The name Chartered Financial Practitioner is a globally recognised ‘gold standard’ professional qualification for financial advisors and financial planners in the UK. Chartered Accountants are members of an organization called the Institute of Chartered Accountants (ICCA).
They are required to be members of this organization in order to provide financial advice and planning services to clients. This includes but is not limited to, the provision of financial planning services to a client’s pension scheme or annuity. The Chartered Accountant’s Association (CAA) was formed in 1920 in response to the need for financial planners to have a professional status.
The need for financial professionals to have a certain professional status arose as the need for financial assistance became more widespread. People were beginning to realize that they were facing financial difficulties and were unable to keep up with the rising costs of living. In an effort to make savings, many people took out loans to pay for day-to-day living expenses. Some went into debt, others went bankrupt, and others lost everything due to their inability to cope with the pressures of economic times.
The need for financial professionals to have a professional status arose as financial advisors gained increasing recognition. This increased their awareness and skill and allowed them to become financially knowledgeable and well versed in finance and investing.
Since then, the role of financial planners has evolved and is more diverse than previously imagined. They are now hired to create financial plans for people who are self-employed, as well as providing financial services to large corporate organisations.
A chartered financial planner should be an expert in finances and planning. If they are not a professional planner, it would be foolish to rely on them to come up with a sound financial plan for you. They should be skilled at creating sound financial plans and be able to create realistic and achievable goals that are based on your current and future financial needs.
A financial planner will also be able to create a budget, which is essentially a statement of all the costs and payments you would have to make in order to achieve a goal. They will know how much your income is, how much you spend on housing, and other expenses and what type of tax relief you are likely to qualify for.
They will also have the necessary knowledge of financial products such as pensions, insurance, annuities, commercial finance and investments. A chartered financial planner will be able to help you get the best deal on any of these products, if they are properly researched before making a decision.
Having said that, it is important to hire a chartered financial planner that is not just another salesperson, and that has integrity. They should be able to provide you with information that you can use to make an informed decision about any financial product, no matter how complex or specialized it may be.
One thing to look for in a chartered financial planner is a good history of working with clients of various types. This means that the planner must have dealt with both institutional and private clients and has worked in both areas. It also indicates that the person has a proven track record of success.
Another point to look for in a chartered financial planner is experience. This indicates that the person has worked with a wide range of different clients in various situations and has the ability to offer advice on both long-term and short-term financial issues. This can be particularly important if they work in a business where you have a problem with one aspect of your finances and need advice on the long-term.
The most important characteristic of a financial planner is that they should be able to communicate their experience in a manner that is clear and precise. If they speak too fast, they may sound like a salesperson, rather than a financial advisor.
An experienced chartered financial planner is not only able to provide you with sound financial advice, but they should also be able to put you in contact with an accountant that will help you with taxes and other aspects of managing your finances. Many people are under the impression that this is their responsibility, but the reality is that the accountant should be in charge of all your accounts, not you.