What’s a CFP®?

Certified Financial PlannerWhat is a Certified Financial Planner™ (CFP®)?

A Certified Financial Planner™ (CFP®) professional is accredited by the Certified Financial Planner Board of Standards as having met the high standards of technical competency, experience, and ethics established and enforced by the CFP Board.

Certified Financial Planner Board of Standards, Inc. (CFP Board) is a non-profit organization that fosters professional standards in personal financial planning through its setting and enforcement of the education, examination, experience, ethics, and other requirements for CFP® certification. The CFP Board of Standards requires CFP professionals to act in the best interests of their clients.

The mission of the Certified Financial Planner Board of Standards 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.”

Why work with a Certified Financial Planner™ (CFP®)?

CFP® certification is the recognized standard of excellence for personal financial planning. The requirements for attaining and maintaining the Certified Financial Planner™ designation are demanding. Consumers increasingly choose Certified Financial Planners™ because of the exacting educational and ethical requirements.

Education requirements of Certified Financial Planners™

Certified Financial Planners™ complete a comprehensive course of financial planning curriculum approved by the CFP Board to develop theoretical and practical financial planning knowledge. To maintain the certification, CFP®s must complete a minimum of 30 hours of financial planning continuing education every two years. Two hours must be spent studying the CFP Board’s Code of Ethics and Professional Responsibility or Financial Planning Practice Standards. Certified Financial Planner™ continuing education requirements are among the strictest of all financial planner credentials and qualify CFP®s to help their clients the most.

Examination requirements of Certified Financial Planners™

CFPs® must pass a two-day, 10-hour CFP® Certification Examination that tests their ability to apply financial planning knowledge to real-life situations. The average pass rate for the exam is only 56%. The comprehensive exam ensures that CFP professionals are highly qualified. The exam covers the general principles of financial planning, insurance planning and risk management, employee benefits planning, investment planning, income tax planning, retirement planning, and estate planning.

Experience requirements of Certified Financial Planners™

A CFP® professional must complete three years of financial planning work experience, including the supervision, direct support, teaching, or personal delivery of the personal financial planning process to a client. This ensures that CFP®s can apply their financial planning knowledge in real-world situations for their clients.

Ethics requirements of Certified Financial Planners™

The CFP Board’s Code of Ethics require CFP® professionals to uphold to the highest standard of integrity, objectivity, competence, fairness, confidentiality, and diligence. CFP® professionals are to offer professional services that are objectively based for each client’s individual needs.

Looking for a Battle Creek Financial Advisor, CFP® ?

If you’re in the Battle Creek, Michigan area or beyond and are looking for a Financial Advisor to help with your finances and achieve your goals, we can help.