Why work with a Certified Financial Planner?

The Certified Financial Planner® (CFP) certification is the most widely recognized financial planning designation in Canada and worldwide. This certification assures Canadians that their financial future is trusted to professionals committed to prioritizing their clients’ interests over their own. CFP professionals showcase a comprehensive blend of expertise, experience, ethical standards, and skills required to analyze the intricate financial landscape of their clients to build a comprehensive financial plan with the highest professional standards. To maintain their certification, CFP professionals continuously update their knowledge and skills by undertaking 25 hours of continuing education each year.

According to a three-year longitudinal study, The Value of Financial Planning1,commissioned by FP Canada in conjunction with the FP Canada Research Foundation, regardless of net worth, Canadians who engage in comprehensive financial planning with a CFP professional confirm significantly higher levels of financial and emotional well-being compared to those who engaged in limited or no planning.

The Difference a CFP Professional can Make:

  • Canadians who work with a CFP professional are more likely to report their financial affairs are on track than those dealing with non-certified planners (78% vs. 54%).
  • More Canadians who are using a CFP professional believe that financial planning has helped them have greater peace of mind than those working with a non-certified planner (73% vs. 63%).
  • More Canadians who engage a CFP professional believe they are closer to achieving some of their life goals as a result of planning than those working with non-certified planners (70% vs. 61%).

Those who have comprehensive financial plans are more confident that they are prepared to deal with the challenges and bumps in life, such as unexpected financial emergencies, tough economic times, and ensuring loved ones are financially looked after if something should happen to them.

Prepared to deal with:

Those who do engage in comprehensive financial planning also feel more confident in reaching the discretionary goals they identified as important.

CP = Comprehensive Planning, LP = Limited Planning, NP = No Planning

Most people think all financial planners are “certified,” but this isn’t true. Just about anyone can use the title “financial planner.” A CFP professional must acquire several years of experience related to delivering financial planning services to clients and pass the comprehensive CFP Certification Exam before they can call themselves a CFP professional, after having have met the rigorous qualifications for financial planning.

CFP professionals are required to fulfill the following three duties:

  1. The Duty of Loyalty: This means your interests are placed above the interest of the CFP® professional and the CFP® professional’s firm. The CFP® professional commits to either avoid conflicts of interest or fully disclose material conflicts of interest to you, obtain your consent and manage the conflicts in your best interests.
  2. The Duty of Care: This means to act with the care, skill, prudence and diligence of a prudent professional in view of your goals, risk tolerance, objectives, and financial and personal circumstances.
  3. The Duty to Follow Client Instructions: This means to act with the care, skill, prudence and diligence of a prudent professional in view of your goals, risk tolerance, objectives, and financial and personal circumstances.
Disclaimers and Disclosures
  1. “The Value of Financial Planning.” Financial Planning for Canadians, Financial Planning Standards Council, 25 June 2020, www.financialplanningforcanadians.ca/financial-planning/benefits-of-financial-planning.

Contact us today to schedule your initial meeting and take the first step toward a brighter financial future. We look forward to embarking on this journey with you.