Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to determine client's financial requirements and expectations. It encompasses informing the client of the financial planning process and service, obtaining relevant information on their existing financial situation and expectations with respect to financial planning service offered by the representative, and preparing and updating necessary documentation. This unit is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements including legislation administered by the Australian Securities and Investments Commission (ASIC). |
Application of the Unit
Application of the unit |
This unit has application to job roles such as trainee financial planners, financial planners and para-planners. |
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Prerequisite units |
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Employability Skills Information
Employability skills |
This unit contains employability skills. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
1. Inform client of the financial planning process and services |
1.1. Financial planning process and role and any limits of authority of the representative are explained to the client 1.2. The licensees and principals of the organisation and services and capacity of the organisation, including any relationship to other financial services are explained to the client 1.3. Fees and charges are explained to the client and the client's understanding of these confirmed before proceeding with delivery of service 1.4. Clients with special needs are identified and appropriate action taken or referral made 1.5. Procedures for internal and external complaints handling and resolution are explained to the client |
2. Obtain relevant information on client's existing financial situation |
2.1. Facts and information relevant to the client's particular service request are obtained and confirmed 2.2. Client's expectations , requirements and objectives are identified with clients encouraged to disclose relevant information to determine their personal/financial situation and any special needs 2.3. Relevant information on investments and assets held by the client and their current income, expenditure and liabilities situation are obtained 2.4. A summary analysis of client's financial position is developed based on extent of client disclosure and requirements 2.5. Risk and fraud indicators are identified accurately and consistently and all information is checked for consistency and potential conflict |
3. Determine client expectations and requirements with respect to financial planning service offered by the representative |
3.1. Client is encouraged to express and clarify their expectations from the financial planning process with any concerns identified and responded to promptly and appropriately 3.2. Client's income and investment needs, preferences and priorities are established 3.3. Risk issues and tolerance are explored comprehensively and ethically with the client 3.4. A determination is made that the service being sought is within the capability and authority of the authorised representative 3.5. A referral to another internal representative is made if service required by client is beyond scope of the representative 3.6. Specialist advice is sought where necessary or client is referred to appropriate personnel or organisation where required services are not available or cannot be provided by the practice |
4. Prepare and update necessary documentation where required |
4.1. All relevant client facts, information and financial/personal histories are documented, checked with the client and managed confidentially in accordance with company policy and guidelines and relevant legislation and industry codes of practice 4.2. Client records are created or updated when necessary 4.3. Client documentation , information and histories are filed in a format and location that is readily accessible |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
This section describes the skills and knowledge required for this unit. |
Required skills |
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Required knowledge |
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Evidence Guide
EVIDENCE GUIDE |
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The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. |
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Overview of assessment |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the ability to:
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Context of and specific resources for assessment |
Assessment must ensure:
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Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
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Guidance information for assessment |
Range Statement
RANGE STATEMENT |
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The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. |
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Clients may include: |
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Clients with special needs may include: |
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Client's expectations and requirements may include: |
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Relevant information may include: |
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Company policy and guidelines may include: |
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Relevant legislation and codes of practice may include: |
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Documentation may include: |
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Unit Sector(s)
Unit sector |
Financial planning |
Competency field
Competency field |
Co-requisite units
Co-requisite units |
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