CPD Workbook

1. CPD Workbook A journey through the regulatory CPD requirements to ensure you can implement them and can differentiate between the responsibilities of your firm and Accredited Bodies

2. Competence? • “Of course I am competent, I have a SPS to prove it” • Why is this statement wrong?

3. Competence? • “Of course I am competent, I have a SPS to prove it” • Why is this statement wrong? • SPS is not a certificate of competence. • Confirmation of competence is owned by the firm • You cannot trade without a SPS

4. Identification of needs • What process do you follow to identify an adviser’s training needs?

5. Identification of needs • What process do you follow to identify an adviser’s training needs? • Needs to cover the whole job • Knowledge needs to be anchored against APEX standards • Need to consider changes in products, regulation and legislation • Special attention for knowledge fade • Only CPD that relates to advising on retail investment products will be recognised by ABs • Still need to deal with corporate generated training needs

6. Aims, objectives and outcomes • What is the difference between an aim, objective and outcome?

7. Aims, objectives and outcomes • What is the difference between an aim, objective and outcome? • Aim – overall purpose • Objective – the method to be used • Outcome – what people should be able to do or understand by the end of the training or development

8. Aims, objectives and outcomes • Write an aim, objectives and outcomes for this training you are currently undertaking

9. Aims, objectives and outcomes • How will you measure the outcome(s) you have defined? If you cannot measure it is not a true outcome.

10. Aims, objectives and outcomes • What training have you undertaken with supervisors to ensure that they can identify training needs and construct appropriate CPD plans? • Produce a list of appropriate verbs that could be useful in helping construct outcomes

11. Aims, objectives and outcomes • Produce a list of appropriate verbs that could be useful in helping construct outcomes • Describe, Explain, Identify, Analyse, Compare, Demonstrate, Plan, Develop, Use • Use action orientated verbs – conduct, show, obtain, secure, debate, improve, reduce, overcome • Really powerful if outcome is measured by business volume or quality or enhanced customer experience

12. Measuring outcomes • What methods do you use to measure whether an outcome has been effective?

13. Measuring outcomes • What methods do you use to measure whether an outcome has been effective? • Needs to be relevant to the outcome • Could be a test, role play or even a case study • Could be through live observation • Could be based on feedback or surveys • Could be on KPI performance

14. Reflective statements • How could the following statement be improved? The example calculations provided within the learning material have helped me develop a better understanding of the methods of calculating premiums. I now feel confident that I have the required technical knowledge in this area

15. Reflective statements • How could the following statement be improved? The example calculations provided within the learning material have helped me develop a better understanding of the methods of calculating premiums. I now feel confident that I have the required technical knowledge in this area Lack of specific detail of actual types of premium calculation So generic it can be repeated or tweaked without much thought into the real value of the learning

16. Reflective statements • What steps have you taken to ensure that reflective statements are not just a collection of the same, bland comments that are more associated with satisfying a process rather than an individual development experience

17. FSA CPD criteria • (2) maintain the retail investment adviser's knowledge by reference to current qualification standards relevant to the retail investment adviser's role; • (3) contribute to the retail investment adviser's professional skill and knowledge; • (4) address any identified gaps in the retail investment adviser's technical knowledge; How do you ensure that all these FSA requirements are met?

18. FSA CPD criteria • (2) maintain the retail investment adviser's knowledge by reference to current qualification standards relevant to the retail investment adviser's role; • (3) contribute to the retail investment adviser's professional skill and knowledge; • (4) address any identified gaps in the retail investment adviser's technical knowledge; How do you ensure that all these FSA requirements are met? These are Guidance as opposed to rules subject to enforcement. It is possible to justify skills development relevant to the role but not cross referred to Apex standards Some Accredited Bodies might have a different opinion Poor drafting by the FSA

19. Types of CPD • The ABs have different interpretations of the FSA Guidance. Can you think of specific examples to demonstrate this?

20. Types of CPD • The ABs have different interpretations of the FSA Guidance. Can you think of specific examples to demonstrate this? • IFS require CPD to be cross referenced to Apex standards to qualify as structured CPD • CII will potentially accept reading undertaken as structured CPD

21. Record keeping • How do you ensure that the records being kept by the adviser for submission to their Accredited Body are an accurate reflection of CPD undertaken, will meet the AB standards, be sufficient for SPS purposes. How do you record CPD undertaken in respect of non regulated job responsibilities

22. Record keeping • How do you ensure that the records being kept by the adviser for submission to their Accredited Body are an accurate reflection of CPD undertaken, will meet the AB standards, be sufficient for SPS purposes. How do you record CPD undertaken in respect of non regulated job responsibilities • CISI will approve appointed verifiers of CPD • Accredited bodies will work with firms but approaches vary

23. Firm Access Do Accredited bodies allow firms access to advisers records? If so in what format?

24. Firm Access

25. CPD Hours • How do you ensure that your advisers complete 35 hours of qualifying CPD on a rolling 12 month basis

26. CPD Hours • How do you ensure that your advisers complete 35 hours of qualifying CPD on a rolling 12 month basis Periodic checking essential but hours is only one measure

27. Job changers • An adviser joins your firm and is a member of an Accredited body different to the one that all your other advisers belong. What actions will you take bearing in mind that each Accredited body interprets CPD requirements differently

28. Job changers • An adviser joins your firm and is a member of an Accredited body different to the one that all your other advisers belong. What actions will you take bearing in mind that each Accredited body interprets CPD requirements differently You will need to ensure that you have a policy for dealing with this as the choice of the AB is really an individual choice. There is an unwritten rule that CPD across Abs is transferrable insofar what has been approved by one will be acceptable to the other

29. Who’s responsible for what? • Draw up a list that differentiates between the requirements of a firm and those of an Accredited body.

30. Who’s does what?

31. Some interesting points • IFS CPD Manager states that CPD must cross refer to Apex standards to qualify as structured though it does not state this in their brochure • CII will allow you to do all CPD to complete additional qualifications with no apparent concerns on how an adviser keeps up to date • CII wording states that “It is important to note that this CPD requirement is not an additional requirement to development activity ordinarily undertaken in the course of an individual’s employment, but incorporates this.” • FA creates CPD activities from news articles though you need to get 100% in test to create a CPD record • Tensions could occur when advisers are completing only 35 hours of CPD