IFP FREQUENTLY ASKED QUESTIONS
1. What is the Islamic Financial Planner (IFP) programme?
The IFP is a training and certification programme designed especially for professionals and executives serving the retail segment of the Islamic financial market. This programme is a joint collaboration between Islamic Banking and Finance Institute Malaysia (IBFIM) and the Financial Planning Association of Malaysia (FPAM).
2. What are the entry requirements for IFP?
Full Fledged (all Modules)
- Minimum requirement: Degree in any field
Challenge Status (Fulfilled either one of the qualifications below)
- Certified Financial Planner (CFP) holders, or
- Other professional certificates e.g. Chartered Financial Analyst (CFA), Chartered Accountant (CA), Certified Islamic Finance Professional (CIFP) or equivalent with 3 years’ experience, or
- Bachelor’s degree holder in any discipline with 5 years of minimum experience in Islamic financial services industry.
3. What areas of knowledge do the IFP programme covers?
The IFP programme covers the major components of financial planning with the Islamic aspects being comprehensively integrated into each of the IFP modules.
4. What are the IFP modules?
The 4 modules of the IFP programme covering the Islamic financial planning components are:
M1 – Shariah & Major Components of Islamic Financial Planning
M2 – Islamic Risk Management, Estate & Waqf Planning
M3 – Islamic Investment, Retirement, Zakat & Tax Planning
M4 – Islamic Financial Plan Construction & Professional Responsibilities
5. Why should Unit Trust consultants and Takaful agents be an IFP?
Being certified as an Islamic Financial Planner will equip the Unit Trust consultants and Takaful agents with all the necessary knowledge to serve clients better and to become a financial advisory professional. The IFP program sets the competency standards and ethical practices of the professionals. In short, the consultants and agents can look forward to a fulfilling and prosperous career of being an Islamic financial planner. Also, BNM via a letter dated 1 Aug 2007 has endorsed IFP Modules 1 and 2 for Takaful executives and agents.
6. Are there plans to introduce a challenge status for CFP holder who wants to be certified as an IFP?
Yes, the IFP Challenge Status has been introduced. Candidates qualified for the IFP Challenge Status will need to attend 6 days of classes and pass the Challenge Status examination. Kindly visit FPAM’s website for the application form and details.
7. What is the difference between the IFP programme and FPAM’s Islamic Financial Planning Course (IFPC)?
Being a four module training programme, whereby candidates undergo 7 days for Module 1, 9 days for Module 2, 8 days for Module 3, 4 days for Module 4 or 6 days for Challenge Status. The IFP programme coverage is more extensive and has more depth in comparison to the IFPC. The IFPC (also known as Practice Module 1) was designed as an add-on to the CFP programme and is part of FPAM continuing education (CE) courses. IFPC is a continuing professional education (CPE)-recognised professional course by Securities Industry Development Corporation (SIDC) of the Securities Commission (SC).
8. How long is the IFP programme?
Candidates have to undergo 7 days for Module 1, 9 days for Module 2, 8 days for Module 3, 4 days for Module 4. A candidate can be certified as an IFP only after passing the M4 exam. The examinations are conducted twice a year in June and December. Candidates are required to register for the exam. Kindly check with FPAM for the exact dates.
9. If I start at M1, how much is my investment to be certified as an IFP?
To be certified as Islamic Financial Planner, the candidate is responsible for tuition and exam fees. The total fees payable for the 4 modules are RM9,275.
10. I provide financial advice professionally. Do I need a license?
Yes, financial planning and advisory is a regulated industry. Both regulators, SC and BNM, require a practitioner to hold a representative license for financial planning and financial advisory business respectively.
11. Is the IFP program recognised by Securities Commission and Bank Negara Malaysia?
Yes, the IFP qualification is recognised by the SC for Capital Market Services Representative’s License for financial planning and by BNM for Financial Adviser’s Representative license. The SIDC has also approved the IFP as a CPE-recognized professional qualification.
12. Must I become an FPAM member to take the IFP programme?
Yes, candidates must first register as a Trade Member of FPAM. The annual fee for Trade Members is RM50.
13. Are fees paid for the IFP program eligible for tax deduction?
Yes, the IFP program is an Islamic finance course to produce Islamic financial planning professionals recognised by the Securities Commission and BNM.
14. Is the IFP programme recognized internationally?
IBFIM and FPAM have every intention to promote the IFP programme internationally.