Course Title: Provide financial planning advice
Part B: Course Detail
Teaching Period: Term2 2018
Course Code: BAFI5236C
Course Title: Provide financial planning advice
School: 650T Vocational Business Education
Campus: City Campus
Program: C5379 - Diploma of Financial Services
Course Contact: Callie Harvey
Course Contact Phone: +61 3 9925 5772
Course Contact Email: callie.harvey@rmit.edu.au
Name and Contact Details of All Other Relevant Staff
Andrew Shiangolis
Course Coordinator - Financial Services
03 9925 5982
Nominal Hours: 50
Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.
Pre-requisites and Co-requisites
None
Course Description
This unit describes the skills and knowledge required to provide financial advice to clients when presenting preliminary, amended or final financial plans depending on the level of client contact appropriate for the representative.
It applies to individuals who use specialised knowledge and strong communication, negotiation and interpersonal skills to build rapport and conduct business.
Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.
National Codes, Titles, Elements and Performance Criteria
National Element Code & Title: |
FNSFPL507 Provide financial planning advice |
Element: |
1. Create rapport with client |
Performance Criteria: |
1.1 Ensure disclosure of capacity to client is consistent with codes of practice and legislative requirements, and that organisational requirements and client concerns, if any, are identified and responded to appropriately 1.2 Explain services to client when appropriate, including in writing, in clear and unambiguous way, avoiding jargon and in language appropriate to level of financial understanding of client 1.3 Assist client to make informed choices using relevant documentation 1.4 Address client’s needs and objectives consistent with client’s budgetary situation |
Element: |
2. Discuss financial plan with client |
Performance Criteria: |
2.1 Clearly explain scope and limitations of plan and/or advice to client, together with provision of appropriate warnings 2.2 Explain strategies and recommendations in financial plan and discuss with client in clear and unambiguous way 2.3 Prepare, explain and discuss financial plan documentation with client when appropriate 2.4 Disclose impact of key aspects of recommendations in clear and concise manner to client 2.5 Guide client through key aspects of strategies proposed when appropriate and demonstrate product knowledge appropriate for service or advice offered 2.6 Explain assumptions used in formulating plan and degree to which variations in assumptions may impact on client’s expected outcomes 2.7 Explain requirements to put recommended plan into effect to client and identify and note any areas in plan that may require further advice 2.8 Provide copies of research and other relevant documentation to client if requested and seek confirmation that client understands all recommendations presented 2.9 Obtain agreement in principle to proceed from client 2.10 Clearly define and communicate appropriate level of after sales service to be provided to client |
Element: |
3. Negotiate effectively |
Performance Criteria: |
3.1 Assist clients when necessary to make appropriate decisions regarding solutions to their needs and objectives within scope of plan, and present alternatives to recommendations when requested 3.2 Observe limits imposed by regulatory requirements or organisational guidelines 3.3 Exercise restraint and composure when dealing with any conflict situations involving clients 3.4 Maintain communication channels when dealing with any complaints and follow internal or external complaint handling procedures |
Element: |
4. Complete and maintain necessary documentation |
Performance Criteria: |
4.1 Adjust financial plan according to changes agreed to by client 4.2 Complete proposals and other documents and arrange sign off when plan is agreed between client and authorised representative 4.3 Clearly identify implementation actions required by client and obtain written agreement to actions 4.4 Create or update client records with any contract variations completed if required 4.5 Provide confirmation, including relevant documentation and contract variation, to client and implement final plan 4.6 Record client advice in accordance with organisational guidelines and/or financial plan documentation requirements 4.7 Obtain client signatures on instructing and/or purchasing documents where required |
Learning Outcomes
Details of Learning Activities
The diploma is mainly taught face-to-face in a classroom setting with some structured online components. The online components will require you to actively participate in a teacher led e-learning environment through the use of discussion boards, online quizzes and action learning activities.
RMIT offers a variety of learning and teaching approaches including group discussions, tutorials, workplace simulated projects, online quizzes, role plays and case studies.
RMIT’s simulated work environment (Practice Firm), called The Swanston Banking Group Ltd, is a key feature of the diploma so we can deliver coursework and current industry practices. Within the firm you will be required to undertake a range of work-related activities. You will have the opportunity to develop skills in collaboration, structuring meetings, working with client files and engaging with simulated clients in the form of role plays. You will assume the role of the financial services industry professional working in the Practice Firm as an employee with a position description. You will be expected to follow the bank’s policies and procedures.
In your roles you will be provided with a customer brief and you will be required to assess the client’s future financial status, or research and recommend services and products to meet their needs.
We expect you to participate and contribute in all scheduled learning activities.
Teaching Schedule
This course is comprised of one single competency.
FNSFPL507 - Provide Financial Planning Advice
The nominal hours associated with this are a guide only and represent the total teaching time and student effort required to successfully complete this course. This may include not only scheduled classes but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities
Weekly Course Schedule:
Course Schedule: Provide Financial Planning Advice Semester 2: 2018 | ||||
Week |
Topic |
Readings and Activities |
Assessment |
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Week 1 2 July 2018 |
Topic 1 - Provide advice in financial planning: Part 1: What is the Financial Planning Process? and Part 2: Six steps in the financial planning process |
Websites https://www.moneysmart.gov.au/investing/financial-advice (Links to an external site.)Links to an external site. (‘getting advice’) http://www.commbank.com.au/personal/super-retirement/financial_planning_process.aspx (Links to an external site.)Links to an external site. (Commonwealth Bank financial planning process) http://www.coredata.com.au/research/investor-sentiment-report/ (Links to an external site.)Links to an external site. (Investor sentiment research) Readings
Financial Planning in Australia 6th edition Websites http://fpa.com.au/about-financial-planning/how-it-works/ (FPA financial planning process explanation) Activity Clearly there is a great variety of available information for the individual investor. Identify as many different types of information source as you can. PowerPoint presentation |
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Week 2 9 July 2018 |
Topic 1 - Provide advice in financial planning: Part 3: Preparation prior to commencing the process and Part 4: The first step - Gathering information |
Websites www.asic.gov.au (Links to an external site.)Links to an external site. (reasonable basis for advice rule sec. 945 of the Corporation Act, as has been interpreted principally in Practice Note 41. ASIC has provided guidance through PS175 on what they consider to be the personal circumstances) Readings Review the Pre interview form (PDF) Websites www.dixon.com.au (Links to an external site.)Links to an external site. (Fact finders) www.finametrica.com (Links to an external site.)Links to an external site. (Risk profiling) https://www.myrisktolerance.com/home (Links to an external site.)Links to an external site. (Risk profiling)
Readings Review the client needs analysis document – New Age Planners (PDF) Script following data collection (PDF) PowerPoint presentation Online Multiple Choice Questions |
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Week 3 16 July 2018 |
Topic 1 - Provide advice in financial planning: Part 5: The second and third steps and Part 6: The fourth step |
Websites http://www.fsc.org.au/downloads/file/ConsumerInfoFactSheetsFile/ FactSheet_Dollarsmart_toolkit.pdf (Links to an external site.)Links to an external site. (Dollarsmart: A financial toolkit for young Australians Websites
Readings Master Statement of Advice document (PDF PowerPoint presentation |
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Week 4 23 July 2018 |
Topic 1 - Provide advice in financial planning: Part 7: The fifth step and Part 8: The sixth step |
PowerPoint presentation Online Multiple Choice Questions |
Assessment Task 1, Workplace Simulated Project – Financial Plan and Financial Statements Download the assessment task from you online learning tool (Canvas). This assessment is a ‘workplace simulated’ project. |
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Week 5 30 July 2018 |
Topic 2 - Develop and prepare financial plans: Part 1 Introduction SoA and Part 2: Strategy development and solutions |
Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, PowerPoint presentation Online Multiple Choice Questions |
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Week 6 6 August 2018 |
Topic 2 - Develop and prepare financial plans: Part 3 SoA construction and Part 4: SoA format |
Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, PowerPoint presentation Online Multiple Choice Questions Activity Why is it important for both the financial adviser and the client to have a well written, clear and concise Statement of Advice? |
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Week 7 13 August 2018 |
Topic 2 - Develop and prepare financial plans: Part 5: Compliance |
Websites http://fpa.com.au/policy/policy-issues/fofa/ (Links to an external site.)Links to an external site. Readings RMIT-Business School- Diploma of Financial Planning Course material PowerPoint presentation Online Multiple Choice Questions Activity Consider the following groups, and briefly outline the interests, and the reason for the interests, each group has in prescribing the contents and style of financial plans. Financial planning groups (Australian Financial Services Licensee) Industry/professional bodies like the Financial Planning Association of Australia (FPA) and the Association of Financial Advisers (AFA)
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Assessment Task 1 -Workplace Simulated Project – Financial Plan and Financial Statements Due Date Week 7 - 13/08/18 |
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Week 8 20 August 2018 |
Topic 3: Present services, advice and products: Part 1 Create rapport with clients and Part 2: Client decision making |
Websites https://en.wikipedia.org/wiki/Body_language (Links to an external site.)Links to an external site. Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, Websites http://www.makefd.com.au/ (Links to an external site.)Links to an external site. Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, PowerPoint presentation Activity How would you modify a plan to ensure that it is a good selling tool?
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Mid Semester Break: 27/8 - 31/8 |
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Week 9 3 September 2018 |
Topic 3: Present services, advice and products: Part 3 Presenting the Plan |
Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, PowerPoint presentation Activity What would happen if a financial planner were to prepare a plan without acknowledging that it is a sales tool? How would it affect the plan? How would it affect the way the client receives it?
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Week 10 10 September 2018 |
Topic 3: Present services, advice and products: Part 4 Implementation |
Websites Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition, PowerPoint presentation Online Multiple Choice Questions Activity Why is getting the client so sign the Authority to Proceed so important? |
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Week 11 17 September 2018 |
Topic 3: Present services, advice and products: Part 5 Ongoing Service |
Readings RMIT-Business School- Diploma of Financial Planning Course material Financial Planning in Australia 6th edition PowerPoint presentation Activity Why do assumptions have to be reviewed each year? |
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Week 12 24 September 2018 |
Topic 4- Neuro-Linguistic Programming and Negotiation |
Readings Engaging NLP for Work (Links to an external site.)Links to an external site. NLP Principles in Negotiations Video Neuro-linguistic programming goal setting (Links to an external site.)Links to an external site. PowerPoint presentation |
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Week 13 1 October 2018 |
Topic 4 - Neuro-Linguistic Programming and Negotiation |
Readings Engaging NLP for Work (Links to an external site.)Links to an external site. NLP Principles in Negotiations Video Neuro-linguistic programming goal setting (Links to an external site.)Links to an external site. PowerPoint presentation |
Assessment Task 2, Supervised Assessment Due Date Week 13 - 01/10/18 Download the assessment task from you online learning tool (Canvas). This is a class room activity |
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Week 14 8 October 2018 |
Topic 5 - Develop and maintain your own knowledge and skills |
Activity - Personal Development Plan and Action Plan Go to your online learning tool (Canvas) and complete the Personal Development Plan and Action Plan for this program. |
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Week 15 15 October 2018 |
Learning Resources
Prescribed Texts
References
Other Resources
Overview of Assessment
In order to achieve competency in this unit, you must provide
Performance evidence
Evidence of the ability to:
- create rapport with the client and discuss financial plans
- provide financial advice to clients when presenting preliminary, amended or final financial plans that:
- complies with industry regulations and codes of practice
- assesses the impacts of taxation, social security, economic and other government policy on client investment and financial requirements within the range of products known to the adviser
- complete and maintain all necessary documentation.
Knowledge Evidence
To complete the unit requirements safely and effectively the individual must:
To complete the unit requirements safely and effectively, the individual must:
- review the generic products available in the financial services industry
- identify issues and discuss the possible impacts of the following on the client's financial planning needs
- relevant economic, taxation and social security policy
- estate planning
- explain investment and savings vehicles, financial markets, asset classes and investment characteristics
- explain the key features of financial markets, the range of financial products as set out in organisational guidelines, and the investment characteristics
- analyse investment risk factors and the relationship to return expectations
- describe the key features of:
- relevant codes of practice and industry financial plan documentation requirements
- requirements related to the disclosure of capacity
- discuss the role of the financial planning adviser and the financial planning practice
- outline the key requirements of legislation and regulations affecting the financial services industry
- describe the internal and external issue resolution processes available to clients in the event of a dispute.
Assessment conditions
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the financial planning field of work and include access to:
- office equipment, technology, software and consumables.
Feedback
Feedback will be provided throughout the semester in class and/or online discussions. You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.
You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course.
Assessment Tasks
This course is comprised of one single competency.
FNSFPL507 - Provide Financial Planning Advice
You will demonstrate competency by undertaking two assessments.The assessments for this course have been designed to allow you to apply your learning to particular workplace scenarios and demonstrate your competence in a variety of ways.
Critical Aspects of assessment are described above in the performance evidence for this course.
Assessment Task 1 -Workplace Simulated Project – Financial Plan and Financial Statements - Due Date 13/08/18 - Week 7
This is assessment Task 1 of a total of 2 assessment tasks. You must successfully complete all 2 tasks to achieve competency in this cluster.
Assessment Instructions
You will be provided with a contract and position description for a Financial Planner at Swanston Banking Group Ltd. You will assume the role of a financial planner at the Swanston Banking Group Ltd and follow the company policies and procedures as if you were a real employee of the bank. You will be allocated an electronic client file that you will be able to access from the Swanston Bank Portal within the Learning hub for the program. The client file will include client details, background of their particular circumstances, a bank statement, pay slips and a superannuation statement.
Assessment Task 2, Supervised Assessment Due Date: Week 13 - 01/10/18
For this assessment task you are required to demonstrate your knowledge by completing an open book in class supervised assessment comprised of a series of theoretical and practical questions including: short answer and mini case studies. The purpose of this task is to assess your understanding of the concepts and issues included in the topics of this course.
What
This assessment task has been designed to allow you to demonstrate your understanding of the kinds of financial information you need to obtain from clients in order to effectively analyse their financial situation. You will take on the role of a financial consultant in Swanston Banking Ltd. (a simulated workplace environment) and design your own financial Fact Find template that could be used by the organisation when interviewing and gathering information from its clients.
Where
Class time will be provided to undertake this assessment task.
How
Students will be assessed according to the criteria outlined in the Criteria for Assessment below. All criteria identified must be addressed to satisfactorily complete this Assessment Task
Assessment Matrix
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Submission Requirements
You should:
Late Submission Procedures You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates. If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days. More Information: https://www.rmit.edu.au/students/student-essentials/assessment-and-exams/assessment/extensions-of-time-for-submission-of-assessable-work Where an extension of greater than seven days is needed, you must apply for Special Consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination. More Information: https://www.rmit.edu.au/students/student-essentials/assessment-and-exams/assessment/special-consideration Resubmissions (VET Programs): If you are found to be unsuccessful in a particular Course Assessment Task (or you do not submit/attend) you will be allowed one resubmission. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible. Grading & re-submissions Successful re-submissions will contribute a CAG only (Competency Achieved Grading) result to your overall grade for the course. Adjustments to Assessment In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website:
Marking Guide (Competency):
You must demonstrate that you have all the required skills/knowledge/elements in the unit of competency you are studying.
You will receive feedback on each assessment task that will inform you about your progress and how well you are performing.
Marking Guide (Grading)
After achieving competency we then grade your performance in the unit and you will achieve one of the following grades: Final Grades table: | |||
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CHD |
Competent with High Distinction |
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CDI |
Competent with Distinction |
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CC |
Competent with Credit |
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CAG |
Competency Achieved – Graded |
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CA |
Competency Achieved – Not Graded |
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NYC |
Not Yet Competent |
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DNS |
Did Not Submit for assessment |
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Further information regarding the application of the grading criteria will be provided by your teacher.
Other Information
Online learning materials can be accessed by going into the RMIT web sites Online Learning Hub.
The online learning materials listed include
- Course outlines
- Power point Presentations
- Supporting Reading material
- Industry relevant articles
- Activities
Course Overview: Access Course Overview