An independent association of financial planners has slammed the Financial Planning Association's CFP designation as a "cash cow", saying it is something about which the public just doesn't care.
In an attack on the longstanding CFP qualification which recognises planners for higher levels of qualification and experience, AIOFP executive director Peter Johnston said it is just a "cash cow" for the association.
“You’ve got 3,000 people paying a couple of thousand dollars a year to have the CFP designation after their name. And we think it’s a high price to pay to have it – particularly if it’s not recognised by the public,” he told Australian Broker Online's sister publication Wealth Professional.
Johnstone was quick to add that any attempt in the industry to make sure that advisers are appropriately educated, and to lift the overall standard of financial advice in Australia, is important, but he remained critical of the CFP system.
“We think the CFP’s better than nothing, of course. Anything to lift the standards is good. But we can’t see any value in someone being a CFP if they’re working for a bank,” he said. “Because they’re there to sell bank products, and we can’t see any value in that.”
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