Updates

Financial Planning Symposium 2013-14

On

“Managing Financial Planning Practice Amidst Dynamic

Economic Environment”

Held On

November 18, 2013

At

Mumbai

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Table of Contents

I. Introduction … … … … … … … … … … 2

Introduction of the event

II. Objectives … … … … … … … … … … 3

Objectives of the event

III. Event Details … … … … … … … … … … 4-6 Date, time, venue details, program schedule

IV. Participant Details … … … … … … … … 7

Details of the guests who attended the event

V. Event Report … … … … … … … … … … 8-12 Event Flow and salient points of the speakers etc.

VI. Press Release … … … … … … … … … … 13-14

VII. Media Report … … … … … … … … … … 15

VIII. Conclusion … … … … … … … … … … 16

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I. Introduction

Financial Planning Standards Board India (FPSB India) organized the Financial Planning Symposium 2013-14 on November 18, 2013 at The

Club, D.N. Nagar, Andheri (West), Mumbai-400053 on the theme of “Managing Financial Planning Practice amidst Dynamic Economic

Environment.”

Financial Planning Symposium 2013-14 was a one day event which attempted to connect the financial planning practitioners in India and U.S.

on a common platform along with other stakeholders to deliberate upon the regulatory and practice aspects related to the financial planning

profession.

Ms. Deepa Kotnis, Chief General Manager (CGM), Pension Fund

Regulatory and Development Authority (PFRDA) delivered a Special Address during the inaugural session of the event. A Delegation of 17

leading Financial Planning professionals from U.S. and members of Financial Planning Association (FPA), U.S. participated as speakers and

panelists in the Symposium. Senior professionals from the leading financial sector institutions in India and established financial planning

professionals in India also participated as speakers and panellists. The event witnessed an attendance of over 180 delegates.

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II. Objectives

The objectives of the Financial Planning Symposium 2013-14 were:

To connect all stakeholders in the financial planning community in

India and the U.S. on a common platform and to deliberate upon the regulatory and practice aspects related to the financial planning

profession. To share knowledge and experience of the financial planning

practitioners in India and U.S. with the other stakeholders in the financial planning community and to discuss measures for the

growth of financial planning profession in the interest of the consumers.

To aid the development of financial planning practice in India

through the knowledge insights provided through the deliberations on the Practice Management front.

To communicate about the role of CFP Certification as the highest standard of certification worldwide in the Financial Planning domain.

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III. Event Details

The event details and the program schedule were as below:

Date: Monday, November 18, 2013

Time: 09:00 hrs – 16:00 hrs Venue: The Colonial Hall, The Club, DN Nagar, Andheri (West), Mumbai-

400053

09:00 hrs - 09:30 hrs Registration and Breakfast

09:30 hrs -10:00 hrs

Inaugural Session

Welcome Address by Mr. Ranjeet S. Mudholkar, CFPCM, Vice Chairman

& CEO, FPSB India Special Address by Mr. Richard Salmen, CFP®, Past President,

Financial Planning Association (FPA), and Senior Vice President and Senior Advisor, GTRUST Financial Partners

Special Address by Ms. Deepa Kotnis, Chief General Manager, Pension Fund Regulatory and Development Authority (PFRDA)

10:30 hrs -11:00 hrs

Session I – “Need for Regulations in Financial Advisory – Implications for Financial Planning”

Chairperson of the Session:

Mr. Richard Salmen, CFP®, Past President, Financial Planning Association (FPA), and Senior Vice President and Senior Advisor,

GTRUST Financial Partners

Participants: Mr. Arvind Rao, CFPCM, Chief Planner, Dreamz Infinite Financial

Planners Ms. Catherine Latto, CFP®, President, Latto & Associates, Inc.

Mr. Dan B. Moisand, CFP®, Past President, Financial Planning Association (FPA), and Principal, Moisand Fitzgerald Tamayo, LLC

Mr. Michael B. Keeler, CFP®, President, GFS and Associates Mr. Suresh Sadagopan, CFPCM, Founder, Ladder7 Financial

Advisories

11:00 hrs – 11:15 hrs Tea Break

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11:15 hrs – 12:15 hrs

Session II – “Retirement Planning – The Emerging Scenario in India and the Global Experience”

Chairperson of the Session:

Mr. Richard Salmen, CFP®, Past President, Financial Planning Association (FPA), and Senior Vice President and Senior Advisor,

GTRUST Financial Partners Participants:

Mr. David D. Mirabito, CFP®, Past President, Estate Planning Council (Central New York), and Investment Advisor Representative,

MetLife Ms. Deepa Kotnis, Chief General Manager, Pension Fund Regulatory

and Development Authority (PFRDA) Mr. Kapil Narang, Chief Operating Officer, Ameriprise India Advisory

Services

Ms. Kathleen A. Keegan, CFP®, Former President, Long Island Chapter of the FPA, and Owner, K-M Capital, Inc.

Mr. Satya Mitra, Tax and Financial Consultant, The Guru Tax and Financial Services

Mr. Vishal Kapoor, GM - Wealth Management (India & South Asia), Standard Chartered Private Bank

12:15 hrs – 13:15 hrs

Session III – “Financial Planning and Life Planning”

Chairperson of the Session: Mr. Dan B. Moisand, CFP®, Past President, Financial Planning

Association (FPA), and Principal, Moisand Fitzgerald Tamayo, LLC Participants:

Ms. Barbara J. Gawdzik, CFP®, Financial Planner, David A. Noyes &

Company Mr. David Rehrer, CFP®, CRPC®, Senior Vice President Wealth

Management, Merrill Lynch Mr. Lovaii Navlakhi, CFPCM, Founder and CEO, International Money

Matters Pvt. Ltd. Ms. Mary E. Zimmerman, CFP®, RLP®, Owner, PATH Financial

Strategies, LLC Mr. Rajendra Kalur, CFPCM, CEO, TrustPlutus Wealth Managers (I)

Pvt. Ltd. Mr. Richard Salmen, CFP®, Past President, Financial Planning

Association (FPA), and Senior Vice President and Senior Advisor, GTRUST Financial Partners

Mr. Sudip Bandyopadhyay, MD and CEO, Destimoney Securities

13:15 hrs-14:00 hrs

Lunch Break

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14:00 hrs-15:00 hrs

Session IV – “Segmenting Practice – Serving Different Demographics and Segments”

Chairperson of the Session:

Mr. Dan B. Moisand, CFP®, Past President, Financial Planning Association (FPA), and Principal, Moisand Fitzgerald Tamayo, LLC

Participants: Ms. Bonnie Suveerachaimontian, Lifestream Financial

Mr. James R. Littleton, Owner, J.R. Littleton Associates Ms. Jane Beule, CFP®, President, Griffin Black, Inc.

Mr. K. Wade Carpenter, Partner, Summit Wealth Advisors Ms. Poonam Rungta, CFPCM, Director, LJ Business School

15:00 hrs-16:00 hrs

Session V – “Delivering Financial Planning – The Growing

Emphasis on Soft Skills”

Chairperson of the Session: Mr. Dan B. Moisand, CFP®, Past President, Financial Planning

Association (FPA), and Principal, Moisand Fitzgerald Tamayo, LLC Participants:

Ms. Amy Jo Lauber, Owner, Lauber Financial Planning Mr. Hari Maragos, CFP®, Senior Financial Planner - Principal SMSF

Specialist Advisor™, Victoria Wealth Management Pty Ltd. Mr. Mukesh D. Dedhia, CFPCM, Managing Director, Ghalla & Bhansali

Securities Pvt. Ltd. Ms. Susanna Tang, CFP®, Chairperson, Silicon Valley Chapter of the

Financial Planning Association Mr. Vivek Rege, CFPCM, Managing Director, V R Wealth Advisors Pvt.

Ltd.

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IV. Participant Details

The event was attended by all stakeholders including Senior Professionals

from the Financial Sector Institutions, leading financial planning practitioners in India and U.S., CFPCM Certificants, Students of the CFPCM

Certification Program, and the professionals from the Media. The snapshot of the Participant List across all categories is as below:

Participant List-Snapshot

S. No. Participant Category

Attended

(Numbers)

1 CFPCM Certificants 42

2

Professionals from the Charter Member Organizations 32

3 Education Partners 11

4 Media Representatives 08

5 Regulators 01

6 Speakers/Panelists 31

7 Students of CFPCM Certification Program 14

8 FPSB India Staff 18

9 Others 23

Total 180

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V. Event Report

The deliberations were conducted through the following five sessions:

Session I – Theme “Need for Regulations in Financial Advisory –

Implications for Financial Planning”

Session II – Theme “Retirement Planning – The Emerging Scenario

in India and the Global Experience”

Session III – Theme “Financial Planning and Life Planning”

Session IV – Theme “Segmenting Practice – Serving Different Demographics and Segments”

Session V – Theme “Delivering Financial Planning – The Growing

Emphasis on Soft Skills”

Inaugural Session

Mr. Richard Salmen, former President of the FPA and the

leader of the FPA Delegation to

India stated that there has been an effective switch from the

“Commission and Fee-based Model” to the “Fee only” model in

the US. The latter emphasizes „Process‟ over „Products‟ and

necessarily involves infusion of a value proposition on an ongoing

basis.

Ms. Deepa Kotnis, Chief General Manager, PFRDA touched upon

critical features of the National Pension System while stressing

on its low costs and dynamic

asset allocation to achieve the most important goal of an

individual – Retirement. She stated that pension and

retirement solution is a vastly ignored financial goal, and also

said, “We can be young without money, but cannot be old without it”.

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Session I – “Need for Regulations in Financial Advisory –

Implications for Financial Planning”

Mr. Arvind Rao emphasized the need for regulation by

giving analogy of cops manning a traffic signal, and

also the need to adapt to changing scenario. Ms.

Catherine Latto said that the rules of business are fast

changing. We need to embrace rules and regulations and use

them to our advantage. Mr. Dan Moisand said that the

regulations have increased the cost of compliance significantly including

the requirement to document the advisory process. He agreed that they are in the ultimate interest of the client. Mr. Mike Keeler also agreed with

Mr. Moisand that the compliance requirements are on the rise but the rules and regulations are really important for transparency and a level

playing field. Mr. Suresh Sadagopan however was of the view that the Investment Advisers Regulations in India have not been able to

completely address the real concerns of individual advisors and may have favoured institutions, thus actually making the field uneven.

Session II – “Retirement Planning – The Emerging Scenario in

India and the Global Experience”

Ms. Deepa Kotnis said that the literacy about the post-

retirement finances of a

retired couple is very low in India. Mr. Kapil Narang

substantiated this by quoting a Survey conducted by their

firm Ameriprise, which revealed that 24% of

respondents rated retirement as their important goal.

Though it is up from 10% of the respondents a year ago, it is still very less. He quipped that there is

no loan for financing retirement of an individual though all other goals could be financed. Mr. Satya Mitra said that time is an important metric

to assess the retirement goal, whether time left for retirement of time after retirement. Both accumulation and distribution require a good

balancing act. Financial education would help a client to appreciate this

goal. Mr. Vishal Kapoor stated that the accumulate capital has little

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relevance in itself unless it is seen in the context of providing an inflation-

adjusted annuity till the survival of the retired couple. This is a challenge which is aggravating in the face of low returns and a tenacious

inflationary environment.

The session had some interesting questions posed by professionals participating in the Symposium, viz. increasing longevity vs. early

retirement, post-retirement aspirations – ideal need vs. optimal need. Also discussed was the fact that NPS could supplement other investment

avenues by filling the gaps. It was concluded that there are various tools to customize a client‟s retirement solution. However, the skill to use these

tools is where the financial planner comes into prominence.

Session III – “Financial Planning and Life Planning”

Ms. Barbara J Gawdzik said

that Life Planning is an overarching domain of which

the goal-based planning is a subset. Mr. Lovaii Navlakhi

compared Life Planning to a scenario where the Financial

Planning is science to the extent of 10% only, the

remaining is art. He emphasized the „Right‟

brained financial adviser as the evolution of the

profession of late. This is all about communicating with the client with her interest as supreme and with a view to eliciting the right behaviour which

would serve the purpose. Life planning is all about knowing and

actualizing the purpose of life. Mr. Rajendra Kalur said that Life planning is more than money. It goes beyond just Financial Planning and it is about

adding richness to the client than making her just rich. He stated that Life planning is Financial Planning done at a higher level.

Mr. Sudip Bandyopadhyay identified four critical components of Life planning, these are: Life Protection, Health Protection, Wealth Creation,

and Wealth Protection. It is not purely financial but touching and fulfilling a greater part of a client‟s life. Ms. Mary E Zimmerman said Life planning

moves a stage beyond financial planning to the ultimate goal of financial independence. It is a not only the achievement of money goals but that

extra something which lend purpose to life.

It is true that it is money that allows life to be lived in the way we want to live. Financial planning leads us to a definite outcome in terms of money

and its uses. Life planning on the other hand gives a series of outcomes

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than a simple straight outcome in terms of numbers. It provides purpose

to money and is fulfilling on reaching the goals.

Session IV – “Segmenting Practice – Serving Different Demographics and Segments”

The session deliberated on

segmentation of financial planning practice across

demographics such as age, gender, work profile,

geography, etc. for building the required focus and

expertise. Ms. Bonnie Suveerachaimontian and

Ms. Jane Beule said that

their practice targets mainly IT professionals what can be

considered as the profession segment of their focus. The specific nature of job and cash flows

generated need to be addressed differently. Mr. James R. Littleton emphasized the segmentation of his business being pre-retirees and just

retired. The challenges posed by the sufficiency of money, the sustenance strategy including the option and timing of resorting to social security and

health issues need a different focus than meeting the working life needs of other clients. It is all about alignment of your practice to suit your style

and specialization. Ms. Poonam Rungta said that in India, financial planning itself is in nascent stage and there is little scope of

segmentation. However, the focus and methodology of dealing with diverse segments has to be different and creates its own challenge.

Session V – “Delivering Financial Planning – The Growing Emphasis on Soft Skills”

Soft skills are an essential

component of any profession, more so for

financial planning given its dynamic aspects touching

various aspects of an individual and household.

There are technical skills and abilities to create outcome in

terms of numbers and achieving financial solutions.

These solutions may often

fall short of fulfilling what

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can be termed as objectives of an individual. There is more to an

individual‟s life than money. It is the emotional quotient and being in calm control of one‟s life which is more important.

Ms. Amy Jo Lauber started with this crucial difference in achieving the

right balance for the client. Mr. Hari Maragos furthered the subject to become an adviser who can be counted by the client in all situations:

financial, personal and emotional in a sort of trusted professional. Mr. Mukesh Dedhia stressed upon the important attribute of not being too

intrusive but yet get the client to do the things what you want. This he referred as „Nudging‟ without openly communicating with the client. This

is more about creating a learning curve for the client and creating a long lasting relationship. Mr. Vivek Rege compared the soft skills to the inbuilt

trait of an adviser‟s personality which complement the technical skills in performing the job.

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VI. Press Release

The Press Release of the Event was as below:

FPSB India organized the Financial Planning Symposium 2013-2014

Mumbai, November 18, 2013: Financial Planning Standards Board

India (FPSB India), the Professional Standards Setting body for financial planners in India, organized the Financial Planning Symposium 2013-2014

on the theme of “Managing Financial Planning Practice amidst Dynamic Economic Environment.”

Financial Planning Symposium 2013-14 was a one day event which

attempted to connect the financial planning practitioners in India and U.S.

on a common platform along with other stakeholders to deliberate upon the regulatory and practice aspects related to the financial planning

profession. Over 20 leading Financial Planning professionals from U.S. and members of Financial Planning Association (FPA), U.S. participated as

speakers and panelists in the Symposium. The deliberations were conducted through the following five sessions:

Session I – Theme “Need for Regulations in Financial Advisory –

Implications for Financial Planning” Session II – Theme “Retirement Planning – The Emerging Scenario

in India and the Global Experience” Session III – Theme “Financial Planning and Life Planning”

Session IV – Theme “Segmenting Practice – Serving Different Demographics and Segments”

Session V – Theme “Delivering Financial Planning – The Growing

Emphasis on Soft Skills”

The Symposium presented an opportunity for the senior industry professionals, financial planning practitioners as well as other

stakeholders to share their knowledge and experience and to discuss measures for the growth of financial planning profession in the interest of

the consumers.

Ms. Deepa Kotnis, Chief General Manager (CGM), Pension Fund Regulatory and Development Authority (PFRDA) said, “I believe that

Employee Provident Fund (EPF) is not a competitor to National Pension System (NPS) as EPF is not a Retirement Product as people withdraw

from their accounts over the years and at the time of their Retirement not much is left to buy annuities. Presently with PFRDA Act into the place, we

are working on the further regulations including the regulations for

Retirement Advisers, and FPSB India is amongst the institutions we are

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engaging for the promotion of NPS through Certified Financial Planners

(CFP) Certificants and for the establishment of regulations of Retirement Advisers as well.”

Mr. Ranjeet S Mudholkar, Vice Chairman & CEO, Financial Planning

Standards Board India (FPSB India) said, “FPSB India is pleased to facilitate in-depth interactions amongst the Financial Planning community

in India and U.S. We believe that apart from the mutual exchange of knowledge amongst participants, such interactions would also lead to the

further progression of the Financial Planning industry in the interest of consumers.”

Mr. Richard Salmen, Leader FPA Delegation, and Past President-

Financial Planning Association (FPA) said “While speaking with the Indian Financial Planners we have learnt about the challenges they face

transitioning from a Commission based compensation structure to a Fee

based compensation structure. Indian Financial Planners need to know that this transition has been taking place in the U.S. for many years.

When Financial Planners focus on the value of the process and communicate the same to their clients, then these clients are more willing

to pay fees.”

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VII. Media Report

The event generated a positive media coverage, the details of which are as below:

Print Media Coverage

S.

No. Date

Publication

Name City Page Article Title

1

November

19, 2013

Maharashtra

Times Mumbai 8

NPS does not have a

competition with EPF

2 November 20, 2013 Navshakti Mumbai 14

Provident Fund is not Retirement Product

3 November 20, 2013 Prahaar Mumbai 9

Financial Planning is the need of the hour

4 November 20, 2013 Surajya Pune 3

Financial Planning Symposium organized

5

November

20, 2013 Loksatta Mumbai 8 Symposium organized

6

November

20, 2013 Mint Mumbai 16

Why financial planners

need soft skills

7

November

20, 2013 Mint Mumbai 16

People are uneducated

about real returns

8 November 23, 2013

Hindustan Times Mumbai 14

Why financial planners need soft skills

Online Media Coverage

S. No. Date

Publication Name

Article Title Article Link

1 November 18, 2013

India News Times

FPSB India organizes

the Financial

Planning

Symposium 2013-2014

http://tinyurl.com/nwyhvdv

2 November

18, 2013 Café Mutual

PFRDA to create new

distribution force for

NPS

http://tinyurl.com/qd6y78n

3 November

20, 2013 Café Mutual

FPSBI holds Financial

Planning Symposium

http://tinyurl.com/m3lhsur

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VIII. Conclusion

The event was successful in terms of reinforcing the strong connection

amongst the Financial Planning community in India and U.S. Various practice management aspects were deliberated in the sessions which

helped financial planners in India and U.S. in understanding the commonalities between their practices, discuss the common issues, and

seek way forward with their Financial Planning practices.

The FPA delegation was in general pleased with the Financial Planning practice taking roots in India in true sense rather than institutionalized

dissemination of financial products. They reposed faith in the practices here right from client engagement through periodical plan monitoring.

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