Financial Planner Work Experience Portfolio Work... · 2 FPI Financial Planner Work Experience Portfolio Vision Professional financial planning for all. Our Mission The FPI’s mission

1

FPI Financial Planner Work Experience Portfolio

Financial Planner Work Experience Portfolio

2


Vision

Professional financial planning for all.

Our Mission

The FPI’s mission is to advance and promote the pre-eminence and status of financial planning professionals, while at all times acting in the interests of the society (community, constituency) whom the profession serves, by:

1. Improving the quality and accessibility of professional financial planning for all in Southern Africa.

2. Acting as advocate for professional financial planning, building a recognition of the importance and need for such planning by the general public.

3. Providing a framework within which members can achieve qualifications and maintain competence to create greater value for their clients, practices and employers.

4. Ensuring that members maintain the highest ethical standards in the pursuance of their profession.

5. Providing a leadership role within financial services by providing balanced, credible input and commentary to government and the public.

6. Facilitating transformation within the profession.

3


Table of Contents

Introduction 5

How to Build a Portfolio for Work Experience 6

Work Experience Portfolio Personal Information 7

Work Experience Portfolio 9

Financial Planner Abilities 1. Financial Planning Component: Financial Management 102. Financial Planning Component: Asset Management 123. Financial Planning Component: Risk Management 144. Financial Planning Component: Tax Planning 165. Financial Planning Component: Retirement Planning 186. Financial Planning Component: Estate Planning 20

Financial Planner Professional Skills A. Financial Planner Professional Skills 22B. Engagement in Financial Planning Practices 23C. Formal Declaration of Adherence to FPI’s Code of Ethics and Professional Responsibility 24

www.fpi.co.za

5


Introduction

FPI recognises the importance of work experience for someone looking to become a financial planning professional. FPI believes engaging in the supervised practice of financial planning is the most effective method of gaining professional experience. However, this document guides candidates for financial planner certification on the implementation and assessment of the unsupervised experience component of FPI’s Financial Planner Work Experience Standard.

In FPI’s Certification Policy, relevant work experience is described as follows:

An individual demonstrates relevant work experience, either supervised or unsupervised, working with clients while:

• Engaging in practice described in FPI’s Financial Planning Practice Standards;• Applying the abilities, skills and knowledge described in FPI’s Financial Planner Competency

Profile; • Adhering to ethical principles described in FPI’s Financial Planner Code of Ethics and

Professional Responsibility; and• Doing all of the above in an educational, supervisory, advisory or non-client facing capacity.

Supervised Experience is described in FPI’s Certification Policy as follows:

Supervised Experience can be met by completing one year of supervised practice as described under Relevant Work Experience.

The supervisor must be a CFP® professional, in good standing, who has mastered the knowledge, skills and abilities described in FPI’s Financial Planner Competency Profile:

• Provides candidates with experience in, and instruction about, the practice of the profession;• Helps candidates to develop knowledge about the practice of the profession; • Teaches candidates the required standards of conduct; and • Confirms candidates are able to interact with clients.

At the end of the supervised practice period, the supervisor attests to the FPI in writing to the candidate’s readiness to competently and ethically practice financial planning.

Unsupervised experience is described in FPI’s Certification Policy as follows:

Unsupervised experience can be met by completing three years of unsupervised practice as described above under relevant work experience.

6


How to Build a Portfolio For Work Experience

1. The candidate identifies a CFP® professional who can act as mentor during the process and apply for approval of the mentor if not on the approved mentor list. (Application forms available from the office)

2. Completion of all fields is mandatory.3. The candidate completes the Work Experience Portfolio Personal Information Form beginning on page 7 and the

Work Experience Portfolio beginning on page 9. For example:

Has the candidate engaged in financial management during the period of experience?

YES NO

The candidate indicates the frequency of engagement, providing proof of evidence where applicable. For example, if the candidate engaged in financial management as a financial planning component most of the time during the experience period, the candidate completes the form as follows:

Frequency of Engagement in Financial Management Index of EvidenceVerified

(official use only)

Never Sometimes Most of the Time All the TimeSee appendix 1Financial plan X page 3

(example only)

The candidate further indicates whether he or she has relied on applicable abilities during the supervision period.

For example:

1.1 Collected information regarding the client’s assets and liabilities YES NO

4. The mentor and mentee must rate the mentee’s progress and competency on a regular basis. The mentor signs off on each financial planning component declaring the candidate’s readiness to competently and ethically practice in that component of financial planning.

5. The candidate completes the Financial Planner Professional Skills (page 22) and makes a declaration that he or she is familiar with the Financial Planner Professional Skills and that he or she applied those skills during the work experience period. For example:

Professional Responsibility YES NO

Established trust in all professional relationships X

Acted in the best interest of the client in providing professional services X

6. The candidate completes the section entitled Engagement in Financial Planning Practices, and makes a declaration that he or she is familiar with the financial planning process and that he or she applied appropriate Financial Planning Practice Standards during the work experience period. The candidate shall indicate which Financial Planning Processes he or she applied and whether he or she was involved in any of the applicable Financial Planning Practices during the work experience period. For example:

Financial Planning Process YES NO Related Practice Standards YES NO

Established and defined the relationship with the client

X1.1 Informed the client about financial planning

X

7. The candidate makes a formal declaration of his or her adherence to FPI’s Code of Ethics and Professional Responsibility (Pages 24-25 ). Please note that evidence for all items selected is mandatory and must be indexed and attached as proof.

8. The assessor appointed by the FPI gives approval on whether the Work Experience Standard was met and provides feedback on the assessment of the candidate’s portfolio, if not accepted.

7


Work Experience Portfolio Personal Information

Name:

Home address:

Home telephone: Home fax:

Home email:

Business name:

Business address:

Business telephone: Business fax:

Business email:

Preferred address (check one): Business Home

Select the highest relevant educational level you hold:

None Certificate Diploma Bachelors

Postgraduate Masters Doctorate Other

Name of education provider for above:

Date qualification conferred:

As part of your application for Certification, you will have to submit proof that you have achieved one of the approved programmes in order to meet the Education Requirement.

The employment and experience information required in this form must cover the period of work experience.

Current employment: (Complete only if the candidate is not self-employed.)

Start date: Hours per week: Job title:

Duties performed:

Company: Company telephone:

Name of company reference: Telephone number of reference:

Self employment:

I am self-employed. The following individual can attest to the nature (services delivered and duties performed) of my business:

Attester’s name:

Attester’s signature:

Attester’s telephone:

Attester’s email:

Nature of relationship of attester:

(For example: CFP® professional, attorney, CA (SA))

Previous employment:

Applicable: YES NO

Period of employment: Hours per week: Job title:

Company: Company telephone:

8


Name of company reference:

Telephone number of reference:

Company address:

License holder (to deliver financial services and/or advise):

Applicable: YES NO

License number: Type of license:

Date issued:

Note: If the space given is insufficient, please use a separate form to complete your employment history.

To the best of my knowledge, the facts contained herein are accurate and complete. I authorise investigation of all statements contained in this form. I understand that misrepresentation or omission of facts is cause for denial or revocation of the right to use my financial planner certification and that I may not use the certification until I receive official notification of my right to do so by the FPI.

Name (please print):

Signature:

Date:

Name of Assessor from FPI (for official use only):

Assessor comments:

Approved: YES NO

Signature: Date:

9


Work Experience Portfolio

Applying Abilities

The candidate indicates next to each ability whether he or she applied the ability during the work experience period. The candidate also indicates the frequency of involvement with each Financial Planning Component during the work experience period.

Evaluation

The candidate demonstrates experience in four of the six Financial Planning Components described in FPI’s Financial Planner Competency Profile (i.e. Financial Management, Asset Management, Risk Management, Tax Planning, Retirement Planning and Estate Planning). To qualify as having sufficient experience, the candidate must have applied at least four Financial Planning Components most of the time during the work experience period.

Frequency assesses how often the Financial Planning Components were applied by the candidate during the work experience period. Frequency is defined as a question: How often, on average, did the candidate perform or demonstrate his or her ability of the Financial Planning Component? Frequency is rated on a four-point scale:

• Never - never used in practice during work experience period• Sometimes - occasionally used in practice during work experience period• Most of the time - often used in practice during work experience period• All of the time - always used in practice during work experience period

Please note: if the candidate did not cover at least four of the six Financial Planning Components “most of the time” during the work experience period, the candidate must attest to the reasons why not. The candidate cannot offset “over performance” in one Financial Planning Component with “underperformance” in another since every component is assessed individually.

Evidence

The candidate provides evidence that he or she applied at least four of the six Financial Planning Components with at least four of the six Financial Planning Components applied “most of the time” during the work experience period. Evidence can be provided as follows:

• Sufficient financial plans to cover four or more Financial Planning Components (the plans must be real financial plans for real clients).

• References must be provided (from managers, colleagues, clients, etc.) that clearly indicate that the candidate applied four of the six Financial Planning Components during the work experience period.

10


Fina

ncia

l Pla

nner

Abi

litie

s1

. Fin

anci

al P

lann

ing

Com

pone

nt: F

inan

cial

Man

agem

ent

Indi

cate

the

freq

uenc

y of

eng

agem

ent w

ith

inde

xed

refe

renc

e to

you

r at

tach

ed p

roof

of

evid

ence

whe

re a

pplic

able

.

Has

the

cand

idat

e en

gage

d in

fina

ncia

l man

agem

ent?

Inde

x of

Evi

denc

eVe

rifie

d (o

ffici

al u

se o

nly)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Fi

nanc

ial M

anag

emen

t

Perf

orm

ed

task

Evid

ence

pre

sent

ed b

y m

ente

eM

ento

r ra

ting

Ass

esso

r

Com

men

tsPl

ease

ci

rcle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al

com

pete

nce

leve

l

Init

ials

Rati

ngRa

ting

Rati

ng

1.1

Colle

cted

info

rmat

ion

rega

rdin

g th

e cl

ient

’s a

sset

s an

d lia

bilit

ies

YES/

NO

YES/

NO

YES/

NO

1.2

Colle

cted

info

rmat

ion

rega

rdin

g th

e cl

ient

’s c

ash

flow

, inc

ome

and/

or

oblig

atio

nsYE

S/N

OYE

S/N

OYE

S/N

O

1.3

Colle

cted

info

rmat

ion

nece

ssar

y to

pr

epar

e a

budg

et

YES/

NO

YES/

NO

YES/

NO

1.4

Prep

ared

sta

tem

ents

of

the

clie

nt’s

net

w

orth

, cas

h fl

ow a

nd b

udge

t YE

S/N

OYE

S/N

OYE

S/N

O

1.5

Det

erm

ined

the

clie

nt’s

pro

pens

ity

to

save

YE

S/N

OYE

S/N

OYE

S/N

O

1.6

Det

erm

ined

how

the

clie

nt m

akes

sp

endi

ng d

ecis

ions

YE

S/N

OYE

S/N

OYE

S/N

O

1.7

Det

erm

ined

the

clie

nt’s

att

itud

es

tow

ards

deb

t YE

S/N

OYE

S/N

OYE

S/N

O

1.8

Det

erm

ined

whe

ther

the

clie

nt is

livi

ng

wit

hin

finan

cial

mea

ns

YES/

NO

YES/

NO

YES/

NO

11


1.9

Det

erm

ined

the

issu

es re

leva

nt to

the

clie

nt’s

ass

ets

and

liabi

litie

s YE

S/N

OYE

S/N

OYE

S/N

O

1.10

Det

erm

ined

the

clie

nt’s

em

erge

ncy

fu

nd p

rovi

sion

YE

S/N

OYE

S/N

OYE

S/N

O

1.11

Con

side

red

pote

ntia

l cas

h m

anag

emen

t st

rate

gies

for

the

clie

nt

YES/

NO

YES/

NO

YES/

NO

1.12

Ass

esse

d w

heth

er th

e em

erge

ncy

fund

is

ade

quat

e YE

S/N

OYE

S/N

OYE

S/N

O

1.13

Ass

esse

d th

e im

pact

of

pote

ntia

l ch

ange

s in

inco

me

and

expe

nses

YE

S/N

OYE

S/N

OYE

S/N

O

1.14

Iden

tifie

d co

nflic

ting

dem

ands

on

cash

fl

ow

YES/

NO

YES/

NO

YES/

NO

1.15

Ass

esse

d fin

anci

ng a

lter

nati

ves

YES/

NO

YES/

NO

YES/

NO

1.16

Dev

elop

ed fi

nanc

ial m

anag

emen

t st

rate

gies

YES/

NO

YES/

NO

YES/

NO

1.17

Eva

luat

ed a

dvan

tage

s an

d di

sadv

anta

ges

of e

ach

finan

cial

m

anag

emen

t st

rate

gyYE

S/N

OYE

S/N

OYE

S/N

O

1.18

Opt

imis

ed s

trat

egie

s to

mak

e fin

anci

al

man

agem

ent r

ecom

men

dati

ons

YE

S/N

OYE

S/N

OYE

S/N

O

1.19

Pri

orit

ised

act

ion

step

s to

ass

ist t

he

clie

nt in

impl

emen

ting

fina

ncia

l m

anag

emen

t rec

omm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

Ass

essm

ent c

rite

ria

Fi

nanc

ial M

anag

emen

t

Perf

orm

ed

task

Evid

ence

pre

sent

ed b

y m

ente

eM

ento

r ra

ting

Ass

esso

r

Com

men

tsPl

ease

ci

rcle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al

com

pete

nce

leve

l

Init

ials

Rati

ngRa

ting

Rati

ng

12


2. F

inan

cial

Pla

nnin

g Co

mpo

nent

: Ass

et M

anag

emen

t

Has

the

cand

idat

e en

gage

d in

ass

et m

anag

emen

t?In

dex

of E

vide

nce

Veri

fied

(offi

cial

use

onl

y)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Ass

et M

anag

emen

t

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

1.2

Colle

cted

info

rmat

ion

nece

ssar

y to

pre

pare

det

aile

d st

atem

ent o

f in

vest

men

t ho

ldin

gs

YES/

NO

YES/

NO

YES/

NO

2.2

Det

erm

ined

the

clie

nt’s

ass

et

allo

cati

on

YES/

NO

YES/

NO

YES/

NO

2.3

Iden

tifie

d ca

sh fl

ows

avai

labl

e fo

r in

vest

men

t YE

S/N

OYE

S/N

OYE

S/N

O

2.4

Det

erm

ined

the

clie

nt’s

ex

peri

ence

wit

h, a

nd a

ttit

udes

an

d bi

ases

tow

ard,

inve

stm

ents

YE

S/N

OYE

S/N

OYE

S/N

O

2.5

Det

erm

ined

the

clie

nt’s

in

vest

men

t obj

ecti

ves

YES/

NO

YES/

NO

YES/

NO

2.6

Det

erm

ined

the

clie

nt’s

to

lera

nce

for

inve

stm

ent r

isk

YES/

NO

YES/

NO

YES/

NO

2.7

Iden

tifie

d th

e cl

ient

’s

assu

mpt

ions

and

retu

rn

expe

ctat

ions

YE

S/N

OYE

S/N

OYE

S/N

O

2.8

Iden

tifie

d th

e cl

ient

’s ti

me

hori

son

YES/

NO

YES/

NO

YES/

NO

2.9

Cal

cula

ted

requ

ired

rate

of

retu

rn to

reac

h th

e cl

ient

’s

obje

ctiv

es

YES/

NO

YES/

NO

YES/

NO

13


Ass

essm

ent c

rite

ria

Ass

et M

anag

emen

t

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

2.10

Det

erm

ined

the

char

acte

rist

ics

of in

vest

men

t hol

ding

s YE

S/N

OYE

S/N

OYE

S/N

O

2.11

Det

erm

ined

the

impl

icat

ions

of

acqu

irin

g/di

spos

ing

of a

sset

s YE

S/N

OYE

S/N

OYE

S/N

O

2.12

Con

side

red

pote

ntia

l in

vest

men

t str

ateg

ies

YES/

NO

YES/

NO

YES/

NO

2.13

Ass

esse

d w

heth

er in

vest

men

t re

turn

exp

ecta

tion

s ar

e co

nsis

tent

wit

h th

e ri

sk

tole

ranc

e

YES/

NO

YES/

NO

YES/

NO

2.14

Ass

esse

d w

heth

er a

sset

ho

ldin

gs a

re c

onsi

sten

t wit

h ri

sk to

lera

nce

and

requ

ired

rate

of

retu

rn

YES/

NO

YES/

NO

YES/

NO

2.25

Dev

elop

ed a

sset

man

agem

ent

stra

tegi

es

YES/

NO

YES/

NO

YES/

NO

2.16

Eva

luat

ed a

dvan

tage

s an

d di

sadv

anta

ges

of e

ach

asse

t m

anag

emen

t str

ateg

y YE

S/N

OYE

S/N

OYE

S/N

O

2.17

Opt

imis

ed s

trat

egie

s to

m

ake

asse

t man

agem

ent

reco

mm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

2.18

Pri

orit

ised

act

ion

step

s to

ass

ist

the

clie

nt in

impl

emen

ting

as

set m

anag

emen

t re

com

men

dati

ons

YES/

NO

YES/

NO

YES/

NO

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

14


3. F

inan

cial

Pla

nnin

g Co

mpo

nent

: Ris

k M

anag

emen

t

Has

the

cand

idat

e en

gage

d in

ris

k m

anag

emen

t?In

dex

of E

vide

nce

Veri

fied

(offi

cial

use

onl

y)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Risk

Man

agem

ent

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

3.1

Colle

cted

det

ails

of

the

clie

nt’s

ex

isti

ng in

sura

nce

cove

rage

YE

S/N

OYE

S/N

OYE

S/N

O

3.2

Iden

tifie

d po

tent

ial fi

nanc

ial

oblig

atio

ns o

f th

e cl

ient

YE

S/N

OYE

S/N

OYE

S/N

O

3.3

Det

erm

ined

the

clie

nt’s

ris

k m

anag

emen

t obj

ecti

ves

YES/

NO

YES/

NO

YES/

NO

3.4

Det

erm

ined

the

clie

nt’s

tole

ranc

e fo

r ri

sk e

xpos

ure

YES/

NO

YES/

NO

YES/

NO

3.5

Det

erm

ined

rele

vant

life

styl

e is

sues

YE

S/N

OYE

S/N

OYE

S/N

O

3.6

Det

erm

ined

the

clie

nt’s

w

illin

gnes

s to

take

act

ive

step

s to

m

anag

e fin

anci

al r

isk

YES/

NO

YES/

NO

YES/

NO

3.7

Det

erm

ined

cha

ract

eris

tics

of

exis

ting

insu

ranc

e co

vera

ge

YES/

NO

YES/

NO

YES/

NO

3.8

Cons

ider

ed c

urre

nt a

nd p

oten

tial

ri

sk m

anag

emen

t str

ateg

ies

YES/

NO

YES/

NO

YES/

NO

3.9

Ass

esse

d ex

posu

re to

fina

ncia

l ri

sk

YES/

NO

YES/

NO

YES/

NO

15


Ass

essm

ent c

rite

ria

Risk

Man

agem

ent

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

3.10

Ass

esse

d th

e cl

ient

’s r

isk

expo

sure

aga

inst

cur

rent

in

sura

nce

cove

rage

and

ris

k m

anag

emen

t str

ateg

ies

YES/

NO

YES/

NO

YES/

NO

3.11

Ass

esse

d th

e im

plic

atio

ns o

f ch

ange

s to

insu

ranc

e co

vera

ge

YES/

NO

YES/

NO

YES/

NO

3.12

Pri

orit

ised

the

clie

nt’s

ris

k m

anag

emen

t nee

ds

YES/

NO

YES/

NO

YES/

NO

3.13

Dev

elop

ed r

isk

man

agem

ent

stra

tegi

es

YES/

NO

YES/

NO

YES/

NO

3.14

Eva

luat

ed a

dvan

tage

s an

d di

sadv

anta

ges

of e

ach

risk

m

anag

emen

t str

ateg

y YE

S/N

OYE

S/N

OYE

S/N

O

3.15

Opt

imis

ed s

trat

egie

s to

mak

e ri

sk

man

agem

ent r

ecom

men

dati

ons

YES/

NO

YES/

NO

YES/

NO

3.16

Pri

orit

ised

act

ion

step

s to

ass

ist

the

clie

nt in

impl

emen

ting

ris

k m

anag

emen

t rec

omm

enda

tion

sYE

S/N

OYE

S/N

OYE

S/N

O

3.17

Opt

imis

ed s

trat

egie

s to

m

ake

asse

t man

agem

ent

reco

mm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

3.18

Pri

orit

ised

act

ion

step

s to

ass

ist

the

clie

nt in

impl

emen

ting

ass

et

man

agem

ent r

ecom

men

dati

ons

YES/

NO

YES/

NO

YES/

NO

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

16


4. F

inan

cial

Pla

nnin

g Co

mpo

nent

: Tax

Pla

nnin

g

Has

the

cand

idat

e en

gage

d in

tax

man

agem

ent?

Inde

x of

Evi

denc

eVe

rifie

d (o

ffici

al u

se o

nly)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Tax

Plan

ning

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

4.1

Colle

cted

the

info

rmat

ion

nece

ssar

y to

est

ablis

h th

e cl

ient

’s ta

x po

siti

on

YES/

NO

YES/

NO

YES/

NO

4.2

Iden

tifie

d ta

xabl

e na

ture

of

asse

ts a

nd li

abili

ties

YE

S/N

OYE

S/N

OYE

S/N

O

4.3

Iden

tifie

d cu

rren

t, de

ferr

ed

and

futu

re ta

x lia

bilit

ies

YES/

NO

YES/

NO

YES/

NO

4.4

Iden

tifie

d pa

rtie

s re

leva

nt to

th

e cl

ient

’s ta

x si

tuat

ion

YES/

NO

YES/

NO

YES/

NO

4.5

Det

erm

ined

the

clie

nt’s

at

titu

des

tow

ard

taxa

tion

YE

S/N

OYE

S/N

OYE

S/N

O

4.6

Revi

ewed

rele

vant

tax

docu

men

ts

YES/

NO

YES/

NO

YES/

NO

17


Ass

essm

ent c

rite

ria

Tax

Plan

ning

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

4.7

Cons

ider

ed p

oten

tial

tax

stra

tegi

es a

nd s

truc

ture

s YE

S/N

OYE

S/N

OYE

S/N

O

4.8

Eval

uate

d ex

isti

ng ta

x st

rate

gies

and

str

uctu

res

for

suit

abili

ty

YES/

NO

YES/

NO

YES/

NO

4.9

Ass

esse

d fin

anci

al im

pact

of

tax

plan

ning

alt

erna

tive

s YE

S/N

OYE

S/N

OYE

S/N

O

4.10

Dev

elop

ed ta

x pl

anni

ng

stra

tegi

es

YES/

NO

YES/

NO

YES/

NO

4.11

Eva

luat

ed a

dvan

tage

s an

d di

sadv

anta

ges

of e

ach

tax

plan

ning

str

ateg

y YE

S/N

OYE

S/N

OYE

S/N

O

4.12

Opt

imis

ed s

trat

egie

s to

mak

e ta

x pl

anni

ng

reco

mm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

4.13

Pri

orit

ised

act

ion

step

s to

ass

ist t

he c

lient

in

impl

emen

ting

tax

plan

ning

re

com

men

dati

ons

YES/

NO

YES/

NO

YES/

NO

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

18


5. F

inan

cial

Pla

nnin

g Co

mpo

nent

: Ret

irem

ent P

lann

ing

Has

the

cand

idat

e en

gage

d in

reti

rem

ent m

anag

emen

t?In

dex

of E

vide

nce

Veri

fied

(offi

cial

use

onl

y)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Reti

rem

ent P

lann

ing

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

5.1

Colle

cted

the

deta

ils

of p

oten

tial

sou

rces

of

reti

rem

ent i

ncom

e YE

S/N

OYE

S/N

OYE

S/N

O

5.2

Colle

cted

the

deta

ils o

f es

tim

ated

reti

rem

ent

expe

nses

YE

S/N

OYE

S/N

OYE

S/N

O

5.3

Det

erm

ined

the

clie

nt’s

re

tire

men

t obj

ecti

ves

YES/

NO

YES/

NO

YES/

NO

5.4

Det

erm

ined

the

clie

nt’s

at

titu

de to

war

d re

tire

men

t YE

S/N

OYE

S/N

OYE

S/N

O

5.5

Det

erm

ined

the

clie

nt’s

co

mfo

rt w

ith

reti

rem

ent

plan

ning

ass

umpt

ions

YE

S/N

OYE

S/N

OYE

S/N

O

5.6

Dev

elop

ed fi

nanc

ial

proj

ecti

ons

base

d on

cur

rent

po

siti

on

YES/

NO

YES/

NO

YES/

NO

19


Ass

essm

ent c

rite

ria

Reti

rem

ent P

lann

ing

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al c

ompe

tenc

e le

vel

Init

ials

Rati

ngRa

ting

Rati

ng

5.7

Det

erm

ined

if th

e cl

ient

’s

reti

rem

ent o

bjec

tive

s ar

e re

alis

tic

YES/

NO

YES/

NO

YES/

NO

5.8

Cons

ider

ed p

oten

tial

re

tire

men

t pla

nnin

g st

rate

gies

YE

S/N

OYE

S/N

OYE

S/N

O

5.9

Ass

esse

d fin

anci

al

requ

irem

ents

at r

etir

emen

t da

te

YES/

NO

YES/

NO

YES/

NO

5.10

Ass

esse

d th

e im

pact

of

chan

ges

in a

ssum

ptio

ns o

n fin

anci

al p

roje

ctio

ns

YES/

NO

YES/

NO

YES/

NO

5.11

Ass

esse

d tr

ade-

offs

nece

ssar

y to

mee

t ret

irem

ent o

bjec

tive

s YE

S/N

OYE

S/N

OYE

S/N

O

5.12

Dev

elop

ed re

tire

men

t pl

anni

ng s

trat

egie

s YE

S/N

OYE

S/N

OYE

S/N

O

5.13

Eva

luat

ed a

dvan

tage

s an

d di

sadv

anta

ges

of e

ach

reti

rem

ent p

lann

ing

stra

tegy

YE

S/N

OYE

S/N

OYE

S/N

O

5.14

Opt

imis

ed s

trat

egie

s to

m

ake

reti

rem

ent p

lann

ing

reco

mm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

20


6. F

inan

cial

Pla

nnin

g Co

mpo

nent

: Est

ate

Plan

ning

Has

the

cand

idat

e en

gage

d in

est

ate

man

agem

ent?

Inde

x of

Evi

denc

eVe

rifie

d (o

ffici

al u

se o

nly)

Yes

No

Nev

erSo

met

imes

Mos

t of

the

Tim

eA

ll th

e Ti

me

Indi

cate

whe

ther

the

follo

win

g ab

iliti

es h

ave

been

app

lied

duri

ng th

e w

ork

expe

rien

ce p

erio

d. R

atin

g cr

iter

ia:

1: N

ot c

apab

le o

f pe

rfor

min

g

3:

Cap

able

wit

h lim

ited

/ p

erio

dic

inte

rven

tion

Re

quir

ed fi

nal c

ompe

tenc

e le

vel =

4

2: C

apab

le w

ith

sign

ifica

nt /

fre

quen

t int

erve

ntio

n

4: C

apab

le w

ith

no in

terv

enti

on

Ass

essm

ent c

rite

ria

Esta

te P

lann

ing

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al

com

pete

nce

leve

lIn

itia

lsRa

ting

Rati

ngRa

ting

6.1

Colle

cted

lega

l agr

eem

ents

an

d do

cum

ents

that

impa

ct

esta

te p

lann

ing

stra

tegi

es

YES/

NO

YES/

NO

YES/

NO

6.2

Iden

tifie

d th

e cl

ient

’s e

stat

e pl

anni

ng o

bjec

tive

s YE

S/N

OYE

S/N

OYE

S/N

O

6.3

Iden

tifie

d fa

mily

dyn

amic

s an

d bu

sine

ss re

lati

onsh

ips

that

cou

ld im

pact

est

ate

plan

ning

str

ateg

ies

YES/

NO

YES/

NO

YES/

NO

6.4

Proj

ecte

d ne

t wor

th a

t dea

th

YES/

NO

YES/

NO

YES/

NO

6.5

Cons

ider

ed c

onst

rain

ts to

m

eeti

ng th

e cl

ient

’s e

stat

e pl

anni

ng o

bjec

tive

s YE

S/N

OYE

S/N

OYE

S/N

O

6.6

Cons

ider

ed p

oten

tial

est

ate

plan

ning

str

ateg

ies

YES/

NO

YES/

NO

YES/

NO

21


Ass

essm

ent c

rite

ria

Esta

te P

lann

ing

Perf

orm

ed ta

skEv

iden

ce p

rese

nted

by

men

tee

Men

tor

rati

ngA

sses

sor

Com

men

tsPl

ease

cir

cle

Trim

este

r 1

date

:Tr

imes

ter

2 da

te:

Trim

este

r 3

date

:Ra

ting

Dev

elop

men

t re

quir

ed?

Dem

onst

rate

d fin

al

com

pete

nce

leve

lIn

itia

lsRa

ting

Rati

ngRa

ting

6.7

Cal

cula

ted

pote

ntia

l exp

ense

s an

d ta

xes

owed

at d

eath

YE

S/N

OYE

S/N

OYE

S/N

O

6.8

Ass

esse

d th

e sp

ecifi

c ne

eds

of

bene

ficia

ries

YE

S/N

OYE

S/N

OYE

S/N

O

6.9

Ass

esse

d th

e liq

uidi

ty o

f th

e es

tate

at d

eath

YE

S/N

OYE

S/N

OYE

S/N

O

6.10

Dev

elop

ed e

stat

e pl

anni

ng

stra

tegi

es

YES/

NO

YES/

NO

YES/

NO

6.11

Eva

luat

ed th

e ad

vant

ages

and

di

sadv

anta

ges

of e

ach

esta

te

plan

ning

str

ateg

y YE

S/N

OYE

S/N

OYE

S/N

O

6.12

Opt

imis

ed s

trat

egie

s to

m

ake

esta

te p

lann

ing

reco

mm

enda

tion

s YE

S/N

OYE

S/N

OYE

S/N

O

Men

tor

Sign

atur

eM

ente

e Si

gnat

ure

Dat

e

22


Financial Planner Professional SkillsA. Financial Planner Professional Skills

The candidate should indicate whether he or she applied the skills described in FPI’s Financial Planner Professional Skills during the work experience period.

Professional Responsibility YES NO

Establish trust in all professional relationships

Act in the best interest of the client

Demonstrated ethical judgment

Demonstrate honesty and integrity

Recognises personal limits and voluntarily refer clients to other professionals

Recognises the role of the profession to the general public and act accordingly

Practice YES NO

Comply with FAIS legislation and other related regulations

Adhere to FPI Code of Ethics and Professional Responsibility and Financial Planning Practice Standards

Keep up to date with economic, political and regulatory changes

Engage in continuous professional development to ensure currency of knowledge and skills

Exercises autonomy and initiative in the performance of professional activities

Communication YES NO

Established good rapport with the client and others

Listen to what clients and others are saying and take time to make sure you understand the points being made

Communicate information and solutions in a manner that client can understand

Present logical and persuasive rationales

Dealt effectively with objections and complaints

Reach agreement with the client and others

Cognitive YES NO

Apply mathematical methods and formulae appropriately

Analyse and integrate information from various sources to arrive at appropriate solutions

Use logic and reasoning when considering solutions for client’s needs

Make informed decisions when faced with incomplete or inconsistent information

Demonstrate capacity to adapt thinking and behaviours

I declare hereby that I am familiar with FPI’s Financial Planner Professional Skills and that I applied the skills as indicated above during the work experience period.

Mentee Name: Signature: Date:

Mentor Signature Date

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B. Engagement in Financial Planning Practices

The candidate should indicate which financial planning processes he or she applied and whether he or she was involved in any of the related Financial Planning Practice Standards during the work experience period.

Financial Planning Process YES NO Related Practice Standards YES NO

1. Established and defined the relationship with a client

1.1 Informed a client about financial planning

1.2 Determined whether he/she can meet a client’s needs

1.3 Defined the scope of engagement with a client

2. Collected a client’s information

2.1 Identified a client’s personal and financial objectives, needs and priorities

2.2 Collected the quantitative information and documents of a client

2.3 Collected the qualitative information of a client

3. Analysed and assessed a client’s financial status

3.1 Analysed a client’s information

3.2 Assessed a client’s objectives, needs and priorities

4. Developed financial planning recommendations for a client and presented the recommendations

4.1 Identified and evaluated a client’s financial planning strategies

4.2 Developed financial planning recommendations for a client

4.3 Presented financial planning recommendations to a client

5. Implemented financial planning recommendations for a client

5.1 Implementation of responsibilities

5.2 Presented products and services to a client for implementation

6. Reviewed a client’s situation

6.1 Agreed on responsibilities and terms for review of a client’s situation

6.2 Reviewed and re-evaluated a client’s situation

I declare hereby that I am familiar with the financial planning process and that I applied related financial planning practices as indicated above during the work experience period.



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C. Formal Declaration of Adherence to FPI’s Code of Ethics and Professional Responsibility

I have and will continue to place the client’s interests first.

Placing the client’s interests first is a hallmark of professionalism, requiring professional members to act honestly and not place personal and/or gain or employer gain or advantage, economic or otherwise, before the client’s interests.

I have and will provide professional services with integrity.

Integrity requires honesty, candour, fair dealing and truthfulness in all professional matters. Professional members are placed in a position of trust by clients and the ultimate foundation of that trust is their 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 Professional members to observe both the letter and the spirit of the Code.

I have and will provide professional services objectively.

Objectivity requires intellectual honesty and impartiality. Regardless of the services delivered or the capacity in which professional members’ function, objectivity requires that they ensure the integrity of their work, manage conflict and exercise sound professional judgment.

I have and will be fair and reasonable in all professional relationships and disclose and manage conflicts of interest.

Fairness requires providing clients with their due, whatever they are owed, or what may be expected from a professional relationship and includes honesty and disclosure of material conflicts of interest. It involves managing one’s own feelings, prejudices and desires to achieve a proper balance of interests. Fairness is treating others as you would want to be treated.

I have and will 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 financial planner, individually and in cooperation with peers, to enhance and maintain the profession’s public image and its ability to serve the public interest.

I have and will maintain the abilities, skills and knowledge necessary to provide professional services competently.

Competence requires attaining and maintaining an adequate level of knowledge, skills and abilities in the performance of professional services. Competence also includes the wisdom to recognise one’s own limitations and whether consultation with other professionals or referral to other professionals would be appropriate or necessary. Competence requires the financial planner to make a continuing commitment to learning and professional improvement.

I have and will protect the confidentiality of all client information.

Confidentiality requires client information to be protected and maintained in such a manner that allows access only allowed to those who are authorised or entitled, according to the laws of the Republic of South Africa. 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.

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I have and will provide professional services diligently.

Diligence requires fulfilling professional commitments promptly and thoroughly, and taking due care when planning, supervising and delivering professional services.

I hereby confirm that I have adhered to the stated principles during the work experience period and will continue to adhere to the principles as stated in FPI’s Code of Ethics and Professional Responsibility.



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Notes

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Notes

Financial Planning Institute of Southern Africa NPCPalms Office Court, Block A, Ground Floor Kudu Avenue, Allen’s NekPO Box 6493, Weltevredenpark, 1715Tel: 086 1000 FPI (374)E-mail: [email protected]

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