How does the Framework operate in practice

To see how the Framework works in practice, we’ve put together a number of examples showing how qualifications are relevant to different roles in the profession. The Framework is sufficiently flexible and comprehensive to satisfy the requirements and aspirations of individuals from a diverse range of sectors and roles. This example is illustrative and by no means definitive.

Example 1 – Certificate in Financial Planning

Karen, a multi-tied adviser, holds the Certificate in Financial Planning and, as a member of the Personal Finance Society, uses the designation CertPFS. She decides to enhance her knowledge by pursuing additional learning options at Certificate level. She completes CF8, the Long term care insurance exam (when combined with the other units she holds, this results in the award of the ‘Certificate in Financial Planning and Long Term Care insurance’).

Course code	Course title	Credits
(CF1)	UK financial services, regulation and ethics	15 credits
(CF2)	Investment and risk	20 credits
(CF3)	Financial protection	10 credits
(CF4)	Retirement planning	10 credits
(CF5)	Integrated financial Planning	15 credits
(CF8)	Long term care insurance	15 credits

Should Karen want to continue her studies at any point, she will be able to build on her existing credits when working towards the Diploma in Financial Planning.

Example 2 – Diploma in Financial Planning

John, a multi-tied adviser within a network, holds the Financial Planning Certificate. He has a total of 70 credits relating to his existing examinations, including 20 at Diploma level in respect of CF2 (pre-2007 passes attracted Diploma credits but note that post-2006 credits attract Certificate credits. The same rule applies to Certificate units CF6 and CF8).

His credits are accumulated as follows:

Course code	Course title	Credits
(FP1)	Financial services and their regulation	16 credits (Certificate level)
(FP2)	Protection, savings and investment products	16 credits (Certificate level)
(FP3)	Identifying and satisfying client needs	18 credits (Certificate level)
(CF2)	Investment and risk	20 credits (Diploma level)

He now requires a minimum of 70 additional credits, including at least a further 60 at Diploma level or above, in order to complete his Diploma.

John passes the following units:

Course code	Course title	Credits
(J02)	Trusts	20 credits (Diploma level)
(J04)	Pension funding options	20 credits (Diploma level)
(J06)	Investment principles, markets and environment	20 credits (Diploma level)
(CF8)	Long term care insurance	15 credits (Certificate level)

John therefore passes the 140 credit requirement, including obtaining the required 80 Diploma level credits, and completes his Diploma (he is also awarded the ‘Certificate in Financial Planning and Long Term Care Insurance’ having also met the completion criteria for this qualification). As a member of the Personal Finance Society, he is invited to apply to use the designation DipPFS.

He now has the option to build on these credits by working towards the Advanced Diploma in Financial Planning and, ultimately, Chartered Financial Planner status.

Example 3 – Advanced Diploma in Financial Planning/Chartered Financial Planner

Sue, an IFA, holds the Financial Planning Certificate, Certificate in Financial Planning unit (CF2) Investment and risk (topping-up her knowledge of a subject identified by the FSA, among others, as an area of weakness for many advisers), and the Diploma in Financial Planning. She is also a member of the Personal Finance Society (PFS) and uses the designation DipPFS, reflecting her educational and professional achievements.

She is keen to complete the Advanced Diploma in Financial Planning and achieve Chartered Financial Planner status.

Sue has 150 credits from the examinations she already holds:

Course code	Course title	Credits
(FP1)	Financial services and their regulation	16 credits (Certificate level)
(FP2)	Protection, savings and investment products	16 credits (Certificate level)
(FP3)	Identifying and satisfying client needs	18 credits (Certificate level)
(CF2)	Investment and risk	20 credits (Certificate level)
(J01)	Personal tax	20 credits (Diploma level)
(J02)	Trusts	20 credits (Diploma level)
(J04)	Pension funding options	20 credits (Diploma level)
(J05)	Pension income options	20 credits (Diploma level)

To complete the Advanced Diploma she needs a further 140 credits, with a minimum of 120 at Advanced level including a pass in the compulsory unit (AF5) – Financial planning process. She now sits:

Course code	Course title	Credits
(AF1)	Personal tax and trust planning	30 credits (Advanced level)
(AF3)	Pension planning	30 credits (Advanced level)
(AF4)	Investment planning	30 credits (Advanced level)
(AF5)	Financial planning process	30 credits (Advanced level)
(J06)	Investment principles, markets and environment	20 credits (Diploma level)

Sue meets the 290 credit requirement, completing the Advanced Diploma, and is invited to become a Chartered Financial Planner. As a member of the PFS she is also invited to apply to use the designation APFS.

Sue would need a further 60 credits should she wish to progress to Fellowship of the PFS.

In all cases the credits will count towards further study for professional-level financial planning qualifications for those choosing to pursue their studies.

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