FTAdviser.com

Advertising

The ifs School of Finance is to launch a new QCA level 4 qualification, aimed at building demonstrable knowledge in financial advice, by the end of the year.

What started as a module but, due to the positive response from the six-month pilot, is now to become a full qualification focuses stringently on the practicalities of financial advice rather than simply demonstrating technical knowledge.

A key part of the diploma for financial advisers – which is yet to be QCA-approved – involves continuous assessment based on the development of research analysis and presentation skills and a final assessment based on a factfind sent out to candidates before their exam.

It is thought that this approach helps candidates develop greater experience in demonstrating their rationale to clients.

The use of the pre-released case study in the final assessment enables the adviser to develop a better understanding of the client’s circumstances, to think about some of the issues involved and to research any technical information they feel may be appropriate, the ifs School of Finance claimed.

Some information may change between receipt of the factfind and the date of exam, as is likely to happen with many real life cases when an adviser makes a subsequent visit to a client.

Mark Roberts, head of financial regulation for the ifs School of Finance, said: “We have spoken at length to all those who took part in the pilot process and have built up a detailed picture of what works best. This is a truly industry-led qualification, meeting the needs of the industry and more importantly, the needs of the consumer.”

Linda Preston-Todd, compliance manager of Derbyshire IFS Ltd, told the ifs School of Finance: “From the consumer’s perspective it is imperative that they receive accurate information.

“If advisers have the skills this qualification is seeking to develop and test then complaints and mis-selling can be avoided. Most exams do not test these types of specific areas, it is long overdue.”

The qualification will not be available until the end of the year but interested parties can contact the ifs to become the first to take the accreditation.