Expanding My Horizons

I spent the last year preparing for the CERTIFIED FINANCIAL PLANNER™ exam.  Rather than exploring new music or checking off books from a growing reading list, I studied textbooks, attended virtual lectures, and practiced test questions.  In some cases, I was brushing up on lessons from business school or revisiting concepts mastered through professional experience; in others I was learning new material and committing to memory laws and regulations.  Throughout the process I analyzed how I could leverage each developing skill for you, our clients. 

This effort culminated on March 16 when I passed the six-hour CFP® exam.  Upon checking out, the test center administrator quipped, “I hope you don’t have plans to go to the bar.”  The governor had just ordered all bars and restaurants closed effective immediately.  So much for that dinner out to celebrate!  Somewhat unceremoniously, I began life as a CFP® professional.

As I approach my two-year anniversary with Provident, my responsibilities continue to expand. Accumulation of experience and independence have fostered innovation and presented opportunities for added complexity in my day-to-day duties. Consistent with meaningful career development, my desire grew to understand more completely the “why” behind the “what”. I was enthusiastic to offer more to our clients and to fill in some knowledge gaps.

I realized I could accelerate my progress by pursuing the CFP® designation.  This would supplement valuable lessons already learned through research and collaboration with colleagues.  Task at hand, I embarked on my journey.  Now I return to the (home) office, spoils of knowledge in tow, having previously satisfied the designation’s 6,000-hour work experience requirement.

You hear it in advertisements and see the CFP® marks on websites and email signatures, but what does the CFP Board’s endorsement mean?  The CFP® professional is held to an exemplary code of conduct both on and off the job.  We continually educate ourselves on standards, laws, and strategies.  We are subject to annual ethical and professional recertification requirements.  But perhaps the greatest benefit of engaging with a CFP® professional is the breadth and the depth of knowledge we put to use on your behalf.  We take a holistic approach to financial planning, considering every aspect of your financial wellbeing when formulating plans.

Comprehensive planning demands proficiency in the fields of risk management and insurance, investments, taxes, education funding, retirement strategy, and estates and trusts, among others.  None of these areas can be responsibly addressed without the integration of another.  We can perform calculations by hand just as well as the software does, and we add real value by paying attention to the big picture.  Within a complex legal and regulatory framework, the CFP® professional incorporates your unique set of goals with the more objective areas of planning to formulate recommendations.

You are likely getting honest advice from your attorney, your accountant, and your insurance salesman.  They are performing their agreed upon duties but might not consider your overall situation.  The insurance salesman may not be thinking about portfolio composition or holding periods, as long as you find a way to fund his policy.  The trust attorney and the accountant are leaving proper titling of assets and depreciation elections to one another.  The CFP® professional can advise in all the above areas, recommending consultation with supplemental expertise when appropriate.  At Provident, each one of us strives to employ this all-encompassing approach to supporting your financial wellbeing.

As you know, we take a team-based approach to managing our client relationships.  Every member of Provident is instrumental in your effective investment management.  By adding one more certification to our arsenal we have grown our collective knowledge base.  We have increased our agility and will use it to better serve our clients.  Each member of the team is afforded an opportunity to focus more keenly on their most productive areas of practice, and you have one more credentialed financial professional at your disposal.

The CFP® program has given me a richer and more holistic understanding of clients’ financial situations, including the interplay between your goals and the investments we manage.  I can put this expertise into practice to contribute more completely, and in a more nuanced manner in all that I do for you.  I’ll continue to research bonds and support our team’s stock analysis with research and reporting.  I also look forward to expanding my role and interacting more with you as time goes on.

So, if you have a question that spans a few different areas and want to minimize the phone call pinball, start by giving us a call or email!  We’ll be happy to continue answering any questions you have while keeping an eye on the big picture.

Eric S. Pozolo, CFP®