Jane Patrick

What does “Chartered Financial Planner” mean?

Chartered status is awarded by the Chartered Insurance Institute (CII) and is considered the “gold standard” financial planning accreditation. Chartered status is a symbol of technical competence and signifies a public commitment to upholding professional standards and adhering to a professional Code of Ethics.

VouchedFor’s Guide to Top Rated Advisers, distributed in the Times, identifies and celebrates the UK’s best financial advisers, all based on feedback from clients.

AF1 (Personal Tax and Trust Planning)

This examination assesses the candidate to develop in depth financial planning skills related to personal tax and trusts.

AF3 (Pension Planning)

This examination assesses the candidate to develop in depth financial planning skills related to personal and corporate pensions.

AF4 (Investment Planning)

This examination assesses the candidate to develop in depth financial planning skills related to investments and the management of investment portfolios.

AF5 (Financial Planning Process)

This examination assesses the candidate to develop an understanding of the financial planning process when advising clients.

K20 (Pensions Investment Options)

This examination assessed knowledge and understanding of the range of investments available for planning of pensions and to be able to apply the construction of a pension portfolio management for a client.

J01 (Personal Tax)

At the end of this unit, candidates should be able to demonstrate an understanding of: the basic structure of the tax system and self-assessment; the main taxes on income and capital that may be charged on individuals, the self-assessment system and how tax liabilities are computed; impact of residence and domicile on an individual’s liability to UK tax.

J02 (Trusts)

At the end of this unit, candidates should be able to demonstrate an understanding of the: legal principles associated with the creation and management of a trust; main types of trusts that are common in the UK; taxation considerations relevant to trusts.

J04 (Pension Funding Options)

At the end of this unit, candidates should be able to demonstrate an understanding of the: main tax and legal frameworks that govern the accumulation phase of building up retirement benefits under registered pension schemes; features of defined contribution and defined benefit pensions; choices faced by early leavers and use of transfer value analysis; State retirement benefits available, including the risks and suitability of contracting out of the State Second Pension.

J05 (Pension Income Options)

At the end of this unit, candidates should be able to demonstrate an understanding of the: process of decumulating pension funds and the main issues for clients and advisers; main choices facing members of pensions schemes during decumulation; features, risks and tax treatment of the secured pension option; features, risks and tax treatment of the unsecured pension option; features, risks and tax treatment of phased retirement; features, risks and tax treatment of the alternatively secured pension option.

J12 (Securities Advice and Dealing)

This qualification develops knowledge and understanding of the features and risks of different securities, the structure and features of the securities market and relevant factors and considerations for appropriate investment recommendations.

R02 (Investment Principles)

This qualification assesses a knowledge and understanding of investment products and the application of the investment advice process.

CF9 (Pensions Simplification)

This examination assesses a knowledge and understanding of the Government’s simplified pension taxation regime which came into full effect on 6 April 2006 (A-Day). Eight tax regimes for pensions were reduced to one, radically affecting planning and transactions.

FP1 (Financial Services and their Regulation)

Assesses an understanding of the financial services industry, including regulation and legislation.

FP2 (Protection, Savings and Investment)

Assesses an understanding of protection, savings and investment products.

FP3 (Identifying and Satisfying Client Needs)

Assesses an understanding of conducting a fact-find, assessing the client’s needs, and recommending specific (appropriate) financial products to meet those needs.

Advanced Diploma in Financial Planning

This qualification enables professional advisers to develop specialist planning capabilities, and covers topics such as: personal tax and trust, business financial, pension and investment planning.

Diploma in Financial Planning

This level 4 diploma meets the FCA’s qualification requirements for retail investment advisers, demonstrating core technical knowledge and financial planning capabilities across six core areas.

Financial Planning Certificate

A recognition offered by the Chartered Insurance Institute in the United Kingdom. Individuals who hold this qualification have satisfied coursework and testing requirements set by the organisation.