CFP demand surges: FPA
The Certified Financial Planner (CFP) certification program has seen a 100 per cent increase on last year as the debate on financial planner education standards goes on, the Financial Planning Association (FPA) said.
The reported surge comes after the Commonwealth Bank (CBA) announced in October it will require its aligned advisers and licensees to attain planning-related qualifications.
The education standards also applied to Count and Financial Wisdom authorised representatives. They were required to have either an advanced diploma in financial planning or equivalent, a CFP professional designation of the Financial Planning Association; or a Fellow Chartered Financial Practitioner (FChFP) professional designation of the Association of Financial Advisers; or a Master’s in Financial Planning.
In August, AMP Limited announced all existing and new advisers must hold a CFP, a fellow Chartered Financial Practitioner (FChFP) or Masters in Financial Planning (MoFP) qualifications.
CEO of the FPA Mark Rantall said there are around 5,500 CFP professionals in total at the moment.
“We have long been advocating for a rise in education standards across the profession. And while it isn’t a silver bullet, we know that higher education and professional standards lead to better consumer outcomes,” he said.
“We also know that financial services firms that hire CFP professionals reduce corporate risk.”
The CFP certification is recognised worldwide.
AUTHOR
Malavika Santhebennur
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
