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Having the Right Letters After Your Wholesalers

by Lee

Ignites ran a Q&A today discussing the value of wholesalers obtaining a CFP designation. Advanced certifications, such as CFP, CFA, or CIMA, certainly help wholesalers be able to better assist advisors and lend instant credibility to the wholesaler. Not every designation, however, is a perfect fit for every asset management firm. Ideally, companies should have a consistent distribution approach whereby its value-added programs, marketing brochures, wholesalers, and the rest of the organization tell a consistent story. It is therefore critical for firms to understand the "story" that comes with each designation and to consciously choose the right fit.

• CFP: a generalist designation focused on personal financial planning (taxes, retirement, health care, estate planning, etc.)


• CFA: a specialist designation for investment analysis and portfolio management


• CIMA: similar to CFA, but with a greater focus on asset allocation, risk measurement, and performance measurement. CIMA is only available to individuals with three years of client-centered investment consulting experience

In most firms today, wholesalers acquire whichever designation(s) are of interest to them (often without the support or involvement of their firm). There is an opportunity for firms to guide their wholesalers towards the program that is best suited to the company's distribution focus (e.g. firms that are pushing into complex alternative investments may look to have more CFAs, firms that focus on their investment process and analysis may lean towards CIMA-certified wholesalers, and firms with strong value-added programs on broader personal finance issues may gravitate towards CFP).