FPQP Module 1
Question 1.
Seven steps of the personal financial planning process
ANSWER
1. Understanding the client's personal and financial circumstances
2. Identifying and selecting goals
3. Analyze course of action and potential course of action
4. Develope financial planning reccomendations
5. Present reccomendations
6. Implement reccomendations
7. Monitor and update
Question 2.
Financial planning as defined by the CFP Board of Standards Inc.
ANSWER
A collaborative process that helps maximize a client's potential for meeting life goals through financial advice that integrates relevant elements of the client's
personal and financial circumstances
Question 3.
9 areas of financial planning
ANSWER
Developing goals Cash and debt management Risk management and insurance planning Education needs Group benefits planning Investment planning
Retirement savings and income planning Tax planning Estate planning
Question 4.
PTA meaning (for goals)
ANSWER
Purpose Time frame Amount
Question 5.
Advisor/Client Scope of engagement
ANSWER
Identifying services to be provided and excluded Disclosing the planner's compensation Disclosing conflicts of interest Responsibilities of advisor and client
Establishing the duration of the engagement Any additional info
Question 6.
How many months of liquid assets should a client have?
ANSWER
Six
1/2
Question 1.
Seven steps of the personal financial planning process
ANSWER
1. Understanding the client's personal and financial circumstances
2. Identifying and selecting goals
3. Analyze course of action and potential course of action
4. Develope financial planning reccomendations
5. Present reccomendations
6. Implement reccomendations
7. Monitor and update
Question 2.
Financial planning as defined by the CFP Board of Standards Inc.
ANSWER
A collaborative process that helps maximize a client's potential for meeting life goals through financial advice that integrates relevant elements of the client's
personal and financial circumstances
Question 3.
9 areas of financial planning
ANSWER
Developing goals Cash and debt management Risk management and insurance planning Education needs Group benefits planning Investment planning
Retirement savings and income planning Tax planning Estate planning
Question 4.
PTA meaning (for goals)
ANSWER
Purpose Time frame Amount
Question 5.
Advisor/Client Scope of engagement
ANSWER
Identifying services to be provided and excluded Disclosing the planner's compensation Disclosing conflicts of interest Responsibilities of advisor and client
Establishing the duration of the engagement Any additional info
Question 6.
How many months of liquid assets should a client have?
ANSWER
Six
1/2
