Question

The CFP Board asserts that (a) The client’s understanding and intent when engaging the certificant; (b) The degree to which multiple financial planning subject areas are involved; (c) The comprehensiveness of data gathering; and (d) The breadth and depth of recommendations.

		a.Determine whether a certificant is practicing financial planning.
		b.Are the measures they use when determining discipline measures appropriate when a consumer complains about a planner.
		c.Components of the Dodd-Fank Act which consumers should rely on when selecting a financial planner.
		d.The titles of courses required for certification by the CFP Board.

Answer 1

Option a

The CFP takes into account the listed factors before considering whether a financial planning engagement exists. There are no specific requirements as to the areas which the financial planner needs to consider. However the clients understanding and intent at the time of engaging the financial planner is an important determinant of financial planning. The CFP also considers the topics that are taken into consideration during financial planning. Options c and d are incorrect.