Turning obstacles in fuel for growth - a personal reflection
Photo by Kaboompics via Pexels
I passed the CFP® exam this week. Here's why I think it's a big deal.
Facing Challenges
Stephanie Bogan, a business coach to financial advisors, recently said this:
Imagine if every challenge you face was actually an opportunity in disguise. What if, instead of seeing obstacles as setbacks, you saw them as fuel for your growth?
Is there a challenge you are facing right now? What if you thought of it as fuel for growth?
I have wanted to become a CERTIFIED FINANCIAL PLANNER® for many years. But it always felt like it wasn't the right time, or it was too big of a task to take on, or what was the point, really, when I was already a financial advisor working for myself.
CFP® certification has come to signify the gold standard in financial planning. CFP® professionals take a holistic, personalized approach to financial planning, acting as a fiduciary when providing financial advice to clients, which means putting your best interests first. These are values that I already implement in my practice, but becoming a CFP® professional requires an additional level of education and experience; passing a rigorous exam; and upholding ethical standards that benefit the public.
An Inspiring Client and the “Michael Jordan” of Financial Planning
A few years ago, I met with a prospective client. She told me proudly about the business she started, based on doing something she loved. She described the journey she undertook to become the best in Chicago in her area of specialty, and she founded her business on that principle of being the best. I thought to myself, If I want to serve my clients as best as I possibly can, it seems valuable to gain any skill and education that will help me do so. Why don't I become a CFP® professional?
So, despite feeling old, late to the party, too busy, and not ready for the challenge, I enrolled in the first of seven required classes to fulfill the education component of certification. That same month, I attended XY Planning Network's annual conference and had the opportunity to speak with Michael Kitces, who's like the Michael Jordan of the financial planning world. He asked me, "What's holding you back from doing what you know you need to do?" Tears filled my eyes as I realized that nothing was holding me back - other than my belief that it would be too hard, and that I wouldn't be able to do it. I realized I only needed to take the first step.
Education and Exam Prep
I continued taking one class at a time, over two years. The CFP® coursework includes classes on the core areas of financial planning (fundamentals, insurance, investments, tax, retirement, estate planning). While some of the content may seem a bit impractical for everyday work (determining mortgage payments on a calculator for example), I’ve already had many opportunities to apply relevant new knowledge in my work with clients.
I’ve been a financial advisor for more than 10 years, and my first teacher was my dad, who I was fortunate to work with for many years. The book learning of the CFP® coursework has been a fantastic supplement to the knowledge I already had from years of doing the work.
One of the most challenging components of CFP® certification is passing a rigorous, 6-hour exam. The exam typically has a pass rate of less than 65%. I studied about 300 hours over three intense months including many early mornings and weekends. I’m so glad to have this part of the journey behind me now, and I'm grateful for the support of family and colleagues around me who have encouraged me and pitched in to get me through these past few months.
In the US, there are a little more than 100,000 CFP® professionals, and of those, about 24% are women and 18% are non white according to the CFP® Board. Having more diversification in our profession can help bring financial planning to a more diverse group of clients as well. As a woman, I am grateful to be one step closer to CFP® certification. And I'm especially grateful to the clients who walk together with me on their personal journey of utilizing personal finances to achieve their life goals.