What is a Certified financial planner? Let’s Find Out in This Article!

financialtreat – will explain What is a Certified financial planner? Let’s Find Out in This Explanation! which you will find in the following article. let’s look at this article carefully!

A Certified Financial Planner (CFP) is a formal recognition of expertise in financial planning, tax, insurance, estate planning, and retirement. CFP is one of the recognized financial planner certifications in Indonesia.

This certification is issued by the Financial Planning Standards Board Indonesia (FSPB) to a financial planner who completes the exam given by the FSPB. The Certified Financial Planner program in Indonesia is divided into four levels, namely CFP

  1. 1, CFP
  2. 2, CFP
  3. 3, and CFP
  4. Each level is distinguished based on its expertise as follows.

What is a Certified Financial Planner? Let’s Find Out in This Explanation!

  1. CFP 1: risk management and insurance planning
  2. CFP 2: investment planning
  3. CFP 3: retirement planning, taxes and wealth distribution
  4. CFP 4: financial planning practice – case study

After obtaining this certification, the candidate can pursue an annual continuing education program to maintain his skills and certification.

Requirements to Get Certified Financial Planner

To earn a CFP, candidates must meet in four areas: formal education, performance on the CFP exam, relevant work experience, and demonstrated professional ethics. The educational requirements consist of two main components. The candidate must verify that he or she holds a bachelor’s degree or higher from an accredited university or college.

Second, candidates must complete a list of specialized courses in financial planning, as determined by the FSPB. Most of these second requirements are usually waived if the candidate already has a degree in another finance profession.

Exceptions are also granted if the candidate has a minimum master’s degree in a related field. The candidate must also prove that he or she has at least three years of full-time professional experience in the industry, or one year of internship experience under the guidance of a mentor.

Lastly, candidates must adhere to the FSPB’s standards of professional conduct. It should also regularly report information about their involvement in various fields to the FSPB.

Who can join the Certified Financial Planner?

To take part in the CFP program, you are required to first have a high school education degree or a higher degree obtained from an accredited college.

Well, besides that, the CFA program participants are intended for those of you who have jobs as financial consultants, accountants, lawyers, notaries, tax consultants, investment advisors, insurance agents, estate planners, investors, capital market marketing and sales, family business practitioners and marketing bancassurance.

Benefits of the Certified Financial Planner program

There is a lot of material to be learned when participating in the CFP program as described above. This lesson is certainly very useful for everyone who follows this CFP certification program. The following are some of the other benefits of joining the Certified Financial Planner program, including:

  • Participants who pass the certification will have a professional degree from the FPSB which is recognized by the National Professional Certification Agency that applies both nationally and internationally.
  • Understand the many aspects of financial, tax, investment and inheritance planning
  • Increased sales value in the world of work and also work competence
  • Increase credibility to become a professional financial planner

How to Get Certified Financial Planner

The Certified Financial Planner degree is certainly not easy to obtain. As discussed above, the first requirement that prospective participants in the CFP program must meet is formal education.

Reported from several sites, the formal education in question is a minimum high school education degree with the provisions that have experience working in the financial services industry for at least 6 years. For those of you who have a bachelor’s degree or higher and obtained from a university with good accreditation, the requirement for working experience in the financial services industry is 3 years.

Now for the requirements to get a CFP professional title, prospective participants must meet the process determined by FPSB I, namely:

1. Education

Before participating in the certification, the candidate must first attend the CFP certification program education. This education is organized by educational institutions that have collaborated with FPSB Indonesia.

2. Exam

After completing the education, new candidates are allowed to take the certification exam. The exam is conducted over two three-hour sessions in one day. Each session has a rest period of 40 minutes.

The CFP exam consists of 170 multiple choice questions covering more than 100 topics related to financial planning. The scope of the exam is adjusted to the level of CFP certification taken. Candidates will also be tested on the candidate’s skills in building un-planning client-relationships and gathering relevant information.

2. Cost

Reporting from the FSPB, the cost of CFP certification is IDR 1,400,000 per year. Candidates can also take certification every two years for a fee of IDR 2,800,000. If the candidate only wants to take CFP certification at a certain level, here are the fees.

  • IDR 500,000/exam for CFP 1, CFP 2 and CFP 3.
  • IDR 1,200,000/exam for CFP 4.

3. Certificate validity period

The financial advisor certificate is valid for 2 years. To renew the certificate, the CFP holder must meet the following requirements.

  • have 40 CPD (Continual Professional Development) points
  • meet the requirements / do not violate the Indonesian FPSB Code of Ethics
  • pay the certification fee
  • The description above is what you need to know about CFP or Certified Financial Planner.

How Long is the CFP Certification Exam?

The new cfp exam may be taken after you have complete formal education or require special courses. Usually, the cfp certification exam is conducte for six hours which is divide into two sessions with a break of forty minutes.

The scope of the exam will be adjuste according to the level of cfp you take. The Certifie Financial Planner exam consists of one hundre and seventy multiple choice questions with material covering more than one hundre topics relate to financial planning.

You will be teste on your client-planner relationship building skills as well as how to gather relevant information.

CFP Certification Requirements

FPSB Indonesia requires candidates to fulfill the 4 E process, namely: Education, Examination, Experience and Ethics.


Candidates must complete the CFP certification program education organize by educational institutions that have collaborate with FPSB Indonesia, namely universities and other educational institutions.


After completing the education program in point 1 above, candidates are require to take an exam organize by FPSB Indonesia. The exam is in the form of multiple choice. The exam fees are as follows:

  • 500,000/test for CFP1, CFP2 and CFP3
  • 1,200,000/exam for CFP4

The fee must be paid at least 2 weeks before the exam. The fee for repeating the exam is the same as the exam fee.

Experience (Work Experience)

Candidates must have at least 3 years of work experience in a financial services relate field.


Candidates must sign an agreement to adhere to the CFP professional code of ethics. By agreeing to the code of ethics, the candidate has expresse his agreement to accept all actions deeme necessary, including the revocation of the certificate from the person concerne if he violates the code of ethics. Every CFP professional has the right to appeal in an attempt to prove his or her innocence.

CFP Certification Fee Requirements

CFP Certification Fee

IDR 1,400,000/year, IDR 2,800,000/2 years

Especially until December 31, 2021, direct payments for 2 years will get 10% relief from the certification fee for the second year.


Read more financial Lawyer:

CFP Recertification Requirements

CFP certification is valid for 2 years. To extend the certification, each CFP professional must meet the following requirements:

  • have 40 CPD (Continual Professional Development) points to be able to extend the validity period of the certification for the next 2 years
  • meet the requirements / do not violate the Indonesian FPSB Code of Ethics
  • pay the certification fee according to point B
  • In order to maintain the quality of its members, FPSB Indonesia requires renewal of CFP certification (recertification) and imposes consequences for the failure of CFP professionals to meet the renewal requirements.

Failure to meet certification renewal requirements can be cause by:

  • does not meet the requirements of CPD points
  • fail to comply with all ethical requirements and professional responsibilities
  • fail to apply for an extension within the stipulate timeframe or did not pay the certification fee
  • If you fail to meet the recertification requirements, then you are not permitte to use the CFP mark in any form, including business cards, letterheads, resumes, telephone directories, brochures, flyers, advertisements, signage and any form of online and offline promotional materials.

Those are some explanations about CRF (Certifie Financial Planner). May be useful!

Leave a Comment