Global surge in certified financial planning unlocks potential in Vietnam

Following burgeoning demand for personal financial planning services and individual financial advisory, the future of the financial advisory industry is ever broadening. However, not everyone secures the highest accreditation in personal financial advisory as endorsed by the FPSB.

The FPSB, a non-profit organisation operating for the welfare of the worldwide financial services user community, has established professional standards for global personal financial planning. Founded in 1973, FPSB is now globally acknowledged as the highest quality standard and leading benchmark for the profession of personal financial planning.

The FPSB grants the CFP certification to professionals who meet four established standards of the profession. The criteria include competence, ethical standards, educational qualifications, and professional practice.

Presently, the FPSB has validated the standards of personal financial planning in more than 27 countries and territories around the globe, including Australia, China, South Korea, Japan, Germany, France, Canada, Thailand, Malaysia, Singapore, Indonesia, India, and many others. The CFP certification currently boasts a formidable community of over 213,000 experts worldwide who have attained the CFP title.

The FPSB enters into affiliation agreements with non-profit entities or similar organisations worldwide, delegating the authority to these entities to establish and run the CFP certification programme within a territory. These are known as Professional Personal Financial Planning Organisations, for instance, the CFP Board in the US, CISI in the UK, JAFP in Japan, and FPA in Australia.

These FPSB standards are scientifically substantiated within personal finance, with the knowledge framework for personal financial planning transferred to the affiliated organisations in a given country. The affiliate organisation is responsible for modifying relevant factors related to the distinct legal framework and financial market characteristics of that country to best serve its people.

Moreover, Professional Personal Financial Planning Organisations worldwide such as the US's CFP Board, Australia's FPA, Japan's JAFP, or FPSB China, apart from establishing standards, also assist local government financial services regulatory bodies to manage and supervise individuals and companies operating within the personal financial planning and individual financial advisory space. They ensure service quality, the expertise of financial advisors and personal financial planners, as well as the reputation of the profession.

In Vietnam, there is currently no Personal Financial Planning/Personal Financial Advisory Organisation authorised as per FPSB standards. According to the Vietnam Financial Consulting Association (VFCA), to form the professional standards for personal financial planning/financial advisors in Vietnam, standards must be built and harmonised. There needs to be a consensus regarding definitions, concepts, and standards according to global standardisation.

The Vietnam Wealth Advisor Summit (VWAS) 2023 - the first event in the asset management sector organised by VIR and the Vietnam Wealth Advisor (VWA) community under the auspices of the Ministry of Planning and Investment is set to take place next month.

Themed "Swimming in the Vortex", the Vietnam Wealth Advisor Summit 2023 will engage prestigious domestic and international speakers to deeply discuss the global economy, and Vietnam in particular; as well as effective investment strategies in an unpredictable environment; and preferred investment-supporting products and services in the financial, banking, insurance, gold, foreign exchange, and real estate sectors.

The Vietnam Wealth Advisor Summit 2023 will primarily feature:

In an exclusive interview with VIR’s Luu Huong, Yulanda Chung, head of Sustainability, Institutional Banking Group at DBS Bank discussed how the bank has embraced the opportunity in Vietnam to harness the power of banking to create a positive impact.

As South Korean banks grapple with intensifying domestic rivalry, they are strategically shifting their focus to Southeast Asia, particularly Vietnam, as an emergent arena for growth and expansion.