Achieving a competitive edge is the only was to stay ahead. ISO 22222 supports this by allowing professional planners to differentiate and raise the bar for the benefit of themselves and their clients.

1. ISO 22222
Achieving a competitive edge

2. Agenda
• Who are Standards International.
• An introduction to ISO 22222.
• Benefits – Financial planner and Consumer.
• Six steps of financial planning.Six steps of financial planning.
• Key points.
• ISO 22222 and the regulatory landscape• ISO 22222 and the regulatory landscape.
• The Certification Process.
Funding• Funding.
• Presentation by Locktons.
Q i &• Questions & Answers

3. Who we are
• Established in June 2007 (Pilot Scheme launched in April
2006).
i f i• Pioneers of Best Practice.
• Leaders in the market place.
• UKAS Accredited Certification Body – assessed every 6 months.
• Internationally recognised and followed• Internationally recognised and followed.
• Independent and impartial.
• We work with the professions leading advisers.

4. What are ISO Standards?
• International Standards Organisation
• Demonstrate the ability to consistently provide a• Demonstrate the ability to consistently provide a
product or service that meets customer requirements.
• Addresses customer satisfaction through the effective
application of the system, developing processes for
continual improvement and the prevention of errors andcontinual improvement and the prevention of errors and
mistakes.

5. Why have Standards?
• The CE Mark• The Kitemark
• Identify and meet the needs and expectations of its
• They help businesses to:
• Identify and meet the needs and expectations of its
customers and other interested parties, i.e. employees,
suppliers, owners, societies, to achieve a competitive
ad antage and to do this in an effecti e and efficientadvantage and to do this in an effective and efficient
manner.
• Achieve, maintain and improve overall performance and
capabilities.

6. Why have an ISO standard for financial planners?

7. ISO 22222 – An Insight
• Enables consumers to identify financial planners who• Enables consumers to identify financial planners who
possess the right knowledge, skills, ethics and
experience to deliver their desired level of service.
• Codifies best practice in financial planning from
across the world and as a result will help toacross the world, and as a result will help to
increase consumer confidence.

8. Financial Planner - Benefits
• Improved performance.
Simplified and effective processes and• Simplified and effective processes and
documentation.
• Standardisation of good working practices.
• Improved communication.
• Promotes awareness of quality, professionalism,
better public awareness and public imagebetter public awareness and public image.
• Improved sales and marketing opportunities.
• Exemption from the CII AF5 module.p
• Reduced risk = potential reduced insurance costs.
• Improved compliance - Supports regulatory
i trequirements.

9. Consumer Benefits
• Receive a value added service.
• Assurance of quality through independent third-q y g p
party certification.
• Assurance that regulatory requirements are being
adhered to and monitoredadhered to and monitored.
• Evidence that continual improvement and their
needs are core to the business.
• Confidence that the adviser has the right level of
knowledge and skills to deliver their desired level of
service.se ce
Raising the standards…

10. ISO 22222 – The Six Steps
1. Establishing and defining the client and personal financial
planner relationshipp p
2. Gathering client data & determining goals and expectations.
3. Analysing and evaluating the client’s financial status.
4. Developing and presenting the financial plan.
5. Implementing the financial planning recommendations.
6 M it i th fi i l l d th fi i l l i6. Monitoring the financial plan and the financial planning
relationship.

11. Information Security
• Information is an asset – protect it.
• FSA’s Data Security recommendations.
• CIA – Confidentiality, Integrity and Availability.
Identify threats Internal external accidental and• Identify threats – Internal, external, accidental and
malicious.
l l l d f• Implement controls – Policies, procedures, software
and hardware functions.

12. Implementing Information Security
• Identify threats and weaknesses.
• Review security – building personnel IT• Review security – building, personnel, IT.
• Review contracts – Client, suppliers.
• Establish who has access to your data?y
• Mobile media – Blackberry’s, USB sticks.
• Encryption devices.

13. Business Continuity
Business Continuity Management
Holistic management process that identifies potentialHolistic management process that identifies potential
threats to an organisation and the impacts to
business operations that those threats, if realised,
i ht d hi h id f k fmight cause, and which provides a framework for
building organisational resilience with the capability
for an effective response that safeguards the
interests of key stakeholders, reputation, brand and
value-added activities.
Definition: BS 25999-1:2006

14. Ethics
“ISO 22222 requires a high level of knowledge and
competency and factors in TCF through compliance
i d t hi h thi l t d d It i thissues and expects very high ethical standards. It is the
only such requirement for financial planners/advisers to
explicitly ask clients if they would like to invest taking
into account socially responsible, ethical or religious
beliefs”
Source: Robin Keyte,
ISO 22222 Certified,
CFP Certified and Chartered Financial Planner
Source: (Financial Adviser 08th May 2008)

15. Behaving with integrity
The 10 Key Ethical Principles
• Putting clients interests first.
• Behaving with integrity.
• Exercising due care and diligence.
• Working within regulatory and legislative frameworks.
• Carefully and comprehensively managing conflicts of interest.
C i ti i l d i t• Communicating in a clear and appropriate manner.
• Providing suitable and objective recommendations.
• Making all material disclosures.
• Protecting client confidentiality.
• Demonstrating and maintaining appropriate competence.

16. Continual Improvement
• PDCA – Plan, Do, Check & Act
• Client feedback – Positive/negative
CPD E b d f i li• CPD – Embed professionalism

17. ISO & The Regulatory Landscape
Michelle Hoskin

18. Where does ISO 22222 fit in with theWhere does ISO 22222 fit in with the
current and future landscape?
Consultation Paper – CP09/31 Delivering the Retail
• Three key documents to review:
Consultation Paper – CP09/31 Delivering the Retail
Distribution Review (December 2009).
Policy Statement # 1 – 10/6 Distribution of retailPolicy Statement # 1 – 10/6 Distribution of retail
investments (March 2010).
Delivering the RDR: Professionalism CP10/14 (June 2010)Delivering the RDR: Professionalism CP10/14 (June 2010).
• Key Objective:
Forcing best business principles to professionals who
primarily are seen as doing a job.

19. Key Themes - Proposals
1. Improve the clarity with which firms describe their
services to clients.
2. Address the potential for adviser remuneration to
distort consumer outcomes; anddistort consumer outcomes; and
3. Increase the professional standard of advice.

20. Key Themes - Proposals
1. Improve the clarity with which firms describe their
services to clients.
Description of advice
services (Independent
Clarity of - Scope of
service, service level
b hor restricted). agreements, brochures,
marketing, website,
personal profile, company
letters and literature.
Plus: client authorisationPlus: client authorisation.

21. Key Themes - Proposals
2. Address the potential for adviser remuneration to
distort consumer outcomes.
Introduction of
Adviser Charging.
Undervaluing knowledge,
wisdom and experience.
fValue of services delivered,
what is charged for and
when, clarity of message
Setting your own
and literature. Ongoing
services!.
H l l t d f i !
Setting your own
charging tariffs.
How calculated, fair!
Individual adviser Targets, KPI’s (quality)Individual adviser
remuneration.
Targets, KPI s (quality)
and pay structure.

22. Key Themes - Proposals
3. Increase the professional standards of advice.
More focus on
setting, monitoring
and enforcing
In-depth assessment
methods, scope of
service understoodand enforcing
standards of
competence and
ethical behavior
service understood,
competence and CPD
activity aligned.
ethical behavior.
Need to “prove”
i iti l d i
Assessment report and
f db k i d d tlinitial and ongoing
competence.
feedback, independently
assessed annually!

23. Key Themes – Proposals cont…
3. Increase the professional standards of advice.
Increase in quality
and control over
CPD activity
How selected, recorded
and implemented.
CPD activity.
Increase level of
qualification to QCF
Already a requirement
of eligibilityqualification to QCF
Level 4.
Vi ibl dh t th
of eligibility.
Ethi l i i lVisibly adhere to the
required ethical
standards.
Ethical principles
assessed and
evidenced.

24. ISO 22222 - Key Differentiators
1. All about Best Practice – not just about regulatory
adherence.
2. The rules coming out now were already introduced
in 2000 with the ISO.
3. Supports your existing compliance provision.
4 Id i ' i i f i d4. Identity's opportunities for improvement – good
business principles (IS, BC, CI).
5 Id tit ' t iti t i d b i5. Identity's opportunities to improve – good business
principles.
6 Not limited to UK rules – internationally recognised6. Not limited to UK rules – internationally recognised
and respected.

25. Adviser Quotes
“Going through the ISO process has enabled us to look at our
business in way never before possible, the net result for
the consumer is a more efficient and transparent processthe consumer is a more efficient and transparent process
in receiving holistic financial planning advice”
Andrew Reeves, The Investment Coach LimitedAndrew Reeves, The Investment Coach Limited
“ISO 22222 certification process was the best availablep
overall assessment of knowledge, competency and fair
customer treatment”
Robin Keyte director of Towers of TauntonRobin Keyte, director of Towers of Taunton

26. The Certification ProcessEligibility
Training
Gap Analysis
I l t ti
Pre-Assesment (optional)
Implementation
Pre Assesment (optional)
Assessment
Certification Awarded
Quality Review Audit
Certification Awarded

27. Funding – What are you entitled to?
• Regional.g
• Sector.
• Training and Gap Analysis workshops.
• The process.

28. How do you access funding?
Eastern Region
• Leadership and Management.
R i l f di• Regional funding.

29. Leadership and Management
• Funded by Learning Skills Council.
• Up to £1000 of funding for Leadership and
Management training.
• The first £500 is 100% funded.
• A further £500 as matched funding.

30. Eligibility
A company with 5 to 249 employees• A company with 5 to 249 employees.
• Owner/Director/Senior manager.
• Not have accessed L&M since October 07.
• One provision per company - ONE bite of the
cherry.

31. Application Process
• Notify Standards International of funding request.
Complete on line application• Complete on-line application.
• Individual Training Assessment and Personalg
Development Plan.
• Confirm T & G workshop attendance and payConfirm T & G workshop attendance and pay
invoice.
• Complete evaluation and gain submit paid invoice.Complete evaluation and gain submit paid invoice.
• Funding provided once training ends and above
provided – payment within 30 days.provided payment within 30 days.

32. Regional Funding - Beyond 2010
• Funded by EEDA and the European Social Fund.
• Up to £10,000 of matched funding.
• 10 sectors eligible – Financial services eligible.
• Eligibility – up registered company up to 250 staff.
Can be used in conjunction with the Leadership and• Can be used in conjunction with the Leadership and
Management Funding programme.

33. Beyond 2010
• Notify Standards International of funding request.
Complete application• Complete application.
• Individual Training Assessment and Personal
Development PlanDevelopment Plan.
• Confirm T & G workshop attendance and pay invoice.
• Complete evaluation and submit paid invoice.
• Funding provided once training ends and above
provided – payment within 30 days.

34. Sponsor - Locktons
Umesh Puri & Richard Turnball

35. Any Questions?