Principles of Wealth ManagementCode: 26-PWM

231 pages
Course description and objectives:

• Financial planning is a process designed to achieve identified financial goals.
• Financial planning generally may address budgeting, risk management, investment planning, and/or tax planning.
• There is a significant need for financial planning as evidenced by the U.S. poverty statistics, the modest U.S. saving rate, the need for post-secondary education, the costs of higher education, and a general lack of retirement readiness.
• Financial planning begins with the adviser getting to know the client and the goals the client wants to achieve along with the challenges imposed by the client’s income, age, liabilities, risk tolerance, etc.
• When sufficient client data is obtained, the adviser must evaluate the client’s current plan; develop a plan to enable the client to achieve the identified goals, if needed; present the plan and performance benchmarks; gain the client’s approval; implement the plan; periodically review performance; and revise as needed.

Chapter Learning Objectives

When you have completed this chapter you should be able to:

• A.      Identify the purpose of financial planning;
• B.      List the major categories of financial planning;
• C.      Recognize the need for financial planning; and
• D.      List the traditional steps in the financial planning process.

Category: Finance

CPE credit: 9 Hours

Program Level: Update

Prerequisites: None

Advance Preparation: None

Exam expiration date: Participants must submit exams for grading within one year from the date of purchase