ifpa logo

FPAM

    Frequently Asked Questions

    Line

    1. What is Financial Planning

    Financial Planning is a process of meeting one's life goals through the proper management of one's finances. These goals can include owning a home, saving for child's education, starting a business or planning for retirement.

    2. who is the Financial Planner?

    A financial planner uses the 6-step financial planning process to help the client to meet his financial life goals. The planner takes a "big picture" of the client's financial situation and provides financial planning recommendations to meet client's objective(s). He takes into consideration all of the client's needs :- budgeting, saving, taxes, investments, insurance and retirement planning. He can also work on single financial issue but within the context of the client's overall financial situation.

    3. What is the Financial Planning process?

    This is a six-step process :

    » Establishing

    Establishing and defining the client-planner relationship. The financial planner explains clearly and documents the services to be provided to the client. The financial planner defines his responsibilities and explains how he will be paid and by whom. The client and the planner reach an agreement on how long the professional relationship should last.

    » Gathering

    Gathering client data, including financial goals. The financial planner asks for information to enable him to comprehend the client's financial situation and understands the client's risk tolerance level. The client defines his personal and financial goals. It is imperative for the financial planner to gather all the necessary documents before giving advice to the client.

    » Analysing and evaluating the financial status of the client

    The financial planner analyses the information given by the clientHe assesses the client's current financial situation. This includes analyzing the assets, liabilities, cash flow, current insurance coverage, investments, tax issues and etc.

    » Developing and presenting financial planning recommendations

    The financial planner offers recommendations that address the client's goals based on the information provided. He goes through the recommendations with the client to enable the client make an informed decision. The financial planner listens to the concerns of the client and revises the recommendations accordingly if deemed necessary.

    » Implementing the financial planning recommendations

    The client and the financial planner discuss and agree on how the recommendations will be carried out. The financial planner serves as the "coach". He coordinates the whole process with his team of professionals like lawyers, stockbrokers, etc with the client

    » Monitoring the financial planning recommendations

    The financial planner and the client discuss and agree on methodology and frequency to review situation and adjust the recommendations, if needed, to meet the changes in life.

    4. What is the difference between a Certified Financial Planning Practitioner and financial advisors ?

    A CFP Practitioner follows certain standards - called Practice Standards - when providing financial planning advice. Practice Standards describe the process the financial planner applies. These standards are based on a six-step financial planning process, documented by the CFP Board of Standards through their research on the "Job Analysis" of what a financial planner is expected to be.

    CFP Programme

    Line

    1. What is the minimum entry requirement needed to take up the CFP Certification Programme?

    To qualify for the CFP Certification Programme, the candidate must be at least a holder of Bachelor degree (any discipline) or its equivalent.

    2. Is there a time frame to complete each module?

    There is no fixed time frame and the examinations are conducted once every 6 months, usually in June and December.

    3. Is there a time frame to complete all the 4 modules?

    There is no fixed time frame. CFP Modules 1 to 3 must be completed before you are eligible to attempt Module 4. A candidate can attempt Modules 2 and Module 3 in any sequence.


    4. If I fail a module, is there a re-sit and what is the time frame for a re-sit?

    You will have to re-register for the module that you failed in. You can register for the next available examination sitting. It is better to resume your study as soon as possible when the memory is still fresh.

    5. If I have to re-sit a module, do I pay just the exam fees or the do I need to pay the course fees as well?

    If you need to re-sit a module, you are required to register for the next examination and pay the exam fees. Ifpa charges a small refresher course fee

    Exemptions & Challenge status

    Line

    1. Do I entitled to any exemption(s) if I am a graduate/member of a professional body/RFP holder?

    Yes, probably. FPAM has recognized that certain professional qualifications cover some components in financial planning and have decided to waive certain modules for eligible members. You may be granted modular exemption(s); or Challenge Status - skip CFP Module 1 to Module 3 and go straight to Module 4.

    2. How to apply for CFP Modular Exemption or Challenge Status?

    You are required to submit the relevant forms and documents to FPAM, accompanied by an Application for Trade Member Form together with payment (if you are not already a member), as FPAM will only grant approval to its members.

    All certificates and academic transcripts must be certified. Working experience from present employer must be written using the employer's letterhead. If you are seeking for exemptions for Module 1 or Challenge Status, you must apply at least one month before the registration for any examination and not together with the examination registration form.

    3. How do I know whether my application is successful?

    Upon approval, FPAM will allocate you a reference number to quote when you subsequently register for the examination. If your application is disapproved, FPAM will return you the whole set of documents.

    4. If I were granted Challenge Status, is there a time limit on when I must pass the Module 4 examination?

    CFP Challenge Status candidates are given 3 exam sittings to complete their Module 4 exam. Failing which they are required to enroll for the full CFP Certification Programme.

    CFP EXAMINATION

    Line

    1. When are the CFP examinations held?

    The examinations are held twice a year, usually in mid June and mid December. There are special examination sittings for Module 1 which usually be held in March or April and September or October. This is to allow CFP students to fast track their study.

    2. What is the format of the examinations for CFP certification?

    CFP Module 1 to 3 consists of 75 multiple choice questions each to be completed in 3 hours. Module 4 comprises of 2 papers. Paper 1 is a 60 multiple choice questions paper to be completed in 3 hours and Paper 2 is an essay styled case study question paper to be completed in 3 hours. Both the papers would be conducted on different day.

    3. Where are the CFP examination held?


    Location  Exam Centre
     Kuala Lumpur/Klang Valley Universiti Malaya (Dewan Peperiksaan)
     Penang Universiti Sains Malaysia (Dewan Peperiksaan A & B)
     Johor Baru Universiti Teknologi Malaysia (Dewan Peperiksaan P16)
     Kuching Universiti Malaysia Sarawak
     Kota Kinabalu Universiti Malaysia Sabah

    4. When is the CFP examination registration closing date?

    There are two main exam sittings per year; in mid June and mid December. The closing date for examination registration is usually about 8 weeks from the examination date.

  • 🔒 Check FPAM web site for more information.
  • 5. How much is the CFP Examination Fee?

    That depends on whether you are attached to FPAM's Charter member or Corporate member or none. Charter and corporate member are corporations that support FPAM in the development of the financial industry.

    FPAM's CFP Examination Fee:

     Staff of FPAM's Charter member  RM212 per exam sitting
     Staff of FPAM's Corporate member  RM265 per exam sitting
     Individual  RM318 per exam sitting

Line