural or possessive form. For instance, avoid using terms like “CFPs”.
Example of Correct Usage
An appropriate way to use the mark would be: “Raj Patel is a CFP® professional” or “Nishi Gupta, CFP®”.
Guidelines for CERTIFIED FINANCIAL PLANNER Mark
Distinct Typography and Symbols
Always capitalize the entire phrase “CERTIFIED FINANCIAL PLANNER” or use a mix of large and small capital letters to set the mark apart from the surrounding text. The trademark symbol “®” should always be included.
Usage Context
Like the CFP mark, the CERTIFIED FINANCIAL PLANNER mark must be used as a descriptive adjective and paired with one of the approved nouns by FPSB Ltd. It should also be directly associated with the individual certified by FPSB Ltd.
Prohibited Uses
Never use the CERTIFIED FINANCIAL PLANNER mark in a plural or possessive form, such as “Certified Financial Planning”.
Correct Usage Example
A proper application of this mark would be: “Raj Patel is a CERTIFIED FINANCIAL PLANNER® professional” or “Nishi Gupta and Raj Patel are CERTIFIED FINANCIAL PLANNER® practitioners.”
CFP Logo Mark Usage Guidelines
Logo Integrity
The CFP logo, which includes the flame, “CFP” text, and the trademark symbol, must be used as a single unit. Use only the original artwork provided by FPSB Ltd. and maintain a minimum reproduction size for clear visibility.
Association and Modification
The logo should be associated with individuals certified by FPSB Ltd. and must never be altered or modified.
Example of Correct Logo Use
A correct application would be simply displaying the logo next to the certified individual’s name, such as “Raj Patel.”
FPSB Ltd.’s Trademark Tagline
When using the CFP Marks on websites or promotional materials, include the following tagline: “Financial Planning Standards Board Ltd. (FPSB Ltd.) owns the CFP®, CERTIFIED FINANCIAL PLANNER® marks outside the United States, including in India, and permits qualified individuals to use these marks to indicate compliance with FPSB Ltd.’s certification requirements.”
Usage in Social and Electronic Media
Domain and Social Media Restrictions
The CFP Marks should not be part of your domain name, website URL, email address, or social media handle. However, displaying your CFP certification within your social media profile is permitted.
Hyperlink Guidelines
The marks may be used as website hyperlinks only if they link directly to FPSB Ltd.’s website.
For further inquiries or assistance about FPSB Ltd.’s trademark usage guidelines, especially for social media platforms, obtaining the CFP Logo Mark, or reviewing websites and promotional materials featuring the CFP Marks, contact FPSB Ltd
This comprehensive guide aims to help CFP professionals in India use the CFP Marks correctly, ensuring the integrity and recognition of the certification remains intact. By adhering to these guidelines, professionals can effectively communicate their qualifications while respecting the legal and ethical standards set by FPSB Ltd.
The Future of Financial Planning: Leveraging the Power of the CFP Designation for Career Growth and Sucess
The Certified Financial Planner (CFP) designation holds significant promise for professionals in the financial planning industry seeking career growth and success. As the demand for skilled financial planners continues to rise, holding a CFP designation can open up various growth opportunities and avenues for career advancement.
Financial planners with a CFP designation often stand out in the competitive job market due to their comprehensive knowledge, expertise, and commitment to high ethical standards. Employers and clients alike value the rigorous training and continuing education required to maintain this prestigious certification.
By leveraging the power of the CFP designation, professionals can position themselves for greater success in their careers, access higher-paying roles, expand their client base, and enhance their credibility within the industry. Embracing this credential can serve as a strategic investment in one’s future as a financial planning professional.
Navigating the complex world of financial planning can often feel like an insurmountable challenge, can’t it?
In an increasingly complex financial landscape, aspiring professionals b are in search of clarity and guidance to navigate their personal aspirations. Amidst this turbulence, however, lies a beacon – the CERTIFIED FINANCIAL PLANNER certification, an accolade that equips professionals with the prowess to cut through the complexities, optimizing personal finance with skill and precision, crafted for excellence in the ever-evolving financial arena.
Understanding CFP Certification
The CERTIFIED FINANCIAL PLANNER certification, offered by the Financial Planning Standards Board (FPSB) USA, represents a global benchmark in financial planning excellence. In India, the CFP coursework is administered by FPSB India, which ensures that the program meets the specific needs and requirements of the Indian financial industry. The full form of CFP, which stands for Certified Financial Planner, is often mistakenly confused with other incorrect full forms such as Chartered Financial Planner or Chartered Financial Advisor. It is important to note that the correct and recognized full form for CFP is Certified Financial Planner.
Certificants are required to possess a comprehensive understanding of various financial disciplines, demonstrating their detailed knowledge and upholding the highest standards of financial planning.
Embarking on this revered journey marks a commitment to upskilling, adhering to principles of integrity, competence, and professionalism. The curriculum is scrupulously designed to cover investment planning, risk analysis, retirement strategies, and much more, shaping professionals ready to address complex financial scenarios.
Key Requirements and Eligibility
There are two tracks available for one to get CFP accreditation. Regular Pathway and Fast Track Pathway. The eligibility of both pathways differs. To make it easier to comprehend we are discussing regular pathways in this article and one can access the details about the Fast-Track Pathway from here.
To pursue the CFP certification, individuals must meet the foundational criteria of higher secondary education, with no mandate on the percentage of marks or stream of study.
The certification beckons graduates of any discipline, requiring adherence to ethical standards and a definitive period of professional experience within the financial domain.
Certified Financial Planner professionals uphold a credo of trust and expertise.
Accentuating eligibility, aspirants must complete the rigorous four-level program structure, culminating in the FPSB’s final assessment before the conferral of the coveted CFP mark.
CFP Syllabus
The CFP coursework is thoughtfully designed to provide a comprehensive educational experience that combines theoretical knowledge with practical application. As students progress through the coursework, they delve into the intricate details of financial planning, encountering a robust curriculum that equips them with the necessary skills to navigate diverse financial scenarios. With each level, the coursework delves deeper into specialized areas, requiring students to approach their studies with increased diligence and intellectual engagement.
Structure and Levels of the CFP Course
The CFP Course is tiered across four distinct levels, progressively advancing in complexity and specialization.
Each level culminates in a specialist certification, contributing to the trajectory towards CFP certification.
To successfully navigate the CFP coursework, it is important to understand the structure and content of the program. Here is an overview of the coursework:
Level 1: FPSB® Investment Specialist
Module 1: Personal Financial Management (Global Concepts, Indian Market Specifics)
Module 2: Investment Planning (Global Concepts, Indian Market Specifics)
Module 3: Retirement Planning and Employee Benefits (Global Concepts, Indian Market Specifics)
Level 2: FPSB® Retirement and Tax Planning Specialist
Module 1: Tax Planning (Global Concepts, Indian Market Specifics)
Module 2: Retirement Planning (Global Concepts, Indian Market Specifics)
Level 3: FPSB® Risk and Estate Planning Specialist
Module 1: Risk Management and Insurance Planning (Global Concepts, Indian Market Specifics)
Module 2: Estate Planning (Global Concepts, Indian Market Specifics)
Module 1: Advanced Financial Planning (Global Concepts, Indian Market Specifics)
Module 2: Case Study and Financial Plan Construction (Global Concepts, Indian Market Specifics)
By completing each level and module, you will gain a comprehensive understanding of financial planning and be well-prepared for the CFP certification exam.
Study Modes and Materials
CFP aspirants may select from two study modes, one with an authorized education provider like House of Financial Planners which can include intensive classroom learning or immersive online sessions. The other mode is self-learning mode which is often the path avoided by the aspirant. Authorized Education providers can also benefit students with some limited-period coupon codes in order to benefit students on their exam fees.
Upon enrollment, FPSB provides access to comprehensive course materials, including revised textbooks and case studies. These materials serve as a solid foundation for a comprehensive understanding of financial planning, offering practical insights into complex scenarios.
It is important to note that these official course materials are sufficient to grasp the concepts, eliminating the need for any additional resources. So you can save yourself from those sales pitches.
Studying with a good mentor can enhance your exam preparation, one such Authorized Education Provider is House of Financial Planners, based in Ahmedabad, which offers a lifetime mentorship program to help students across Gujarat and India not only pass the exam but also develop into competent professionals.
They excel in both learning pedagogies, ensuring a well-rounded educational experience.
Online learning platforms offer flexibility and convenience, allowing individuals to pursue their CFP preparation regardless of their location in Gujarat or anywhere in India. This enables students to balance their professional commitments while accessing quality education from anywhere in the country.
Classroom programs leverage the traditional approach, enabling direct interaction and immediate clarification, thereby enhancing the learning trajectory for many students.
The CFP Examination Process
The CFP examination is a rigorous, multi-level assessment to ensure proficiency in financial planning. It commences with the Investment Specialist Certification at Level 1, and progresses through comprehensive evaluations at subsequent levels, culminating with the Integrated Financial Planning course at Level 4.
To embark on the examination journey, candidates must first register with the Financial Planning Standards Board (FPSB) USA and satisfactorily complete the requisite education modules. Post this foundational step, they proceed to actualize their learning by appearing for the exams, which are meticulously designed to challenge and validate their competence in various financial planning domains.
Successful completion of the CFP exams is a testament to the dedication and expertise of the candidates. It reaffirms their preparedness to hold the esteemed CFP mark, signifying their capability to deliver top tier financial advice.
Registration and Fees
Enrolling in the CFP course involves a structured payment system, catering to the varied stages of the certification process.
Enrollment Fees: Paid to the education provider for course content, materials, and support infrastructure.
Registration Fees: A one-time fee to the FPSB USA for an official candidate registration.
Content Subscription Fees: Paid for FPSB’s online content, mandatory for exam preparation.
Examination Fees: Applicable for each level, these fees are remitted directly to the FPSB USA.
Project Assessment Fee: Required only for Level IV candidates to submit their financial planning project.
Certification Fees: Upon successful completion of all levels, payable for official receipt of the CFP mark and certifications. The fee structure is spread across various phases, ensuring financial planning aspirants can manage expenses progressively.
To avoid any inconvenience, ensure international payments are enabled on your card, as FPSB USA mandates fees in USD ($).
Remember to factor in the annual fees required to maintain your CFP certification post attainment, keeping in stride with professional standards.
Here we are adding a table of the fees for your consumption:
Preparation Tips and Exam Format
A well-laid strategy is pivotal for CFP exam success.
Studying diligently with a structured approach is undeniably important. Creating a study schedule that accommodates a comprehensive review of course materials, supplemented with ample practice tests, can greatly enhance one’s chances of success. Furthermore, it is advisable to engage in peer discussions to gain diversified insights and strengthen understanding.
Grasp the core concepts instead of rote learning.
The CFP exams are structured to evaluate both – your theoretical knowledge and practical application. This entails a deep understanding of financial planning principles rather than mere surface-level knowledge. Thus, it is imperative to fully comprehend and internalize concepts, enabling a seamless application during the exam.
Navigate through mock exams for your confidence boost.
Your exam preparation should include numerous mock tests that simulate the actual exam environment. By regularly engaging in such practice, you familiarize yourself with the exam format and types of questions, which relieves anxiety and enhances time management skills during the real test.
Revisions are key to cementing the learned concepts.
Continuous revisions are vital in ensuring that knowledge becomes second nature. As the exam draws closer, intensify your revision schedule to reinforce your understanding and recall of critical financial planning concepts, adapting to the rapidly evolving financial landscapes anticipated post-2023. This rigorous practice helps ensure that you are readily equipped with the necessary tools and knowledge to successfully face the examination and serve diverse client needs.
Career Advancement with CFP
The CERTIFIED FINANCIAL PLANNERCM certification propels one’s career trajectory exponentially, contributing to both personal growth and professional distinction in the financial planning sphere. Distinguished by its rigorous standards and worldwide recognition, obtaining CFP certification opens doors to advanced career opportunities, placing certificates at a distinct competitive advantage. Aspirants can expect to enhance their credentials, amplify their marketability, and access an elevated platform from which to cultivate a resilient and flourishing career within the dynamic landscape of financial services.
Employment Opportunities Post-Certification
The CFP certification unveils a spectrum of career paths in the finance industry, magnifying one’s professional prospects.
Wealth Management Advisor
Personal Financial Planner
Investment Analyst
Portfolio Manager
Financial Consultant
Retirement Planning Specialist
Estate Planning Expert
Risk Management Consultant
Tax Advisor
Relationship Manager
Insurance Advisor
Certificants are often preferred by top BFSI firms for their in-depth knowledge and ethical standards.
The certification also paves the way for lucrative entrepreneurial ventures in financial advisory services.
Continuing Education and Renewal Requirements
CFP certification requires ongoing education.
Certificants must fulfill a set of Continuing Education (CE) requirements to maintain the relevancy of their skills and knowledge. 30 hours of CE, including 2 hours focused on ethics, is mandatory every two years. This rigorous curriculum ensures that CFP professionals remain current in financial planning practices and uphold the highest standards of service and ethics. Failure to comply may result in certification suspension.
Every CFP professional must renew their certification biennially.
Understanding current regulations is vital – renewing the certification evidences commitment to professionalism. CFP certificants must submit a renewal application, demonstrate CE completion, and adhere to ethical requirements to maintain active status. This process is critical to preserving the integrity and value of the CFP designation.
Ethical conduct and proficient practice are non-negotiable.
To uphold public trust, CFP professionals engage in continuous learning that surpasses the mandatory CE requirements. By doing so, they assure clients of their commitment to excellence and the ongoing enhancement of their expertise. The renewal process validates this dedication, fostering confidence in the CFP credential.
What is CFP Certification?
CFP Certification is a globally recognized qualification that showcases expertise in financial planning.
Who can pursue CFP Certification?
CFP Certification is open to individuals seeking a career in financial planning, including financial advisors, mutual fund distributors, and undergraduate and postgraduate college students.
What are the benefits of CFP Certification?
CFP Certification offers enhanced career opportunities, credibility in the financial services industry, and the ability to provide comprehensive financial advisory services.
How do I become a CFP certificant?
To become a CFP certificant, you need to complete the required education, pass the CFP exams, meet the experience requirement, and adhere to the ethical standards set by the Financial Planning Standards Board (FPSB).
Can I study for CFP Certification online?
Yes, there are online learning platforms available that offer flexibility and convenience for studying towards CFP Certification, allowing you to balance your professional commitments alongside your preparation.
What is the cost of pursuing CFP Certification?
The cost of pursuing CFP Certification includes study fees paid to the education provider and board fees paid to the Financial Planning Standards Board (FPSB). The fees vary depending on the level of the program and the chosen mode of study. We have given the same in detail in the table above in the fees section
Is CFP Certification recognized globally?
Yes, CFP Certification is recognized and respected globally, with its validity in 27 countries across the world. It is considered the gold standard certification for financial planning.
How can CFP Certification benefit my career?
CFP Certification can open up a wide range of career opportunities in the financial services industry, including working with top financial service companies, starting your own financial planning practice, or setting up your own financial firm. It enhances your credibility and expertise in the field of personal finance.
What is the value of CFP Certification for clients?
Clients prefer to work with Certified Financial Planners (CFPs) due to their specialized knowledge and adherence to ethical standards. Working with a CFP can provide clients with confidence in their financial situation and help them achieve their life goals.
Can CFP Certification be pursued by individuals from any educational background?
Yes, CFP Certification is open to individuals from any educational background, including science, arts, and commerce. The minimum eligibility criteria include being at least 18 years old and having a high school or graduate degree.
How long does it take to complete CFP Certification?
The time required to complete CFP Certification may vary depending on individual circumstances. It typically involves completing the required education, passing the exams, and meeting the experience requirement. Generally, individuals take 12-15 months to complete all the levels.
Imagine climbing the corporate ladder with enhanced expertise in finance.
In a landscape where credentials often mirror capability, certifications like CA, CMA, and CFP speak volumes about one’s proficiency and commitment to the financial sector.
“Entrepreneurship thrives on multidimensional expertise and the Certified Financial Planner (CFP) credential equips entrepreneurs with the financial acumen to navigate complex landscapes and elevate their ventures to new heights.”
Yet among these esteemed qualifications, the Certified Financial Planner (CFP) stands out—offering unprecedented advantages ranging from improved client management to international recognition across 27 countries, truly transforming career trajectories. “Recognition becomes reputation.”
Unlocking Career Advancement Through CFP Certification
The CFP credential demonstrates expertise, granting financial professionals a mark of excellence and credibility.
In the realm of professional certifications, the Certified Financial Planner (CFP) is particularly distinguished. It imbues individuals with the acumen for masterful client advisory services, enhancing career growth prospects within the financial planning domain.
The CFP designation, a beacon of proficiency, paves the way for a robust financial advisory a career filled with opportunities for advancement and specialization.
Elevating Professional Growth
Recognition through esteemed certifications is a catalyst for career ascension, opening doors to advanced financial advisory roles and leadership positions.
Globally recognized qualifications elevate one’s professional stature, signalling expertise and dedication in the financial arena.
Possession of a certification such as CFP shows a commitment to professional development, which in turn can lead to increased responsibilities, authoritative roles, and rewarding compensation packages.
Certifications, especially CFP, also serve as a significant differentiator when seeking career transitions or promotions, amplifying one’s visibility in the competitive landscape of the financial sector.
Building a Foundation for Diverse Opportunities
The quest for knowledge and skill enhancement via certifications like CFP, CFA, and FRM fortifies one’s professional prowess. Inculcating a deep understanding and broad set of competencies, the CFP certification, in particular, stands out for propelling a financial professional’s career in numerous directions. By gaining a globally recognized qualification, financial advisors not only become more proficient at their craft but also gain access to a breadth of potential career pathways, be it in advisory roles, portfolio management, or selling financial products within the vast sphere of financial services.
Embracing the CFP certification enriches professionals with expertise in complex financial scenarios. This competency translates into superior client management, guiding individuals or institutions through nuanced investment, retirement, risk management, and tax planning. Such mastery is invaluable, not just for client retention and acquisition but also for the professionals’ own career growth. Their ability to deal with a spectrum of financial matters effectively makes them indispensable assets to their organizations, increasing their leadership and team management potential.
Additionally, the international acclaim associated with the CFP certification opens the door to managing cross-border finance and clients, especially Non-Resident Indians (NRIs). A CFP professional possesses the requisite skill set to navigate the intricacies of international finance, enabling them to court a wider clientele and cultivate an inclusive practice. This aspect of global recognition across 27 countries serves to elevate a financial advisor’s credibility and authority both within their home country and on the international stage.
Hence, obtaining the CFP certification is parallel to embarking on a journey toward comprehensive professional development. The vast array of benefits, ranging from the scientific approach to advising to establishing one’s practice, underscore the transformative potential of this credential. It primes financial professionals for career elevation, and lucrative income increments, and positions them as authoritative figures within their domain. With such credentials, they can command respect, trust, and greater influence, shaping their career trajectory in exciting and unprecedented ways.
“Financial education is not just about numbers and calculations; it is about equipping individuals with the knowledge and skills to navigate the complex world of finance, empowering them to secure their financial future and achieve their goals.”
Mastering Financial Planning with CFP
The Certified Financial Planner (CFP) certification is synonymous with excellence in financial planning. It provides practitioners with a blend of rigorous academic curriculum and practical financial planning skills, essential for addressing complex client needs. The designation confirms proficiency in aspects such as investment planning and wealth management, enabling professionals to provide advice with a high degree of sophistication and reliability.
The path to becoming a CFP-certified professional is marked by an in-depth understanding of various financial disciplines, including retirement, estate, risk, and tax planning. This holistic education translates to enhanced service delivery, where advisors can formulate tailored strategies for clients, considering all facets of their financial situation. Consequently, CFP holders are well-positioned to manage diverse portfolios with confidence and foster long-term client relationships built on the pillars of trust and financial acumen.
Holistic Approach to Client Management
Comprehensive advice is the cornerstone of trust.
In the realm of financial advisement, a truly holistic approach is non-negotiable. It requires a meticulous synthesis of all financial aspects of an individual’s life. From analyzing cash flow and debt management to strategizing for retirement, investment, and estate planning, it all interconnects to create a custom-fitted financial solution. Such coherence amplifies an advisor’s capability to deliver value, reflecting the strengthened financial well-being of their clients.
Each decision impacts long-term financial stability.
Advisors must navigate complexities with finesse. Taking on board the nuances of each client’s financial landscape, from imminent needs to long-term aspirations, is a task that demands both empathy and expertise. It’s a balancing act – carefully aligning risk tolerance with investment strategies – that culminates in robust financial plans designed to weather economic fluctuations and personal life transitions.
The pursuit of certifications like CFP signals a commitment to comprehensive client support. By integrating insights across investment planning, retirement, and estate conduits, financial planners foster professional environments where informed decisions thrive. As the CFP The board mandates continuous education, and CFP professionals remain au courant with the latest financial trends, ensuring clients receive advice that resonates with current market dynamics.
Proficiency in Complex Investment Strategies
Mastering complex investment strategies is pivotal in curating bespoke financial plans that respond to diverse client profiles.
Risk Management: Executing strategies that balance risk with potential returns.
Asset Allocation: Tailoring asset distribution across various investment vehicles.
Diversification Techniques: Minimizing risks by spreading investments across uncorrelated assets.
Tax Efficiency Planning: Orchestrating investments to minimize tax liabilities.
Global Investment Strategies: Capitalizing on international market opportunities.
Derivative Utilization: Employing options, futures, and other derivatives to hedge or amplify investment positions.
Alternative Investments: Assessing and integrating non-traditional assets like private equity and commodities.
Behavioral Finance Considerations: Recognizing and mitigating the impact of investor psychology on financial decisions.
Expertise in these areas enables one to navigate market volatility and economic changes adeptly.
These proficiencies are not just intellectual assets; they translate into tangible value for clients, optimizing their financial trajectories.
The Global Edge of CFP Recognition
The Certified Financial Planner (CFP) designation represents a beacon of excellence and comprehension in personal financial planning. Professionals adorning this title stand apart, not merely within the confines of local markets, but on the international stage, encompassing 27 countries where the CFP mark is recognized. This global acknowledgment paves the way for CFP professionals to serve a diverse client base, including Non-Resident Indians (NRIs), with nuanced cross-border financial planning needs. Moreover, it arms them with the capacity to navigate the complexities of international financial regulations, offering comprehensive solutions that cater to the globalized aspects of personal finance. A CFP professional thus becomes a pivotal channel through which individuals and corporations can effortlessly transverse financial landscapes, irrespective of geographical boundaries.
Harmonizing with International Standards
Global certification elevates professional credibility significantly.
“Entrepreneurship thrives on multidimensional expertise and the Certified Financial Planner (CFP) credential equips entrepreneurs with the financial acumen to navigate complex landscapes and elevate their ventures to new heights.”
“Entrepreneurship thrives on multidimensional expertise and the Certified Financial Planner (CFP) credential equips entrepreneurs with the financial acumen to navigate complex landscapes and elevate their ventures to new heights.”
In today’s interconnected financial landscape, the importance of global certifications cannot be overstated. Establishing a common language of finance across different jurisdictions is crucial, and certifications such as the Certified Financial Planner (CFP), Chartered Financial Analyst (CFA), and Financial Risk Manager (FRM) play instrumental roles in this regard. They form the bedrock of a professional’s ability to operate on a worldwide platform, ensuring that their expertise is not just localized but universally recognized and valued.
Cross-border competencies become increasingly vital for professionals.
With the CFP designation, one is not confined to domestic markets but is recognized globally in no less than 27 countries. This universally accepted qualification ensures that the professionals have met stringent international standards of education, examination, experience, and ethics, significantly heightening their professional standing and the trust placed in them by clients and employers alike.
Recognition ensures adherence to global best practices.
By holding a CFP mark, professionals assert their capability to offer sophisticated advice that aligns with both domestic and international financial planning needs. Their grasp on comprehensive strategies is well-founded on a globally accepted curriculum, which covers areas such as investment planning, retirement and estate planning, risk management, and tax planning. As of 2023, this global reach is invaluable for professionals aiming to leverage their advanced knowledge to address the increasingly complex and interconnected landscape of personal and corporate finance.
Catering to a Global Clientele
Enhanced credibility garners international trust.
Certified Financial Planner (CFP) professionals project a mark of excellence. Their expertise is not just a testament to rigorous training but also an assurance of their adherence to international standards of competency and ethics. As fiduciaries, they uphold the highest degree of client trust, essential in managing cross-border finances.
Global recognition facilitates client retention.
In an interlinked financial world, the CFP credential stands out—facilitating the retention of discerning clients, particularly Non-Resident Indians (NRIs) who seek professionalism and a keen understanding of diverse markets. Worldwide acceptance empowers advisors to maintain continuity of service, regardless of client domicile.
Strategic advising around the globe.
A CFP professional is equipped with robust knowledge and tools to provide strategic financial guidance worldwide. The global curriculum that underpins the CFP certification equips practitioners with the competencies to cater to a diverse clientele, navigating complex international financial landscapes with dexterity.
Impactful cross-border consultations are assured.
CFP certification confers upon professionals the ability to deliver impactful financial advice across borders. It also positions them uniquely to advise clients on multi-jurisdictional matters, which is particularly important in an era where individuals and families often hold assets in multiple countries and require coherent, unified financial planning.
CFP: Beyond Certification – A Lifestyle Choice
The pursuit of CFP certification signals not just a career choice but an enduring commitment to a higher standard of financial stewardship. It translates into a philosophy of client-centric professionalism that actively shapes one’s lifestyle, influencing daily decision-making and long-term objectives.
As CFPs, professionals embody a holistic approach to financial planning, integrating elements of psychology, relationship management, and technical expertise. This mindset not only enhances one’s professional standing but also percolates into personal life, fostering a culture of prudent financial habits and informed decision-making within the communities they engage.
Embracing the CFP designation is embracing a future where excellence in financial planning is not just an aspiration but a lived reality. It signifies a transformative journey that extends beyond the realms of work, deeply rooting itself in the ethos of personal growth and societal contribution.
Fostering Entrepreneurial Success
“Entrepreneurship thrives on multidimensional expertise and the Certified Financial Planner (CFP) credential equips entrepreneurs with the financial acumen to navigate complex landscapes and elevate their ventures to new heights.”
Continuous Knowledge and Skill Development
Evolving markets necessitate perpetual learning.
The sphere of financial advisory is dynamic, and ever-evolving with new regulations, products, and market conditions. Professionals must therefore engage in continuous education to stay abreast. The CFP certification program encompasses ongoing learning commitments, ensuring advisors remain at the forefront of industry developments. Thus, they are well-equipped to deliver the highest standards of advice to clients.
A CFP designation is not an endpoint but a journey.
Pursuing the CFP certification mandates adherence to professional development. This is not a sporadic effort but an enduring commitment – an investment that yields dividends in the form of enhanced analytical thinking, problem-solving skills, and up-to-date knowledge of financial matters.
The brilliance of the CFP lies in its breadth and depth.
Securing a CFP certification is not merely about mastering the current financial landscape. It is a pledge to continual skill enrichment, specifically tailored to meet the complexities of the financial sector as it evolves. The syllabus is updated systematically, reflecting the very latest in financial planning discourse, technologies, and legislative adjustments.
Prolonged relevance in the financial domain is paramount.
Understanding the CFP curriculum’s emphasis on continuous professional development, we recognize the caliber it imbues in advisors. Not only do they gain expertise in advising with scientific rigor, but they also maintain a competitive edge by perpetually tuning their skills to the chipper of global finance’s incessant evolution.
So your search for top financial certifications in India can end here if you are someone looking to make an impact in the life of somebody, the pleasure of which goes beyond money.
Financial education is crucial for entrepreneurs as it equips them with the necessary knowledge and skills to understand financial dynamics, make informed decisions, and navigate the complexities of the business world, ultimately enhancing their venture’s potential for success.
What is the importance of recognition with global financial certification?
Recognition with a global financial certification, such as the Certified Financial Planner (CFP) credential provides professionals in the financial industry with international credibility, expanded career opportunities, and the ability to effectively serve international clients.
How does the CFP certification benefit professionals in India?
The CFP certification offers professionals in India numerous advantages, including better client management, career elevation, skill building, knowledge enhancement, the ability to start their own practice, increased authority in the domain, expertise in investment planning, retirement and estate planning, risk and tax planning, managing international clients like NRIs, and potential income increment. For people who want to get their RIA Licenses or a distributor focused on the distribution business, it plays a vital role.
Why is financial education important for financial product distributors?
Financial education is crucial for entrepreneurs as it equips them with the necessary knowledge and skills to understand financial dynamics, make informed decisions, and navigate the complexities of the business world, ultimately enhancing their venture’s potential for success.
What are the benefits of managing international clientele with a CFP certification?
Possessing a CFP certification enables entrepreneurs to effectively manage international clientele, including NRIs, by fostering a comprehensive understanding of diverse financial regulations and client expectations, expanding their market reach, and enhancing their business’s reputation on a global platform.
The CFP certification enhances entrepreneurial resilience by integrating global best practices and a systematic advisory methodology, allowing entrepreneurs to adapt to market shifts, innovate, and respond effectively to the rapidly changing business ecosystem.
