The Investment Dealers Association of Canada is seeking comment on a plan to alter retail proficiency requirements.
Currently, IDA rules require that within 30 months of initial approval, a registered rep must complete either the Professional Financial Planning Course or the Investment Management Techniques Course, both provided by the Canadian Securities Institute. This is generally known as the “30 month requirement.”
However, the IDA says that neither of the optional courses to fulfill the 30-month requirement covers all the educational needs of a rep providing advice to retail clients. A review of requirements including a survey of firms indicates that the course to fulfill the 30-month requirement should cover both financial planning and investment management.
As a result, it is proposing to replace the options in the current 30 month requirement with a new course, the Wealth Management Essentials Course, which includes study of both financial planning and investment management. “The proposed amendments will provide new registered representatives with a wider range of proficiency necessary in providing advice to retail clients,” it says.
The new WME course is currently in development. The proposed amendment will be declared effective when it is ready to be offered.
Those enrolled in either the PFPC or IMT on the effective date will be able to complete that course to complete their 30-month requirement, provided that they do so within the two years after enrolment required to complete any CSI course, the IDA explains. And, those who completed either course prior to the effective date but were not registered will be able to use it to fulfill the 30 month requirement if they become approved as reps within two years of completion.
The proposed amendments will also eliminate existing exemptions for those with higher level attainments in one or the other of the two topics. Those who have completed the Certified Financial Planner Examination offered by the Financial Planning Standards Council or the three levels of the Chartered Financial Analyst program offered by the CFA Institute will be required to complete only that portion of the course dealing with the other specialty — the investment management module and the integration module for those with the CFP or the financial planning module and the integration module for those with the CFA, it notes.
IDA proposes new wealth management essentials course
Seeks comment on changes to retail proficiency requirements
- By: James Langton
- July 18, 2005 July 18, 2005
- 07:50