Certified Financial Planner

The CFP logo used worldwide

The Certified Financial Planner ( CFP ) ( " certified financial planner ") is an internationally used certificate is awarded at the request of persons who are professionally engaged in private financial planning and meet the certification requirements. The trademarked term and the logo are the property of the Financial Planning Standards Board (FPSB) Ltd. based in Denver, USA.

The certificate is awarded under license by a local organization in 26 countries, in Germany by the Financial Planning Standards Board Deutschland eV based in Frankfurt / Main, in Austria by the "Österreichischer Verband Financial Planners" (Austrian Financial Planners - AFP) and in Switzerland through the Swiss Financial Planners Organization (SFPO).

More than 188,000 people are certified worldwide (as of December 31, 2019), there are 1,514 certificate holders in Germany, 333 in Austria and 295 in Switzerland.

4-E rule

In order to become a CFP certificate holder, the candidate must prove his / her suitability using the "4-E rule", i. H. Fulfill the quality criteria in four areas: E ducation, E xamination, E xperience, E thics.

Education requirements

CFP certificate holders must successfully complete an FPSB-accredited training program. Four programs are currently (as of 7/2015) approved in Germany:

• “Contact studies in financial economics” at the European Business School , Oestrich-Winkel
• "Financial Planner" at the Frankfurt School of Finance and Management
• "Financial Planner [+]" at the MLP Corporate University, Wiesloch
• "VIP - Asset Management for Individual Private Customers" at the Academy of Cooperatives at Montabaur Castle

The FPSB's accreditation requirements for CFP training programs write u. a. the curriculum , the length of the training and the examinations to be taken in detail. At least 600 teaching units of 45 minutes each have to be taught and 4 written free text exams with a total length of 760 minutes must be taken. In addition, a project work provided by the FPSB has to be mastered, with the participants creating a written financial plan for a given customer case and disputing this in front of an FPSB review committee.

The framework curriculum of the FPSB names around 280 topics that must be considered in the training. These cover the following subject areas within private financial planning and interdisciplinary basics:

Private financial planning

• Concept & methodology of private financial planning
• Portfolio management
• Pension management
• Risk management
• Succession management
• Loan management
• Property management
• Investment management
• Financial planning for entrepreneurial households
• communication

Interdisciplinary basics

• Economics
• Financial mathematics and statistics
• Regulatory and private law
• Banking and stock exchange
• Business administration
• Tax law

Training in Austria In Austria, the necessary training can be covered by three training modules that are offered jointly by the University of Graz, the Vienna Bank Academy and ÖPWZ. In addition, a CFP expert training of the AFP must be completed.

Central Examination

The central examination for CFP candidates in Germany is a 160-minute written free-text examination on eight subject areas. 70% of the total of 160 points must be achieved to pass. In the event of failure, the examination can be repeated a maximum of two times.

Work experience

Candidates for CFP certification must have at least three years of experience in the financial industry, including at least one year of active experience as a private financial planner. Two real but anonymized financial plans must be submitted as evidence, which are checked for compliance with the principles of proper financial planning (GOF).

Ethical suitability (ethics)

Candidates for the CFP certification must prove a perfect legal repute, therefore current police clearance certificates, SCHUFA information and extracts from the central trade register are checked. With the certification and joining the association, a CFP certificate holder submits to the professional rules of the FPSB.

Professional rules for CFP certificate holders

For CFP certificate holders, largely uniform professional rules apply worldwide, which were developed by FPSB International and adopted by the national certification organizations, including in Germany. The professional ethics consist of four parts:

• Practice standard for private financial planning: A procedural representation of the phases of private financial planning.
• Ethical rules: A CFP certificate holder must observe the principles of competence, integrity, objectivity, fairness, confidentiality, diligence and professionalism in the exercise of his profession. Above all, however, he has to give the customer's interests priority over his own interests.
• Principles of proper financial and topic planning (GOF & GOT): A GOF-compliant financial plan must comply with the principles of correctness, completeness, networking, comprehensibility and individuality. It must also be documented in writing for the customer. A financial planning that focuses on a certain topic (e.g. the fund portfolio, succession planning or property ownership) is subject to the GOT and therefore does not have to be "complete" and "networked", but nevertheless follow the principle of the "holistic advisory system" and meet the "minimum content requirements".
• Practical standards: The standards describe the appropriate procedure for each phase of private financial planning.

Time limit for the certificate

CFP certificates are only issued for two years worldwide. For renewal (re-certification), the CFP certificate holder must prove that he has received further training within the duration of the certificate. For this purpose, 60 "Continuous Education Credits" must be proven, which can be achieved by completing advanced training, writing or studying specialist publications or teaching activities. One credit corresponds to an effort of one hour.

jurisdiction

The FPSB Germany maintains two internal courts. Members as well as outsiders (e.g. customers) can appeal to the court of honor if there is a suspicion of a violation of the FPSB's code of ethics. If the suspicion is confirmed by the court of honor, fines, further training requirements, certificate suspensions or a club exclusion and certificate revocation can be imposed. The arbitration tribunal can only be called upon by association members. In the event of a conflict, it serves as an alternative to going to a state court.

Alternative and complementary certificates

In addition to the CFP, there are other quality certificates in the field of private financial planning:

• Certified private financial planner according to DIN ISO 222222
• European Financial Planner (EFA)
• Certified Foundation and Estate Planner (CFEP)

Web links

• FPSB Germany
• AFP Austria
• SFPO Switzerland
• Standards Board USA
• Financial Planning Standards Board International

Individual evidence

1. ↑ 2019 GROWTH. (PDF) Retrieved February 26, 2020 . 
2. ↑ EBS Finanzakademie, contact studies in financial economics. Retrieved January 1, 2014 . 
3. ↑ Financial Consultant & Financial Planner - Frankfurt School of Finance & Management. (No longer available online.) Archived from the original on December 19, 2013 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  
4. ↑ MLP degrees - MLP - financial advice, as individual as you. Retrieved January 1, 2014 . 
5. ↑ VIP. Retrieved July 5, 2015 . 
6. ↑ Accredited training. (No longer available online.) Archived from the original on December 19, 2013 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  
7. ↑ FPSB Articles. (No longer available online.) Archived from the original on January 2, 2014 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  
8. ↑ Honorary Court. (No longer available online.) Financial Planning Standards Board Germany eV, archived from the original on December 19, 2013 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  
9. ↑ Certification as a certified private financial planner according to DIN ISO 22222. (No longer available online.) Financial Planning Standards Board Germany eV, archived from the original on December 19, 2013 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.  
10. ^ EFPA Europe. Retrieved January 1, 2014 . 
11. ↑ CFEP® certification - the way to the "premier class". (No longer available online.) Financial Planning Standards Board Germany eV, archived from the original on December 19, 2013 ; accessed on January 1, 2014 . Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.