The CFP Board says on their website that they are always working to improve public awareness of financial planners. Since 2011 they have invested over $150 million in their Public Awareness Campaign. So far, they have achieved 87% CFP Professional Total Awareness, 79% Preference For a CFP Professional, and 77% Would Recommend Using a CFP Professional. (Increasing Awareness, 2023). The CFP Board CEO Kevin Keller, CAE says that by raising the public’s awareness of CFP certification they are reinforcing the message that this certification is the standard for ethical and competent financial planning. CFP professionals help Americans reach their financial goals. (Certified Financial Planner Board of Standards, 2023)
What Are The Benefits Of Financial Planning?
Everyone has a goal in life that will cost more than just a few dollars. The goal might be planning for college education, buying a home, getting married, having money set aside in case of emergency, or retirement. Whatever the goal is, there is an importance to budgeting on a daily and monthly basis. But there is also an importance in investing in the future. Being educated in the best way to prepare for short-term and long-term goals is necessary for success. A financial plan is the best way to meet the financial needs of an individual. A financial plan will help identify someone’s needs and goals, which helps to figure out the amount of money needed to support the needs and goals. Once that is figured out, it will be necessary to plan how the funds will be raised. Usually this is done through investment plans. A financial planner has the knowledge to guide someone into the right financial strategy.
What Does A Financial Planner Do?
A financial planner helps their clients manage their money and achieve their financial goals. A financial planner is someone who has extensive knowledge of personal finances, budgeting, taxes, and investments. Many financial planners specialize in any one of these areas. Even though some financial planners specialize in one area, some do handle all of them together with the goal of helping their client’s overall financial health. Financial planners are known as “fiduciaries”, which means they are legally required to act on their clients’ best interest. They are not allowed to take payments from third parties when recommending financial products to their clients.
The CFP Certification
The CFP Certification is issued by the CFP Board after an individual passes the certification exam. This certification ensures that the financial professional has been extensively trained in proper ethics and standards. They will maintain their certification by participating in continuing education every year. This certification means that the financial planner is held to a higher level of ethics and may help their clients’ every financial need.
References
Increasing Awareness. (2023). Increasing Awareness. CFP Board. https://www.cfp.net/initiatives/increasing-awareness
Certified Financial Planner Board of Standards, Inc. (2023, March 20). CFP Board Launches New Public Awareness Campaign: “IT’S GOTTA BE A CFP®.” PR Newswire: press release distribution, targeting, monitoring and marketing. https://www.prnewswire.com/news-releases/cfp-board-launches-new-public-awareness-campaign-its-gotta-be-a-cfp-301776088.html
Certified Financial Planner Board of Standards, Inc. (2023, March 20). CFP Board Launches New Public Awareness Campaign: “IT’S GOTTA BE A CFP®.” PR Newswire: press release distribution, targeting, monitoring and marketing. https://www.prnewswire.com/news-releases/cfp-board-launches-new-public-awareness-campaign-its-gotta-be-a-cfp-301776088.html
