Career

Frequently Asked Questions

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Is this a right business for me? ▼

Is this a right business for me? ▲

As a financial adviser you will be part of Malaysia's most dynamic and fastest growing profession. Being a financial adviser offers:

  ▶  Job satisfaction – helping people fulfil their financial aspirations
  ▶  Personal and professional growth and achievement
  ▶  The potential to generate a good income
  ▶  Opportunities to grow your practise and income at your own pace
  ▶  Opportunities to build passive income

As a financial adviser your role involves on-going servicing and working with clients on long term, perhaps life-long basis. You will learn about their hopes and goals and create strategies to help them achieve these by:

  ▶  Providing a holistic approach to financial planning
  ▶  Having an extensive knowledge of financial markets
  ▶  Understanding trends and identifying potential risks
  ▶  Acquiring a global outlook in financial solutions

What is financial planning? ▼

What is financial planning? ▲

Financial planning is a long-term and continuous process of wisely managing your finances so you can achieve your goals and dreams, while at the same time negotiating the financial barriers that inevitably arise in every stage of life.

To assist you with this, a professional financial adviser may offer comprehensive or modular advice on investments, estate planning, retirement planning, taxation and risk management and use a six-step process to help you work out what you need to do now and in the future to reach your financial goals. In short you will have financial roadmap to chart your future.

What does a financial adviser do? ▼

What does a financial adviser do? ▲

Financial advisers determine a client's short, medium and long-term aspirations then work on an agreed financial plan to meet individual needs. They have strong people skills and are good listeners.

The financial adviser and client review the plan regularly to keep it on track and update it as appropriate. As a financial adviser that holds the Capital Market Services Representative License (CMSRL) and/or Financial Adviser Representative (FAR) License, you will use the six steps of the financial planning process. These are:

  ▶  Gathering your client's financial data, including details on income, debt levels and financial commitments
  ▶  Identifying your client's goals. These may include buying a house, funding education or travel
  ▶  Identifying any financial issues
  ▶  Preparing a financial plan that identifies recommended investments and pays heed to the client's attitude to risk
  ▶  Implementing the financial plan
  ▶  Reviewing and revising the plan to ensure it stays up-to-date and relevant to the economic climate and the client's changing lifestyle

What are the specific services a financial adviser provides? ▼

What are the specific services a financial adviser provides? ▲

A financial adviser can offer holistic financial planning, wealth management advice and assistance across all financial markets, or modular planning in areas such as:

  ▶  Investment planning
  ▶  Risk insurance planning
  ▶  Retirement planning
  ▶  Cash flow management
  ▶  Education planning
  ▶  Estate planning
  ▶  Mortgages and financing
  ▶  Employee benefits planning
  ▶  Business succession

How do I become a financial adviser? ▼

How do I become a financial adviser? ▲

If you are looking for career enhancement or becoming a business owner, financial adviser may be the career for you.

As a first step, undertake an entry-level education program recognised by the Securities Commission and Bank Negara Malaysia for the license either with Certified Financial Planner (CFP), Islamic Financial Planner (IFP), Registered Financial Planner (RFP) or Shariah RFP. These are specifically designed to:

  ▶  Provide the knowledge, competency and qualifications for you to become a financial adviser
  ▶  Help practicing financial advisers maintain their credentials
  ▶  Keep financial advisers up to date with the changes affecting the industry

Once you has been accredited the qualification, you must apply the required licenses with Bank Negara Malaysia and Securities Commission before you can carry out financial advisory services.

What kind of education and qualifications do I need to become a licensed financial adviser? ▼

What kind of education and qualifications do I need to become a licensed financial adviser? ▲

LICENSING REQUIREMENT
  ▶  CMSRL and FAR
  ▶  CFP / IFP / RFP / Shariah RFP qualification
  ▶  Maintain at least one valid membership with FP Association
  ▶  Untied from the Insurance company (for FAR)

  ▶   CUTA Rep (UTC)
  ▶  Pre-requisite requirement is CMSR License
  ▶  Untied
  ▶  Computerised UT Examination (CUTE)
  ▶  CFP Module 3 (Investment Planning) is exempted from sitting CUTE but must register as UTC within 3 years from the date they passed the said paper.

  ▶  PRS Consultant (PRC)
  ▶  Pre-requisite requirement is CMSR License
  ▶  Untied
  ▶  PRS Examination

ENTRY LEVEL FOR LICENSING
  ▶  Financial Adviser License (FAR)
  ▶  Passed the following Certified Financial Planner (CFP) modules:
  ▶  Module 1 – Foundation in Financial Planning
  ▶  Module 2 – Insurance Planning and Estate Planning
  ▶  Module 3 – Investment Planning and Retirement Planning
  ▶  OR any other equivalent qualification from a higher learning institution which has been granted exemption from 3 modules above by FPAM
OR
  ▶  Passed the following Registered Financial Planner (RFP) modules:
  ▶  Module 1 – Fundamentals of Financial Planning
  ▶  Module 2 – Risk Management & Insurance Planning
  ▶  Module 3 – Investment Planning
  ▶  OR Any other equivalent qualification from a higher learning institution which has been granted exemption from 3 modules above by MFPC

  ▶  Islamic Financial Adviser License (IFAR)
  ▶  Passed the following Islamic Financial Planner (IFP) modules:
  ▶  Module 1 – Fundamentals of Islamic Financial Planning
  ▶  Module 2 – Risk Management and Takaful Planning
  ▶  Module 3 – Islamic Investment Planning
  ▶  OR Any other equivalent qualification from a higher learning institution which has been granted exemption from 3 modules above by IBFIM (Islamic Banking and Finance Institute Malaysia)
OR
  ▶  Passed the following Shariah Registered Financial Planner (Shariah RFP) modules:
  ▶  Module 1 – Fundamentals of Shariah Financial Planning
  ▶  Module 2 – Risk & Takaful Planning
  ▶  Module 3 – Shariah Investment Planning
  ▶  OR Any other equivalent qualification from a higher learning institution which has been granted exemption from 3 modules above by MFPC

  ▶  Capital Market Services Representative License (CMSRL)
  ▶  Passed the following Certified Financial Planner (CFP) modules:
  ▶  Module 1 – Foundation in Financial Planning
  ▶  Module 3 – Investment Planning and Retirement Planning
  ▶  Module 4 – Financial Plan Construction and Professional Responsibilities (Familiarisation Programme)
  ▶  Passed the following Islamic Financial Planner (IFP) modules:
  ▶  Module 1 – Fundamentals of Islamic Financial Planning
  ▶  Module 3 – Islamic Investment Planning
  ▶  Module 5 – Islamic Estate and Waqf Planning(Familiarisation Programme)
  ▶  Become an Associate Member of FPA
OR
  ▶  Passed the following Registered Financial Planner (RFP) modules:
  ▶  Module 1 – Fundamentals of Financial Planning
  ▶  Module 2 – Risk Management & Insurance Planning
  ▶  Module 3 – Investment Planning OR
  ▶  Passed the following Shariah Registered Financial Planner (Shariah RFP) modules:
  ▶  Module 1 – Fundamentals of Islamic Financial Planning
  ▶  Module 3 – Shariah Investment Planning
  ▶  Module 6 – Retirement Planning
  ▶  Obtained a certificate of proficiency in Financial Planning by MFPC
  ▶  Become an Affiliate Member of MFPC

Is financial planning a growth industry? ▼

Is financial planning a growth industry? ▲

Yes! Financial planning is a dynamic profession in which a strong business can be established.

As Malaysia's working population increases, so does lifestyle inflation and financial distractions. More financial advisers are required to help working Malaysians manoeuvre financial pitfalls to achieve their financial life goals.

How is the financial planning sector regulated? ▼

How is the financial planning sector regulated? ▲

In response to legislation, the Securities Commission of Malaysia (SC) established the capital market service license – dealing in financial planning and other requirements necessary for companies and individuals to offer financial advisory services as one of the regulated activities (see www.sc.com.my), and

The Bank Negara Malaysia (BNM) sets the financial adviser and financial adviser representative (FAR) license - the licensing and educational requirements necessary for companies and individuals to offer financial advisory services.

CMSR and FAR licensees must meet relevant education, experience and ethical requirements. Financial advisers who represent license holders must also meet minimum education requirements prescribed by SC.

What should I do next? ▼

What should I do next? ▲

To know more about becoming a financial adviser and business opportunities it presents with StandardFA, click here to enquire.