This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. Find out more here.
X
MM+cover+small+241014
Categories:Advisers,Regulation

CII's alternative to exam will cost advisers £2,000

  • Print
  • Comments (13)

The Chartered Insurance Institute’s QCF level four alternative assessment is likely to cost advisers almost £2,000 - nearly four times the cost of its written exams.

PFS chief executive Fay Goddard says the professional body is piloting the alternative assessment in September with six IFAs, with the launch due in the final quarter of this year.

The CII says it is likely to cost around £1,950 but the price has not yet been finalised. It costs members £527 for written exams and £672 for non-members.

This compares with Aifa’s QCF level five case-study assessment, which it says will cost Aifa members £655, or £695 for non-members.

Aifa’s case-study-based exam was due to be available from August 1 but the launch has been delayed until September.

The CII alternative assessment will include submission of evidence such as existing qualifications and continuing professional development, plus an assessment day involving a case study, scenario discussion and a technical interview with a chartered financial planner.

Goddard says: “The alternative assessment will not be an easy option, advisers will still have to evidence the learning outcomes set out in the QCF level four framework.”

In June, the FSA announced that advisers will have to hold a statement of professional standing from 2013 to give independent verification that they are meeting new professional standards under the retail distribution review.

In July, Money Marketing revealed that many networks are considering applying for accreditation.

Goddard says networks that want to offer verification services must be leaders in professional standards.

She says: “If they meet the criteria, then they deserve to be there but it will depend on whether they are prepared to offer the same services that professional bodies offer and at what cost.

“There are benefits to belonging to a professional body as opposed to just a box-ticking CPD verification service.”

  • Print
  • Comments (13)

Daily Email Updates
If you enjoyed this article, sign up to receive the latest news and analysis from Money Marketing.

The Money Marketing CPD Centre
Build your annual CPD - you can log and plan your CPD hours for free with The Money Marketing CPD Centre.

Taxbriefs Advantage
Advantage is a digital reference source giving unbiased, independent, answers to your technical queries. Subscribe to Taxbriefs Advantage.

Readers' comments (13)

  • And the FSA is worried about advisers charging too much!
    It seems to me anyone, including the FSA, can charge advisers any amount they come up with, but advisers must be constantly reviewing their charges.
    The CII are as bad as the FSA in many respects.

    Unsuitable or offensive? Report this comment

  • This does not surprise me, its just another way of getting a few bob out of the IFA community. I cannot visualise how they have come up with the costings unless they are paying the interviewers an arm and a leg.

    Unsuitable or offensive? Report this comment

  • Sounds cynical but to quote the words of trusted colleague - this whole RDR exam qualification matter has just been turned into a money making racket by the CII!

    If I've passed my last exam in July I'm almost at Dip level thankfully. However I'm still waiting to see how passing these exams in anyway shape or form has added to my ability to give advice to clients. Financial Planning for clients is about having technical ability & experience. These exams will prove nothing!

    How many staff at the new regulator will be required to take these exams I wonder?!! and more to the point will these exams have any effect on the banks mis-selling their products to the public...

    Somehow I think NOT!!

    Unsuitable or offensive? Report this comment

  • I wonder how much you guys charge as an hourly rate? At £200 per hour a day costs £1,500.

    Of course you could always get a paraplanner to assess you for less. I bet you would be really confident in their assessment!!

    The CII uses qualified people - as indeed does the FSA - but what would you know about being qualified??

    Unsuitable or offensive? Report this comment

  • It provides a choice for those that do not want to do exams. I apprecaite that it is an additional cost but the new RO exams require little human involvement on the new ' driving test theory centre' multiple choice basis. (I was one of the first poor sods that they extracted money under false pretences and had to pay tuition fees so I know a bit having cash extracted for education!)

    Make you choice and pay your money you don't have a lot of option but it doesn't make it right.

    I've spent the money on exams but I've been studying for the last 6 years to get to Chartered Status doing an exam each year as it was apparent as a new entrant that the certificate level exams weren't exactly hard and they would eventually upskill. Those who thought it wouldn't happen have moaned and complained, you've had since 2006 and should have just got on with it. Thats life and its sometimes throws you a curve ball!

    Its not just the CII and the FSA Its society at the moment unfortunately, education mad!! - extraction of money on the promise of improvement. The most unfortunate thing is that they've yet to show a marked difference in standards but hopefully that will come eventually.

    With bad press the industry receives and little assistance to upskill or to get skilled in the first place its no wonder its dying on its knees.

    Will the last one out please switch out the light :o(

    Unsuitable or offensive? Report this comment

  • Pricing themselves out of this market?

    Unsuitable or offensive? Report this comment

  • The CII is responding to the needs of those existing advisers who would prefer not to have their knowledge fully tested via an examination either written or through multiple choice questions. The CII is the only professional body looking to offer advisers a genuine alternative to an examination. This is hugely challenging given that any alternative assessment must meet the exacting demands of the FSA and may explain why no one else has decided to try it.

    Our alternative assessment will be piloted with a group of advisers over the next few months.

    We can't define a price yet because we need to understand what appetite there is for an alternative assessment amongst the adviser community. Clearly advisers can't tell us that until they know what exactly is on offer and that can’t happen until we've established what advisers want (via a pilot). Even then we still need the FSA to approve whatever we create.

    One thing is clear we are working very closely with advisers to try balance their needs with those of the regulator.

    Other sectors do take a similar approach to alternative assessments and where these exist the cost is around the £1500/£2000 mark.

    In offering a rough idea of cost we’ve tried to be as up front as possible, making it clear to advisers that the costs of delivering one to one assessments is likely to be significantly more than an examination route.

    Our thinking on price has also been informed by our need to source, train and equip a UK wide network of capable individuals. Amongst other things they will need to have a suitable level of logistical support and a robust governance process will also need to be developed to ensure all candidates are treated fairly. All of this means the costs of delivering an alternative assessment is significantly greater than an exam.

    We believe those advisers who struggle with exams should be provided with an alternative to examinations and we are working with practitioners from across the market to try and create something that meets this need. Those advisers who think we are doing this to increase our revenue are wrong. We are a not for profit professional body and any surplus we make is reinvested for the benefit of ours members. This approach is what allows us to develop things like an alternative assessment.

    David Ross
    Chartered Insurance Institute

    Unsuitable or offensive? Report this comment

  • Everyone is making money from the RDR.
    The FSA have always been a job creation quango, ever on the lookout as to what they can come up with next to make money for their buddies whilst justifying their existance at the same time.
    We are in the middle of the worst recession in our lifetime yet we must find more and more money to feed this greedy pig of a regulator.
    Even then"The Leviathan" will never be satisfied

    Unsuitable or offensive? Report this comment

  • David

    Your comment at 2:22pm seems to confuse qualifications with competence. In a previous life I used to work for the FSA in monitoring and we never used to see a correlation between competence and qualifications when we visited firms.

    CII exams only test the ability to recall large amounts of basic information. Only an idiot would confuse this with being able to advise a client properly. The CII are just acting in a similarly parasitic manner to the FSA - sucking the lifeblood out of IFAs!

    I note from your website that you were a CII examiner. I don't suppose that your comments were motivated by a desire to jump on the CII gravy train as an assessor.

    Unsuitable or offensive? Report this comment

  • Anonymous 0.22 (That name seems to ring a bell with me!)

    Do you really think I have the time to assess for the CII at a rate that is less than a quarter of my hourly charging rate?

    Incidentally, why did you end your previous life if working for the FSA is such a cushy overpaid career?

    Unsuitable or offensive? Report this comment

View results 10 per page | 20 per page

Have your sayEdit my profile/screen name

You must sign in to make a comment

Fund Data

Editor's Pick



Poll

Do you think Citizens Advice is capable of delivering a good at-retirement guidance service?

Job of the week

Latest jobs

View all jobs

Most recent comments

View more comments