What you need to know about working with a Financial Planner / Financial Advisor in Ontario
Be informed when you are trusting someone with your hard-earned savings!
Individuals using the Financial Planner and Financial Advisor titles in Ontario must hold a credential from a FSRA-approved credentialing body. This means they will be required to have a minimum standard of education and will be held accountable for their conduct.
If you are working with an individual who uses the Financial Planner or Financial Advisor title, ask the right questions.
What credential(s) do you have and from what credentialing body?
What financial services education, background and level of experience do you have?
What services do you provide and how can I get a financial plan that’s right for me and my family?
Know the difference between a Financial Planner & Financial Advisor
FSRA differentiates between Financial Planner and Financial Advisor title users by establishing different minimum levels of technical knowledge, professional skills and competencies that would be reasonably expected of each title user.
Financial Planners should have the breadth and depth of knowledge to develop integrated financial plans for clients, and be knowledgeable in all core personal finance areas, including:
Financial Advisors should have technical knowledge about at least one common investment product, including: mutual funds, stocks, bonds, or Exchange-Traded Funds (ETFs).
They should also have the necessary expertise and experience to develop suitable financial and investment recommendations for clients.
If you are buying a financial product, ask the Financial Planner or Financial Advisor about their registration or licensing status.
Please visit FSRA’s Financial Planners and Financial Advisors Consumer page and watch this video for more information.
The value of working with an approved Financial Planner or Financial Advisor
Like so many other Ontarians, you may – or could one day – be working with a financial professional to help plan and achieve your financial goals.
Until now, there have been no standards for the use of the Financial Planner and Financial Advisor titles in Ontario. This has left consumers trying to distinguish between a wide variety of titles and credentials.
However, the system is undergoing significant change for the benefit of you and your family. To hold the titles Financial Planner or Financial Advisor in Ontario, people will now be required by law to obtain an approved credential from a FSRA-approved credentialing body. What this means is these financial services professionals will:
- Be required to have a minimum standard of education
- Be actively supervised to ensure they are following the rules
- Be subject to a complaints and discipline process if you run into a problem
- Need to abide by a Code of Conduct that puts your interests first
These changes are long overdue and offer you something many Ontarians have been asking for: clarity and confidence when working with their financial services professional.