CFP® professionals lead the pack in Sanlam’s top 100 professionals

Mandisa Magwaza, Team Leader: Member Engagement and Retention, The Financial Planning Institute (FPI).

Sanlam recently conducted research designed to evaluate the value of the CFP® designation among the company’s top performing CFP® professionals. The study had a qualitative and quantitative research component. The qualitative research included in depth interviews with the top performing CFP® professionals within the company who shared their views on the impact that the designation has had on their careers. The quantitative segment analysed data to ascertain productivity among CFP® professionals pre and post certification completion.

Being a CFP® professional is more than having three letters after your name. The CFP® designation is the pinnacle of professionalism in the industry and as such, is seen as the pre-eminent designation for a financial planner.

As an FPI Corporate Partner™, Sanlam supports FPI’s mission to professionalise the industry and support their staff who wish to set themselves apart by pursuing the CFP® certification. The respondents who participated in the research believe that earning a professional designation is a demonstration of an investment in oneself; furthermore they indicated that the underlying postgraduate qualification allowed them to enhance their technical knowledge and stay current with industry developments. Respondents indicated that more than a boost in one’s professional profile, the intangible benefit was gaining the confidence and credibility to serve clients to their best ability.

As rewarding as it was becoming a CFP® professional most respondents admit that sacrifices were part of the process. The cost of time dedicated to their studies meant losing out on potential business and quality time with loved ones. Majority of the respondents said that their strong sense of discipline, ambition and goal realisation is what encouraged them to persevere.

The research participants indicated that formal learning was a crucial factor in determining the success of a financial planner, they added that the credentials gave them access to serving the affluent market.

Beyond securing a university qualification, majority of respondents agreed that continuous professional development (CPD) is key in practicing with confidence and building expert power. As a professional body FPI has a CPD policy that require members to maintain a CPD log of their learning and update it with the CPD training hours completed. In today’s business world, staying informed and keeping abreast of industry activities is one of the key factors to having a competitive edge delivery of your best to clients. CPD also allows you to enhance the knowledge, skills, attitudes and values that you already have. In life there is always a need to learn and develop no matter your age or expertise. Most of the respondents interviewed expressed an interest in business and implementation workshops, case study refresher sessions as well as leadership workshops. The respondents also indicated a preference for learning centred on client engagement and selling skills as opposed to in depth product training and internal systems.

FPI caught up with Sanlam’s General Manager Jaco Coetzee to provide context on the study and plans it has in place as a result of the findings.

Sanlam’s vision is to be the most professional financial advice sales organisation in South Africa that treats clients fairly while doing business in a profitable and sustainable way. Jaco explained that the research highlights the positive impact of hiring CFP® professionals across numerous areas of business. Sanlam will remain committed to improving the professional standards of financial planners. The company encourages financial planners to use the CFP® certification programme as a tool to further their financial planning career.

As part of Sanlam’s culture the company incentivises and recognises those who successfully attain their designation and continue to support them to maintain their membership with FPI.

The study also observed a group of CFP® professionals’ performance from year of commencement right through post completion of the designation to measure productivity (incl. new business, quality of business, client retention and sustainability).

Production scores reflect that obtaining a formal qualification positively impacts production figures

The above graph illustrates the reduction in production scores in the year that the CFP® designation was obtained, however there was a tremendous increase post completion of CFP® certification period.

Commenting on the findings Jaco added that the results indicate that employing CFP® professionals is not just a matter of providing the highest professional and ethical service to clients but also delivering results to the company’s bottom line.