Chartered status for financial planning firms is being introduced by the CII in a move which will reinforce the importance of professionalism and support leading organisations in gaining equal recognition with other chartered professions.
This is the next step in an ongoing campaign to raise levels of public confidence in the financial planning industry by allowing consumers to readily identify firms of financial planners who commit to the highest standards of professional behaviour through enhanced technical knowledge and adherence to ethical practice. It is supported by the Association of Independent Financial Advisers (AIFA).
More than 900 individuals already hold Chartered Financial Planner status following its introduction at the beginning of last year.
CII president Ian Templeton says that this signifies a new era of professionalism for the industry: "Set against the backdrop of the FSA Retail Distribution Review the importance of this development cannot be ignored. At long last Chartered firms of financial planners will find themselves on an equal footing with other professions. Consumers now have the means to identify immediately those firms that have publicly committed themselves to the CII Code of Ethics and Conduct and to the highest professional standards."
Firms who wish to be able to call themselves Chartered Financial Planners must satisfy two key regulations: at least 50% of a firm's executive directors/partners must hold CII or an approved third party Chartered status and at least 90% of their customer facing staff must be CII/PFS members*.
Steve Jenkins, CII financial services business development director comments: "I have no doubt that this will be a very popular development. This is far more profound than simply changing the company nameplate. The potential kudos attached to being eligible to call your firm 'chartered' will be considerable. It will create an upper echelon of planning firms and help increase the momentum of the whole sector as it seeks to drive up standards and performance. Crucially it will also help firms attract and retain the best talent, being a clear indicator of their professional standing as an employer."
