IFP hands out accredited financial planning status

The Institute of Financial Planning (IFP) has begun to recognise firms that have met notably high standards in financial planning with the title 'accredited financial planning firm'. IFP will announce the first 25 firms to achieve the status later this week.

In order to be awarded the status firms must meet certain criteria. At least half of the firm's registered advisers must be either a certified financial planner or a professional or chartered financial planner qualified with the AF5 financial planning process unit. They must offer a full financial planning service with cashflow modelling, with procedures that are consistent with the IFP's code of ethics and practice standards. They must also be able to demonstrate a consistent fee structure and clearly communicate their proposition to clients, with all members of the firm able to explain the difference between financial planning and advice.

Firms will have to pay a fee of £750 on acceptance and annually thereafter for accredited financial planning status, with an additional charge per adviser of £25 for IFP members and £75 for non-members.

SOURCE: http://www.moneymarketing.co.uk/1038886.article?cmpid=MME01&cmptype=newsletter&email=true