How does the Framework work in practice?

To see how the framework works in practice, we’ve put together a few examples showing how qualifications are relevant to different roles in the industry. The framework is sufficiently flexible and comprehensive to satisfy the requirements and aspirations of individuals from a diverse range of sectors and roles.

These examples are illustrative and by no means definitive.

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

Example 1 – Certificate in Life and Pensions

David, a pensions team leader, already holds the Certificate in Financial Administration. This gives him 25 credits towards completion of the Certificate in Life and Pensions and meets the compulsory unit requirement.

Unit code	Unit title	Credits
(CF1)	UK financial services, regulation and ethics	15 credits
(FA2)	Pensions administration	10 credits

He then completes the following Certificate and Diploma units, focusing in on the available pensions related subjects to enhance his technical knowledge and understanding.

Unit code	Unit title	Credits
(CF2)	Investment and risk	20 credits
(CF4)	Retirement Planning	10 credits
(J04)	Pension funding options	20 credits (Diploma level)

Certificate in Life and Pensions (minimum 60 credits required).

David passes the 60 credit threshold required for completion of the Certificate. As a member of the CII, he is invited to apply to use the designation Cert CII (Life and Pensions).

Example 2 – Certificate in Financial Planning

Susan, 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.

Unit code	Unit title	Credits
(CF1)	UK financial services, regulation and ethics	15 credits
(CF2)	Investment and risk	20 credits
(R05)	Financial protection	10 credits
(CF4)	Retirement planning	10 credits
(CF5)	Integrated financial Planning	15 credits
(CF8)	Long term care insurance	15 credits

She completes unit 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’).

Certificate in Financial Planning and Long Term Care Insurance

Susan now wants to continue her studies, building on her existing credits to complete the Diploma in Financial Planning and thereby meet
the RDR proposals requiring a Level 4 qualification be held prior to the end of 2012.

Example 3 – Diploma in Financial Planning

Esther, a multi-tied adviser within a network, holds the Financial Planning Certificate (this preceded the current Certificate in Financial Planning). She has a total of 50 credits relating to her existing examinations.

Her credits are accumulated as follows:

Unit code	Unit 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)

She now requires a minimum of 90 additional credits, including at least a further 80 at Diploma level or above, in order to complete her Diploma. Esther passes the following units:

Unit code	Unit title	Credits
(J01)	Personal tax	20 credits (Diploma level)
(J02)	Trusts	20 credits (Diploma level)
(J06)	Investment principles, markets and environment	20 credits (Diploma level)
RO6	Financial planning practice	30 credits (Diploma level)

Diploma in Financial Planning (minimum 140 credits required)

Esther therefore passes the 140 credit requirement, including obtaining the required Diploma level credits, and completes her Diploma. In doing so, she meets the RDR proposals requiring a Level 4 qualification be held (she will be able to bridge any gap between this qualification and the actual RDR qualification requirements, which are still to be finalised, through Continuing Professional Development).

As a member of the Personal Finance Society, she is entitled to use the designation DipPFS®. She 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 4 – Advanced Diploma in Financial Planning/Chartered Financial Planner

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

He is keen to complete the Advanced Diploma in Financial Planning and achieve Chartered Financial Planner^® status. James has 150 credits from the examinations he already holds:

Unit code	Unit 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 he needs a further 140 credits, with a minimum of 120 at Advanced level including a pass in the compulsory unit (AF5) Financial planning process. He now sits:

Unit code	Unit 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)

Advanced Diploma in Financial Planning (minimum 290 credits required)

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

James would need a further 60 credits should he wish to progress to Fellowship of the PFS.

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