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Evidence Guide: FNSFPL507 - Provide financial planning advice

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

FNSFPL507 - Provide financial planning advice

What evidence can you provide to prove your understanding of each of the following citeria?

Create rapport with client

  1. Ensure disclosure of capacity to client is consistent with codes of practice and legislative requirements, and that organisational requirements and client concerns, if any, are identified and responded to appropriately
  2. Explain services to client when appropriate, including in writing, in clear and unambiguous way, avoiding jargon and in language appropriate to level of financial understanding of client
  3. Assist client to make informed choices using relevant documentation
  4. Address client’s needs and objectives consistent with client’s budgetary situation
Ensure disclosure of capacity to client is consistent with codes of practice and legislative requirements, and that organisational requirements and client concerns, if any, are identified and responded to appropriately

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Explain services to client when appropriate, including in writing, in clear and unambiguous way, avoiding jargon and in language appropriate to level of financial understanding of client

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assist client to make informed choices using relevant documentation

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Address client’s needs and objectives consistent with client’s budgetary situation

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Discuss financial plan with client

  1. Clearly explain scope and limitations of plan and/or advice to client, together with provision of appropriate warnings
  2. Explain strategies and recommendations in financial plan and discuss with client in clear and unambiguous way
  3. Prepare, explain and discuss financial plan documentation with client when appropriate
  4. Disclose impact of key aspects of recommendations in clear and concise manner to client
  5. Guide client through key aspects of strategies proposed when appropriate and demonstrate product knowledge appropriate for service or advice offered
  6. Explain assumptions used in formulating plan and degree to which variations in assumptions may impact on client’s expected outcomes
  7. Explain requirements to put recommended plan into effect to client and identify and note any areas in plan that may require further advice
  8. Provide copies of research and other relevant documentation to client if requested and seek confirmation that client understands all recommendations presented
  9. Obtain agreement in principle to proceed from client
  10. Clearly define and communicate appropriate level of after sales service to be provided to client
Clearly explain scope and limitations of plan and/or advice to client, together with provision of appropriate warnings

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Explain strategies and recommendations in financial plan and discuss with client in clear and unambiguous way

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Prepare, explain and discuss financial plan documentation with client when appropriate

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Disclose impact of key aspects of recommendations in clear and concise manner to client

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Guide client through key aspects of strategies proposed when appropriate and demonstrate product knowledge appropriate for service or advice offered

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Explain assumptions used in formulating plan and degree to which variations in assumptions may impact on client’s expected outcomes

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Explain requirements to put recommended plan into effect to client and identify and note any areas in plan that may require further advice

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Provide copies of research and other relevant documentation to client if requested and seek confirmation that client understands all recommendations presented

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Obtain agreement in principle to proceed from client

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Clearly define and communicate appropriate level of after sales service to be provided to client

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Negotiate effectively

  1. Assist clients when necessary to make appropriate decisions regarding solutions to their needs and objectives within scope of plan, and present alternatives to recommendations when requested
  2. Observe limits imposed by regulatory requirements or organisational guidelines
  3. Exercise restraint and composure when dealing with any conflict situations involving clients
  4. Maintain communication channels when dealing with any complaints and follow internal or external complaint handling procedures
Assist clients when necessary to make appropriate decisions regarding solutions to their needs and objectives within scope of plan, and present alternatives to recommendations when requested

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Observe limits imposed by regulatory requirements or organisational guidelines

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Exercise restraint and composure when dealing with any conflict situations involving clients

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Maintain communication channels when dealing with any complaints and follow internal or external complaint handling procedures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Complete and maintain necessary documentation

  1. Adjust financial plan according to changes agreed to by client
  2. Complete proposals and other documents and arrange sign off when plan is agreed between client and authorised representative
  3. Clearly identify implementation actions required by client and obtain written agreement to actions
  4. Create or update client records with any contract variations completed if required
  5. Provide confirmation, including relevant documentation and contract variation, to client and implement final plan
  6. Record client advice in accordance with organisational guidelines and/or financial plan documentation requirements
  7. Obtain client signatures on instructing and/or purchasing documents where required
Adjust financial plan according to changes agreed to by client

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Complete proposals and other documents and arrange sign off when plan is agreed between client and authorised representative

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Clearly identify implementation actions required by client and obtain written agreement to actions

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Create or update client records with any contract variations completed if required

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Provide confirmation, including relevant documentation and contract variation, to client and implement final plan

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Record client advice in accordance with organisational guidelines and/or financial plan documentation requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Obtain client signatures on instructing and/or purchasing documents where required

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Create rapport with client

1.1 Ensure disclosure of capacity to client is consistent with codes of practice and legislative requirements, and that organisational requirements and client concerns, if any, are identified and responded to appropriately

1.2 Explain services to client when appropriate, including in writing, in clear and unambiguous way, avoiding jargon and in language appropriate to level of financial understanding of client

1.3 Assist client to make informed choices using relevant documentation

1.4 Address client’s needs and objectives consistent with client’s budgetary situation

2. Discuss financial plan with client

2.1 Clearly explain scope and limitations of plan and/or advice to client, together with provision of appropriate warnings

2.2 Explain strategies and recommendations in financial plan and discuss with client in clear and unambiguous way

2.3 Prepare, explain and discuss financial plan documentation with client when appropriate

2.4 Disclose impact of key aspects of recommendations in clear and concise manner to client

2.5 Guide client through key aspects of strategies proposed when appropriate and demonstrate product knowledge appropriate for service or advice offered

2.6 Explain assumptions used in formulating plan and degree to which variations in assumptions may impact on client’s expected outcomes

2.7 Explain requirements to put recommended plan into effect to client and identify and note any areas in plan that may require further advice

2.8 Provide copies of research and other relevant documentation to client if requested and seek confirmation that client understands all recommendations presented

2.9 Obtain agreement in principle to proceed from client

2.10 Clearly define and communicate appropriate level of after sales service to be provided to client

3. Negotiate effectively

3.1 Assist clients when necessary to make appropriate decisions regarding solutions to their needs and objectives within scope of plan, and present alternatives to recommendations when requested

3.2 Observe limits imposed by regulatory requirements or organisational guidelines

3.3 Exercise restraint and composure when dealing with any conflict situations involving clients

3.4 Maintain communication channels when dealing with any complaints and follow internal or external complaint handling procedures

4. Complete and maintain necessary documentation

4.1 Adjust financial plan according to changes agreed to by client

4.2 Complete proposals and other documents and arrange sign off when plan is agreed between client and authorised representative

4.3 Clearly identify implementation actions required by client and obtain written agreement to actions

4.4 Create or update client records with any contract variations completed if required

4.5 Provide confirmation, including relevant documentation and contract variation, to client and implement final plan

4.6 Record client advice in accordance with organisational guidelines and/or financial plan documentation requirements

4.7 Obtain client signatures on instructing and/or purchasing documents where required

Required Skills and Knowledge

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Create rapport with client

1.1 Ensure disclosure of capacity to client is consistent with codes of practice and legislative requirements, and that organisational requirements and client concerns, if any, are identified and responded to appropriately

1.2 Explain services to client when appropriate, including in writing, in clear and unambiguous way, avoiding jargon and in language appropriate to level of financial understanding of client

1.3 Assist client to make informed choices using relevant documentation

1.4 Address client’s needs and objectives consistent with client’s budgetary situation

2. Discuss financial plan with client

2.1 Clearly explain scope and limitations of plan and/or advice to client, together with provision of appropriate warnings

2.2 Explain strategies and recommendations in financial plan and discuss with client in clear and unambiguous way

2.3 Prepare, explain and discuss financial plan documentation with client when appropriate

2.4 Disclose impact of key aspects of recommendations in clear and concise manner to client

2.5 Guide client through key aspects of strategies proposed when appropriate and demonstrate product knowledge appropriate for service or advice offered

2.6 Explain assumptions used in formulating plan and degree to which variations in assumptions may impact on client’s expected outcomes

2.7 Explain requirements to put recommended plan into effect to client and identify and note any areas in plan that may require further advice

2.8 Provide copies of research and other relevant documentation to client if requested and seek confirmation that client understands all recommendations presented

2.9 Obtain agreement in principle to proceed from client

2.10 Clearly define and communicate appropriate level of after sales service to be provided to client

3. Negotiate effectively

3.1 Assist clients when necessary to make appropriate decisions regarding solutions to their needs and objectives within scope of plan, and present alternatives to recommendations when requested

3.2 Observe limits imposed by regulatory requirements or organisational guidelines

3.3 Exercise restraint and composure when dealing with any conflict situations involving clients

3.4 Maintain communication channels when dealing with any complaints and follow internal or external complaint handling procedures

4. Complete and maintain necessary documentation

4.1 Adjust financial plan according to changes agreed to by client

4.2 Complete proposals and other documents and arrange sign off when plan is agreed between client and authorised representative

4.3 Clearly identify implementation actions required by client and obtain written agreement to actions

4.4 Create or update client records with any contract variations completed if required

4.5 Provide confirmation, including relevant documentation and contract variation, to client and implement final plan

4.6 Record client advice in accordance with organisational guidelines and/or financial plan documentation requirements

4.7 Obtain client signatures on instructing and/or purchasing documents where required

Evidence of the ability to:

create rapport with the client and discuss financial plans

provide financial advice to clients when presenting preliminary, amended or final financial plans that:

complies with industry regulations and codes of practice

assesses the impacts of taxation, social security, economic and other government policy on client investment and financial requirements within the range of products known to the adviser

complete and maintain all necessary documentation.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

review the generic products available in the financial services industry

identify issues and discuss the possible impacts of the following on the client's financial planning needs:

relevant economic, taxation and social security policy

estate planning

explain investment and savings vehicles, financial markets, asset classes and investment characteristics

explain the key features of financial markets, the range of financial products as set out in organisational guidelines, and the investment characteristics

analyse investment risk factors and the relationship to return expectations

describe the key features of:

relevant codes of practice and industry financial plan documentation requirements

requirements related to the disclosure of capacity

discuss the role of the financial planning adviser and the financial planning practice

outline the key requirements of legislation and regulations affecting the financial services industry

describe the internal and external issue resolution processes available to clients in the event of a dispute.