What is financial planning?

Financial advisers determine a client's short, medium and long-term aspirations then work on an agreed financial plan to meet individual needs. They have strong people skills and are good listeners.

The financial adviser and client review the plan regularly to keep it on track and update it as appropriate. As a financial adviser who is a representative of an Investment Adviser Licensed and Financial Adviser Licensed, you will use the six-steps of the financial planning process. These are:

1. Gathering your client's financial data, including details on income, debt levels and financial commitments
2. Identifying your client's goals. These may include buying a house, funding education or travel
3. Identifying any financial issues
4. Preparing a financial plan that identifies recommended investments and pays heed to the client's attitude to risk
5. Implementing the financial plan
6. Reviewing and revising the plan to ensure it stays up-to-date and relevant to the economic climate and the client's changing lifestyle

A financial adviser can offer general wealth creation advice and assistance across all financial markets, or specialise in areas such as:

• Investment planning
• Risk Insurance planning
• Retirement planning
• Tax planning
• Cash flow management
• Education planning
• Estate planning
• Mortgages and financing
• Employee benefits planning
• Business succession

Whether you have just finished secondary school or are of mature age and looking for a new career, financial planning may be the career for you.

As a first step, undertake an entry-level education program recognised by the Security Commission and Bank Negara for the license. These are specifically designed to:

• Provide the knowledge, skills and qualifications for you to become a financial adviser
• Help practicing financial advisers maintain their credentials
• Keep financial advisers up to date with the changes affecting the sector
• Provide a pathway to Certified Financial Planner™ (CFP™) certification.

If you are already working as an accountant you may be eligible for an advanced standing if you wish to become a professional financial adviser and obtain CFP™ certification.

A CFP™ takes a holistic and comprehensive approach to preparing a financial plan, covering off all financial aspects. CFP™ is the highest professional designation that can be given to a financial adviser.

CFP™ practitioners have demonstrated extensive industry experience, have undergone rigorous study and must maintain high standards of continuing professional development.

What kind of education and qualifications do I need to become a financial adviser?

CFP™, Registered Financial Planner (RFP) and Chartered Financial Consultant (ChFC).

Yes! Financial planning is a dynamic profession in which strong careers can be established.

As Malaysia's population ages, people are becoming much more aware that their retirement security and comfort will depend more on them, and their financial planning efforts, than on government welfare benefits.

In response to legislation, the Malaysia Securities Commission (SC) sets the investment adviser and financial adviser representative (FAR) license - licensing and educational requirements necessary for companies and individuals to offer financial planning advice and (see www.sc.com.my)

The Bank Negara Malaysia (BNM) sets the financial adviser and financial adviser representative (FAR) license - the licensing and educational requirements necessary for companies and individuals to offer insurance products and financial planning advice.

IAR and FAR licensees must meet relevant education, experience and ethical requirements. Financial advisers who represent license holders must also meet minimum education requirements prescribed by SC.

You can learn more about becoming a financial adviser, future career opportunities by contacting David Soo of Standard Financial Planner on davidsoo@sfplanner.com