What does a Financial Planner do?
Financial Planners give professional and ethical assistance to clients in
important financial decisions.
Professionals with a HAQFP certification (RFPHTM, QFPHTM) in financial planning are trustworthy, professional, ethical and client centered.
The financial planning process has six steps:
Establish and define the relationship with the client
First step is to build relationship based on trust. It defines the responsibilities and the scope of engagement between the client and the Financial Planner (data, decisions, responsibilities). The planner has to make disclosures about any material conflict of interests.
Gather client data
The Financial Planner requests data, information about current personal and financial situation of the client, including prospective changes. The client and the Financial Planner together determine planning objectives in accordance with the client’s personal goals.
Analyze and evaluate the client’s financial status
The Financial Planner determines the strengths, weaknesses and risks of the client’s financial status. He or she defines the steps to reach the client’s goals.
Develop and present financial planning recommendations
The Financial Planner deliver solution opportunities, by them the client can reach his life goals.
Implement the financial planning recommendations
The Financial Planner and the client should agree on responsibilities during the implementation of the plan, consistent with the scope of engagement. They enter into the necessary financial services contracts, the client gives power of attorney as needed.
Monitor the financial plan
Maintenance of the financial plan in order to ensure that the plan kept on track.