April 9, 2002
Jonathan G. Katz
Securities and Exchange Commission
450 Fifth Street, NW
Washington, DC 20549-0609
Re: Release No. 33-8072, File No. S7-04-02, Conference on Federal-State Securities Regulation
Dear Mr. Katz:
I am writing to provide information to the Securities and Exchange Commission (the Commission) concerning the 2002 Conference on Federal-State Securities Regulation. CFP Board1 is pleased to provide the Commission and the North American Securities Administrators Association, Inc. (NASAA) conferees with information on the topics of investment management and investor education.
INVESTMENT MANAGEMENT ISSUES
Investment Adviser Registration Depository (IARD)
CFP Board is pleased to be assisting in the efficient operation of IARD. We have spent most of the past year working with the National Association of Securities Dealers Regulation (NASDR) as the operating vendor of IARD. As conferees may know, CFP certificants are exempt from the examination requirement for investment adviser representative registration, the Series 65. CFP Board is helping facilitate the automatic verification of investment adviser representative applicants who are claiming a Series 65 exemption on their Form U-4 by submitting to NASDR, certain fields of information from our certificant database. CFP Board looks forward to continue helping, in any way it can, the Commission, NASAA, and NASDR in maintaining a useful and efficient IARD.
Division of Regulatory Authority
CFP Board currently certifies over 39,000 individuals. Many of these individuals provide investment advisory services within their financial planning practice and are therefore registered as investment advisers or investment adviser representatives. CFP Board is willing to assist conferees in their efforts of helping advisers understand and comply with regulatory responsibilities through our regular communication with CFP certificants.
INVESTOR EDUCATION AND ASSISTANCE ISSUES
Facts on Saving and Investing Campaign
CFP Board would like to provide any assistance it can with grassroots effort to educate individuals about saving, investing, and avoiding financial fraud. CFP Board has worked with the Commission on its Investor Town Hall Meetings and looks forward to continuing this work. CFP Board is also eager to continue its good relationship with NASAA members and work with the organization on projects of mutual interest.
Conferees may find the International CFP Council as a valuable resource concerning initiatives for international investor education. Established in 1990, the International CFP Council is a forum for financial planning organizations from around the world that seek to advance the profession of personal financial planning. The Council works to establish ethical, competency and practice standards for financial planners and increase public awareness of the benefits of financial planning. The Council's 15 member organizations (from Australia, Canada, France, Germany, Hong Kong, India, Japan, Malaysia, New Zealand, Singapore, South Africa, South Korea, Switzerland, the U.K. and the U.S.) and three associate members (from Austria, Belgium, Bermuda, and Brazil) meet twice a year to share information, ideas and research in an effort to develop financial planning as an international profession.
Financial Literacy 2010
Conferees may be interested to know CFP Board supports programs, such as Financial Literacy 2010, that seek to raise the level of financial literacy among America's youth and provides educators with the resources needed to promote personal finance education in the classroom. CFP Board understands the importance of communicating this message to younger persons to equip them with the tools they need to successfully manage their personal finances and recognize the value of financial planning. To that end, CFP Board has joined forces with JumpStart Coalition for Personal Financial Literacy to help further its mission of improving the personal financial literacy skills of all young adults.
Investor Education Resources
CFP Board has a history of producing and widely distributing informative investor education materials. The three most popular brochures CFP Board produces, `What You Should Know About Financial Planning,' `Ten Questions To Ask When Choosing A Financial Planner,' and `Your Rights As A Financial Planning Client' may interest conferees and can be made available to their constituents if so desired.
CFP Board hopes the information it provided is useful to conferees. If you should have any questions regarding CFP Board, its marks or the individuals it certifies, please contact me at 703-414-5814 or mherndon@CFP-Board.org.
Michael C. Herndon
Director, Public & Government Affairs
|1||Founded in 1985, Certified Financial Planner Board of Standards, Inc. (CFP Board) is a nonprofit professional regulatory organization that fosters professional standards in personal financial planning so that the public values, has access to and benefits from competent financial planning. CFP Board currently authorizes more than 39,200 individuals to use its marks in the United States and 18 international affiliates certify additional thousands of qualified persons in other countries. CFP Board also serves as an educational resource to federal and state lawmakers and regulators on personal financial planning issues.|