Case Study

THE MISSION OF CERTIFIED FINANCIAL PLANNER BOARD OF STANDARDS, INC. (CFP BOARD) IS TO BENEFIT THE PUBLIC BY GRANTING THE CFP® CERTIFICATION AND UPHOLDING IT AS THE RECOGNIZED STANDARD OF EXCELLENCE FOR COMPETENT AND ETHICAL PERSONAL FINANCIAL PLANNING.

CFP BOARD HAS ESTABLISHED FIVE CORE OBJECTIVES THAT SUPPORT CFP BOARD’S MISSION.

1.COMPETENCY:
ESTABLISH AND UPHOLD RIGOROUS COMPETENCY STANDARDS FOR CFP®CERTIFICATION.

2.PROFESSIONAL STANDARDS & ENFORCEMENT:
PROTECT THE PUBLIC’S INTEREST THROUGH THE ESTABLISHMENT AND ENFORCEMENT OF RIGOROUS FINANCIAL PLANNING ETHICAL AND PRACTICE STANDARDS.

3.PUBLIC ADVOCACY:
INFLUENCE POLICY TO BENEFIT THE PUBLIC AND INCREASE ACCESS FOR ALL TO COMPETENT AND ETHICAL FINANCIAL PLANNING.

4.COMMUNICATIONS & OUTREACH:
INCREASE PUBLIC AND STAKEHOLDER AWARENESS OF AND PREFERENCE FOR CFP® CERTIFICATION AS THE STANDARD FOR FINANCIAL PLANNING

5.SUSTAINABILITY:
STRENGTHEN CFP BOARD’S CAPACITY TO ACHIEVE ITS MISSION.

EDUCATION:
CFP® PROFESSIONALS MUST DEVELOP THEIR THEORETICAL AND PRACTICAL FINANCIAL PLANNING KNOWLEDGE BY COMPLETING A COMPREHENSIVE COURSE OF STUDY AT A COLLEGE OR UNIVERSITY OFFERING A FINANCIAL PLANNING CURRICULUM APPROVED BY CFP BOARD. OTHER OPTIONS FOR SATISFYING THE EDUCATION COMPONENT INCLUDE SUBMITTING A TRANSCRIPT REVIEW OR PREVIOUS FINANCIAL PLANNING-RELATED COURSE WORK TO CFP BOARD FOR REVIEW AND CREDIT, OR SHOWING THE ATTAINMENT OF CERTAIN PROFESSIONAL DESIGNATIONS OR ACADEMIC DEGREES.

EXAMINATION:
CFP® PRACTITIONERS MUST PASS A COMPREHENSIVE TWO-DAY, 10-HOUR CFP® CERTIFICATION EXAMINATION THAT TESTS THEIR ABILITY TO APPLY FINANCIAL PLANNING KNOWLEDGE IN AN INTEGRATED FORMAT. BASED ON REGULAR RESEARCH OF WHAT PLANNERS DO, THE EXAM COVERS THE FINANCIAL PLANNING PROCESS, TAX PLANNING, EMPLOYEE BENEFITS AND RETIREMENT PLANNING, ESTATE PLANNING, INVESTMENT MANAGEMENT AND INSURANCE.

EXPERIENCE:
CFP® PROFESSIONALS MUST HAVE THREE YEARS MINIMUM EXPERIENCE IN THE FINANCIAL PLANNING PROCESS PRIOR TO EARNING THE RIGHT TO USE THE CFP®CERTIFICATION MARKS. AS A RESULT, CFP® PRACTITIONERS POSSESS FINANCIAL COUNSELING SKILLS IN ADDITION TO FINANCIAL PLANNING KNOWLEDGE.

ETHICS:
AS A FINAL STEP TO CERTIFICATION, CFP® PRACTITIONERS AGREE TO ABIDE BY A STRICT CODE OF PROFESSIONAL CONDUCT, KNOWN AS CFP BOARD’S CODE OF ETHICS AND PROFESSIONAL RESPONSIBILITY, THAT SETS FORTH THEIR ETHICAL RESPONSIBILITIES TO THE PUBLIC, CLIENTS AND EMPLOYERS. CFP BOARD ALSO PERFORMS A BACKGROUND CHECK DURING THIS PROCESS, AND EACH INDIVIDUAL MUST DISCLOSE ANY INVESTIGATIONS OR LEGAL PROCEEDINGS RELATED TO THEIR PROFESSIONAL OR BUSINESS CONDUCT.

ONCE CERTIFIED, CFP® PRACTITIONERS ARE REQUIRED TO MAINTAIN TECHNICAL COMPETENCE AND FULFILL ETHICAL OBLIGATIONS. EVERY TWO YEARS, THEY MUST COMPLETE A MINIMUM 30 HOURS OF CONTINUING EDUCATION TO STAY CURRENT WITH DEVELOPMENTS IN THE FINANCIAL PLANNING PROFESSION AND BETTER SERVE CLIENTS. TWO OF THESE HOURS ARE SPENT STUDYING OR DISCUSSING CFP BOARD’S CODE OF ETHICS OR PRACTICE STANDARDS. IN ADDITION TO THE BIENNIAL CONTINUING EDUCATION REQUIREMENT, ALL CFP® PRACTITIONERS VOLUNTARILY DISCLOSE ANY PUBLIC, CIVIL, CRIMINAL OR DISCIPLINARY ACTIONS THAT MAY HAVE BEEN TAKEN AGAINST THEM DURING THE PREVIOUS TWO YEARS AS PART OF THE RENEWAL PROCESS.