Financial Advisor Qualifications

Several professional designations, degrees or memberships indicate that the financial advisor has met educational, experience and ethical qualifications. The following (selected from a list of 80 designations, 72 associations) list is presented for your benefit – not as an endorsement, or in any order of ranking or preference:

CFP – Certified Financial Planner
Completed an educational program, passed certifying exams, meets continuing education requirements and licensed by the CFP Board of Standards.

RFC – Registered Financial Consultant
The RFC professional financial planning designation is awarded to those who meet requirements of education, examination, experience, licenses, a clear record of business conduct, significant annual continuing education, business integrity and adherence to the RFC Code of Ethics.

ChFC – Chartered Financial Consultant
A ChFC has completed an educational program, passed certifying exams and meets experience, ethical and continuing education requirements.

CEP – Certified Estate Planner
A professional designation awarded by the National Institute of Certified Estate Planners to persons completing a comprehensive program of advanced study. The NICEP offers a six-day intensive curriculum, separated into two three-day sessions, each followed by a comprehensive exam. Graduates agree to a standard of ethical performance and continuing education.

CFA – Chartered Financial Analyst
Has completed exams on securities and portfolio management and meets reference and experience requirements.

RIA – Registered Investment Advisor
Not a professional designation. A Registered Investment Advisor is a person or firm that has filed with the Securities Exchange Commission and adheres to certain disclosure requirements. This qualification is necessary for the rendering of investment advice.

CLU – Chartered Life Underwriter
Has completed examinations covering the application of life and health insurance in filling needs for survivor income, estate planning, business continuation and employee benefits.

RHU – Registered Health Underwriter
Has qualifications and experience with disability and medical insurance.

CPA – Certified Public Accountant
Has met educational qualifications, passed examinations and met experience qualifications in the area of public accounting. A few CPAs have also taken additional financial planning study and are Accredited Personal Financial Specialists.

FPA – Financial Planning Association
A professional membership organization. A key mission of the FPA is to promote the value of financial planning to the public and to serve as a voice to the financial planning profession.

IARFC – International Association of Registered Financial Consultants
Professional membership group of the Registered Financial Consultants (RFC). Formed to foster public confidence in the financial planning profession.

Even if we as individuals were to remain the same, the financial world around us changes so frequently that constant monitoring is a necessary part of the planning process. The political, tax, legislative and economic changes increase in frequency.

The on-going review and reporting also holds the planning firm accountable to you the client. Quarterly reviews also ensure that any necessary adjustments are made before it is too late.