The Certified Financial Planner (CFP) designation is now considered as a symbol of excellence and competence by financial professionals and firm across the globe. Many new investors and individuals have now understood the need of such professionals who have been conferred this certification. The CFP course curriculum is regarded as highly comprehensive and the certification, a tough nut to crack. Achieving CFP certification not only increases a candidate’s professional know how, but the prestige associated with the certification gives the required boost to his own business and career. CFP certification also guarantees a handsome pay package and additional income through consultation. Professionals can charge an hourly rate for offering financial planning advice. Another advantage of a CFP designation is that the certified professionals gain the ability to assess their role in the client’s financial situation. They are also able to visualise themselves in the financial profession they wish for as they have a clear understanding of the financial concepts. A stock broker, investor, a banker, insurance professional and apparently any individual who is associated with finance sector can gain enormously by CFB certification.
- Although the CFP examination is tough, good study material and willingness to work hard can get you through.
- The aspirant must commit to the examination to successfully crack it.
About the CFP exam and tips to crack it
The students who have decided to go for the CFP certification must have been fully aware of the examination pattern and the course content. As the course is very vast, an average student normally requires at least 1,000 hours of study to be able to complete the course as well as the exam.
CFP exam covers 5 components which are:
1. Insurance with modules on education planning and ethics
2. Investment planning
5. Estate Planning
The CFP test is 10 hours long and is divided into one four hour session on Friday and two three hours on Saturday. The students are required to answer 285 multiple choice questions, including two case studies. The case studies expect the students to apply the course material to a real time examples. The exam is conducted three times in a year, in the month of March, July and November. FBSBI conducts this examination in India. CFP is considered as one of the most sought certification course in Finance.
Tips for CFP exams
- Understand rather than memorising the concepts: In the Certified Financial Planning certification examination, it is important that the concepts be properly understood as the question are case study based and students are required to apply these concepts to real life situations.
- Try to decipher CFP board’s reasoning: The students must learn how the board arrives at an answer by going through previous papers. This will help them in solving the questions correctly.
- Keep your first answer your final answer: Once you arrive at an answer, do not change it unless you find a conceptual error.
Look for the best CFP study materials: Always rely on trusted study material for CFP course and certification.