 |
 | Who needs to submit a sample comprehensive financial plan for NAPFA's peer review? |
 | Any individual applying for NAPFA-Registered Financial Advisor or Provisional Member status is required to submit a sample comprehensive financial plan. |
Back to Top |
|
| Why are NAPFA-Registered Financial Advisors and Provisional Members asked to submit a sample comprehensive financial plan? |
| NAPFA holds out to the public, including consumers who participate in our referral program, that professionals in these two membership categories are competent in all areas of financial planning. As a member of NAPFA you must offer comprehensive financial planning services. By asking peers to review your work product we can gain a higher level of comfort with your competency. This is an essential element of our membership criteria. |
| Back to Top |
|
| Is it okay to use financial planning software? |
| Yes, it’s okay to use financial planning software, but the reviewers want to see your own work contribution and input represented clearly. If the planning program you use doesn’t generate one or more of the documents we require (i.e., a net worth statement) you will need to supplement your plan with documents created in Microsoft Word, Excel, or a similar program.
Although it’s okay to let the reviewer know that your plans typically include Morningstar-type reports, please don’t include all of the reports! |
| Back to Top |
|
| Does the order the information is formatted in impact the review process? |
| Yes and no. The reviewers really appreciate plans formatted to follow the plan checklist because it makes it significantly faster to find the appropriate information. If your plan is formatted differently you can help the reviewers, and move your approval process forward faster, by including a copy of the plan checklist filled in with the page numbers from your plan that correspond to the various requirements. |
| Back to Top |
|
| Is there anything else I should know to increase the chances of my sample plan being approved quickly? |
| Help the reviewer get to know your client’s current financial situation and his or her financial concerns and goals. Make the reviewer feel like a fly on the wall as you present this plan to your client. You may include copies of your client questionnaire or any forms you use to accomplish comprehensive data gathering. |
| Back to Top |
|
| Will the reviewers pass judgment on my individual recommendations and assumptions? |
| The NAPFA reviewers don’t comment on the individual investment recommendations you make. If your assumptions fall outside of acceptable standards you will be notified and given an opportunity to justify or change your assumptions. |
| Back to Top |
|
| Does the plan have to involve a real world client? |
| No, you can use an actual plan created for a client, a plan based on fictional information, or a plan based on a fact pattern supplied by NAPFA. If you use a client plan, please change the names and social security numbers to comply with current privacy laws. |
| Back to Top |
|
| How detailed should my plan be? |
| Fairly detailed. We expect you to use a comprehensive approach to both discovery and recommendations in the sample plan you submit. Even if there are areas you don’t typically address, we need to see the subjects covered in your sample. The following information should be addressed:
Plan Checklist |
| Back to Top |
