View more on these topics

Sam Rees-Adams: Ethics and CPD

Rees-Adams-Sam-MM-Peach-700.png

Here at the Institute of Financial Planning we take ethics very seriously. So much so that it is integral to our continuing professional development scheme, with an annual requirement of 2.5 hours. 

You might well be wondering what the point of that is, other than to give you one more thing to think about when sorting out your CPD. Or you might be thinking you are not an IFP member so it does not apply to you. 

But remember the first principle of the FCA’s approved persons  regime: “an approved person must act with integrity in carrying out his accountable functions”.

To reflect the Statements of Principle and the move to a more values-based regulatory regime, we thought it made absolute sense to place greater emphasis on ethics within the CPD requirements. 

We wanted to highlight its importance and reflect the fact that it underpins every interaction you have with clients and colleagues.

Ethics drive behaviour and what is important is what you actually do.  We all know what we should do in certain situations and have probably come across some poor questions that purport to test that: “You see a Ferrari parked with keys in the ignition, what should you do?” 

That may be an extreme example but it illustrates the point. It’s a hypothetical scenario but there is merit in taking inspiration from real- life examples and applying some critical reflection to a situation that happened. Reflection is a vital part of any CPD activity, and often done superficially, so practice is useful.  Critical reflection can become the point of the exercise rather than an add-on.  Reflecting on a situation that raised some thorny issues and truly understanding how they came about can help you to avoid a similar dilemma in the future.  

The IFP’s ethics CPD workshop includes interactive sessions led by academics from Leeds University Business School, where delegates are given short ethical case studies.  The purpose being to discuss how to deal with them. What is interesting is that the academics base their case studies on situations that financial planners and advisers have actually faced.  So why not make the most of your own (or colleagues’) experience and come up with a reflective exercise of your own?

Think back to a situation that caused an ethical dilemma:

  • What happened and how did the situation arise?
  • What ethical dilemmas did it present?
  • What course of action did you take and why?

Now for the reflection:

  • Looking back, what might you have done differently?
  • How would alternatives have had a negative or positive impact?
  • What could you do in future to stop a similar situation arising?

The hallmark of any profession is adherence to the highest ethical standards, so why not reflect that commitment as part of your CPD?

Sam Rees-Adams is director of professional standards at the IFP

Recommended

Sue-Whitbread-MM-Peach-700.jpg

Sue Whitbread: The case for honing your skills in cashflow modelling

While there is little doubt that most advisers have excellent technical knowledge, it is not so easy to argue that planning skills are up to the same standard. At the Institute of Financial Planning we have noticed an increase in enquiries from members and non-members who want to find out how they can develop their […]

FCA-Interior-View-700x450.jpg
2

FCA set for Connaught redress talks

The FCA is to hold talks in an attempt to reach a negotiated settlement of redress for those who invested in Connaught Income Funds. In a statement today, the regulator says it believes a negotiated settlement to address investor losses represents the best course of action for all parties. The FCA says: “Therefore, for a […]

Friends-Life-FriendsLife-700x450.jpg

Friends Life appoints former Aviva director as UK chief exec

Friends Life has appointed former Aviva director Andy Curran as interim chief executive, with John Van Der Wielen set to be named executive chairman of the provider’s international business, Money Marketing can reveal. Van Der Wielen, who is currently chief executive of Friends Life’s UK and international divisions, has led negotiations over the £356m sale of […]

Lisa-Winnard-MM-Peach-300.jpg

Lisa Winnard: Behavioural economics

As an HR director I am often heard saying, “It’s all about the behaviour.” But when working with people it is not always straightforward and on occasions human behaviour leaves us questioning why people behave the way they do. This is true for many firms in understanding their own people and customers. I have been […]

Simon Fletcher

Auto-enrolment: pay attention or pay the price

By Simon Fletcher

As a chief executive officer of a business in the financial services sector, I have been dealing with the introduction of auto-enrolment for our clients for some time, but I can also speak from an employer’s point of view, having to go through the process ourselves.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com