Blog
Estate Planning Priority
Sarah, a CFP® professional, is working with her client, Mark, who wants to ensure that his assets are distributed efficiently to his heirs and that his minor children are cared for in the event of his death. During their discussion, Sarah learns that Mark has a will but no other estate planning documents. Mark also…
Read More
Don’t Miss These CFP Board Developments
CFP® Certificants in the News Just in case you missed these announcements, be aware that the CFP Board recently announced two significant developments. The Clock is Ticking: Comment Period Ending – Proposed Revisions to Competency Standards On December 17, 2024, the CFP Board’s Board of Directors sought public comment on proposed changes to the Competency…
Read More
Revocable versus Grantor Trusts
Course: Estate PlanningLesson 9: Income Taxation of Trusts and Estates Student Question: Can you refer me to a comparison (or just write a few notes) on how a grantor trust differs from a revocable trust and how a non-grantor trust differs from an irrevocable trust? They seem synonymous respectively to each other. Thank you! Instructor…
Read More
Ethics and Professional Responsibility
Janet, a CFP® professional, is meeting with a prospective client, Thomas. During their conversation, Thomas mentions that he is looking for a financial advisor who can help him invest in sustainable and socially responsible funds. Janet does not have significant experience or expertise in sustainable investing but is eager to take on Thomas as a…
Read More
Wake Up Call for Retirement Savings
Good to Know Let’s frame the challenge faced by far too many Americans. Confidence in a comfortable retirement remains soberingly low. Consider this: Less than half of Americans feel confident about their retirement savings, Nearly one-third of Americans plan to depend solely on Social Security for retirement income, and The average annual Social Security benefit…
Read More
Understanding the Relationship Between Coupon Rates and Duration
Course: Investment PlanningLesson 9: Fixed Income Securities Student Question: There is a question regarding duration that I continue to struggle with. Which of the following are true:1-Lower coupon bonds are more sensitive to interest rates than high coupon bonds.2-There is inverse relationship between bond prices and change in interest rates.3-There is a positive relationship between coupon rates and duration.…
Read More
Identify the Step of the Financial Planning Process
Emily, a CFP® professional, has her first meeting with a new client, David. During the meeting, Emily asks David about his financial goals, current assets, liabilities, and personal circumstances. She also explains the financial planning process, the services she provides, and the fees associated with her work. Which step of the 7-Step Financial Planning Process…
Read More
Top 5 Reasons to Become a CFP® Professional
CFP® Certificants in the News The new year is upon us and while January resolutions are common, the author encourages you to take a deep strategic look at your financial career, especially if you’ve yet to gain CFP® certification. This designation is one of the most recognized and respected credentials in the financial planning space;…
Read More
Determining Correct Years of Growth
Course 1: Fundamentals of Financial PlanningLesson 5: Using the Calculator Student Question: Hello, in the question below, I am a little lost on why it is 9 years for N instead of 10? Could you explain? In Year 1, Harvey assumed he would need the equivalent of $500,000 in Year 1 dollars to retire in…
Read More