CFP exam new update 2023 with complete solutions

CFP exam new update 2023 with complete solutions Topic 1: Financial Planning Process - CORRECT ANSWER ... 6 step process: EGADIM - CORRECT ANSWER 1. Establish Relationship 2. Gather Information 3. Analyze data 4. Develop plan 5. Implement 6. Monitor Step 1: Establish Relationship - CORRECT ANSWER • Services that will be provided • compensation/billing • Responsibilities of both client/planner • Time frame of relationship Step 2: Gather quantitative and qualitative data - CORRECT ANSWER • It is important that goals be defined before any recommendations • A goal should be specific, prioritized and quantified • Fact finder form Step 3: Analyze data - CORRECT ANSWER • Identify strengths and weaknesses • Analysis of current position • Should be based on realistic assumptions Step 4: Develop Plan - CORRECT ANSWER • Objective • Should be presented to client • Mutually decide on revisions • Prioritized list of implementation steps and timing Step 5: Implement - CORRECT ANSWER • Work closely with other professional team members • Help client with product acquisitions Step 6: Monitor - CORRECT ANSWER • Fed tax changes • Economic changes • Modifications to plan Topic 2: Code of Ethics & Professional Responsibility + Disciplinary Rules Procedures - CORRECT ANSWER ... Aspirational Principles - CORRECT ANSWER • Integrity • Objectivity • Competence • Fairness • Confidentiality • Professionalism • Diligence Confidential Information can be disclosed only when... - CORRECT ANSWER • The client consents • Court ordered • CFP must defend accusations • Civil suit between client and CFP CFP Board of Professional Review - CORRECT ANSWER • Inquiry Panel - grounds for discipline • The Hearing Panel - Recommendation to board • Board of Appeal - w/in 30 days