This 2-day seminar is designed to help you review the most challenging areas of the second exam of the Applied Financial Planning (AFP) Examination. It will offer a variety of activities designed to strengthen your understanding of AFP concepts and applications.
What You'll Learn
In-class activities will include:
- A review of key concepts
- Sample Case Studies
- Sample exam with group debrief
- Exam writing strategies
You must have completed the study portion of the AFP course. If you are planning to write the AFP 2 exam for the first time or you are preparing for additional attempt, you'll benefit from a structured review with an industry expert and practitioner to better prepare yourself.
1. Review of Current Situation and Objectives
- Family Demographics
- Financial Goals
- Overview of Current Finances
- Investors Profile
- Other Pertinent Financial Data
- Potential Gaps
- How to fill in a Client Profile table.
- How to identify and explain changes in the financial plan that should be addressed.
2. Financial Management Analysis
- Net Worth statement: How to fill in a Net Worth statement template
- Cash Flow statement: How to fill in a Cash Flow statement template
- Review important Time Value of Money concepts from the previous courses needed to fill in the above tables.
- How to use the information shown in the Net Worth statement and Cash Flow statement to give advice to the client to improve their financial situation based on their goals.
3. Retirement Analysis
- Review how to determine the gross and net income received from each of the common retirement income sources (RRSP, TFSA, Non-registered, CPP, OAS, DCPP, DBPP).
- Review what recommendations we can give to the client based on whether or not they can reach their retirement goal.
- Review important Time Value of Money concepts from the previous coursed needed to do the retirement income calculations.
4. Risk Planning/Management Analysis
- Review how to identify gaps in insurance coverage and give advice on solutions required to fill the gaps.
- Review main features of critical illness insurance, disability insurance, life insurance, group insurance, medical insurance and auto/home/liability insurance.
5. Tax Planning Analysis
- Review the key areas of a comprehensive tax plan, including the four D's of tax planning (Deductions & credits, Deferral, Divide, Dividend)
- How to identify tax planning opportunities the client is not taking advantage of and how to give advice to reduce their overall tax bill.
6. Asset Management Analysis
- Review the key areas of a comprehensive investment plan, including risk exposures, asset allocation, tax efficiency, liquidity and diversification).
- How to review a client's current investment strategy and give advice on improving their situation based on their goals.
7. Estate Planning Analysis
- Review the key areas of a comprehensive estate plan, including wills, power of attorneys, executors, guardians, probate, trusts, estate freezes, and donations.
- How to review a client's current estate plan and give advice on improving their situation based on their goals.
8. Review the best exam writing practices including:
- How to focus your studies to best prepare before the exam
- Your mindset when in the exam room
- How to read the case study and take notes efficiently
- Knowing which sections of the exam should be done first
- How to manage your time during the 3 hour exam