Field          Service Sector

 

Review of Financial Services unit standards

 

Subfield

Domain

ID

Financial Services

Financial Advice

25642-25653, 26360

Mortgage Broking

26286, 26287

 

The Skills Organisation has completed the review of the unit standards listed above.

 

Date new versions published                                                          19 February 2015

 

Planned review date                                                                           31 December 2017

 

Summary

 

Following the sector review of the Finance/Financial Services qualifications and the application for listing of the New Zealand Certificate in Financial Services (Level 5) with strands in Financial Advice; Investment; Insurance - Life and Health; Insurance - General; Lending - Residential Property; Lending - Personal; Banking; Trustee Services [Ref: 2315], these unit standards were reviewed to align with the proposed qualification.

 

Face-to-face meetings with groups of subject matter experts were held for the core and each strand.  These meetings identified the required content and compared that with the content of existing standards, where relevant standards already existed.  The consultation identified unit standards that were fit for purpose, requiring little change, and unit standards that had little or no relevancy and were no longer required for the proposed qualification.  The meetings also identified a need for new unit standards.

 

Where skills and knowledge are required about legislation, regulations, and codes of practice, the specific enactments are maintained in a separate document available on The Skills Organisation website.  Industry terminology has been updated where necessary for currency and consistency.

 

Main changes

 

·      Unit standards 25650-25653 and 26360 were updated.

·      The credit values for unit standards 25650 – 25652 were increased, as the current credit values were not considered to accurately reflect the learning time required.

·      Unit standards 25642-25649, 26286, and 26287 were designated expiring and will not be replaced.

·      New unit standards 28359-28389 were developed.

·      Relevant content of expiring unit standards 25642-25649, 26286, and 26287 was incorporated into appropriate parts of the new standards.

 

Category D unit standards will expire at the end of December 2017

 

Detailed list of unit standards – classification, title, level, and credits

 

All changes are in bold.

 

Key to review category

A

Dates changed, but no other changes are made - the new version of the standard carries the same ID and a new version number

B

Changes made, but the overall outcome remains the same - the new version of the standard carries the same ID and a new version number

C

Major changes that necessitate the registration of a replacement standard with a new ID

D

Standard will expire and not be replaced

 

Service Sector > Financial Services > Financial Advice

ID

Title

Level

Credit

Review Category

25642

Demonstrate understanding of relationships between economic environments, financial markets and their participants

5

5

D

25643

Demonstrate understanding of the stages of personal financial advice and the products used by financial advisers

5

5

D

25644

Demonstrate understanding of insurance structures, principles, products; and risk principles used by financial advisers

5

5

D

25645

Demonstrate understanding of the life insurance market and life insurance

5

5

D

25646

Demonstrate understanding of the health insurance market and health insurance

5

5

D

25647

Demonstrate understanding of the fire and general insurance market and fire and general insurance

5

5

D

25648

Demonstrate understanding of investment concepts used by financial advisers

5

10

D

25649

Apply principles of investment advice

5

7

D

25650

Demonstrate the steps in the financial advice process relating to client relationships and gathering information

5

4

6

B

25651

Demonstrate the steps in the financial advice process relating to the development and presentation of recommendations

5

5

8

B

25652

Demonstrate the steps in the financial advice process relating to the implementation and review processes

5

4

6

B

25653

Apply requirements of regulations, professional practice standards, and operational guidelines as a financial adviser

Apply legislation, regulations, and codes of practice, maintain business records, and respond to fiduciary issues

5

5

B

26360

Demonstrate understanding of the legislative framework for financial advisers

Demonstrate understanding of the legislative framework for authorised financial advisers

5

5

B

 

Service Sector > Financial Services > Financial Services – Professional Practice

28359

Demonstrate understanding of the role of a bank, the banking regulatory environment, and significance of role boundaries

5

5

New

28360

Select and apply banking products and services to meet client needs

5

5

New

28361

Demonstrate understanding of the role of regulators and the diversity of service providers in the banking sector

5

5

New

28362

Demonstrate understanding of key lending concepts and frameworks, and apply these to a variety of lending situations

5

5

New

28363

Demonstrate understanding of financial services best practice, professionalism, and recognised advice process

5

10

New

28364

Demonstrate understanding and application of the regulatory environment for financial services

5

5

New

28365

Demonstrate understanding of and apply research and analysis processes to develop fit for purpose financial solutions

5

15

New

28366

Demonstrate understanding of financial markets and how factors in the economic environment impact on market participants

5

10

New

28367

Demonstrate understanding of insurance concepts and principles and apply to general insurance situations

5

5

New

28368

Demonstrate understanding of general insurance legislation, regulations, codes of practice, and roles

5

5

New

28369

Demonstrate understanding of general insurance needs and products and apply products to meet client needs

5

10

New

28370

Demonstrate understanding of the creation, maintenance, claims, and review processes of general insurance

5

5

New

28371

Demonstrate understanding of insurance concepts and principles and apply to life and health insurance situations

5

5

New

28372

Demonstrate understanding of life and health insurance legislation, regulations, codes of practice, and roles.

5

5

New

28373

Demonstrate understanding of life and health insurance needs and products and apply products to meet client needs

5

10

New

28374

Demonstrate understanding of the creation, maintenance, claims and review processes of life and health insurance

5

5

New

28375

Demonstrate understanding of investment concepts and the associated regulatory environment

5

5

New

28376

Demonstrate understanding of investment assets and apply appropriate assets to meet identified investment objectives

5

10

New

28377

Demonstrate and apply understanding of investment analysis techniques used to test against predetermined requirements

5

10

New

28378

Demonstrate understanding of key terms and conditions of KiwiSaver and how they apply to typical client situations

5

5

New

28379

Demonstrate understanding of KiwiSaver investment concepts and quantify retirement saving goals

5

5

New

28380

Demonstrate understanding of personal lending concepts, and associated organisational and regulatory requirements

5

5

New

28381

Demonstrate understanding of personal lending products and the borrowing needs they meet

5

5

New

28382

Develop financial solutions to meet the needs of personal lending clients and apply a loan application process

5

10

New

28383

Demonstrate understanding of residential property lending and associated organisational and regulatory requirements

5

5

New

28384

Demonstrate understanding of residential property lending products and the borrowing needs they meet

5

5

New

28385

Demonstrate understanding of the residential property market and the impact on residential property lending

5

5

New

28386

Develop financial solutions to meet the needs of residential property borrowers and apply a loan application process

5

5

New

28387

Demonstrate understanding of trustee concepts, legislation, and regulations

5

10

New

28388

Outline the relationships between trustee products and individuals’ needs

5

15

New

28389

Demonstrate the administrative responsibilities required under a trustee appointment

5

10

New

 

Service Sector > Financial Services > Mortgage Broking

ID

Title

Level

Credit

Review Category

26286

Demonstrate knowledge of the mortgage industry, lending principles, home loan products and apply the application process

4

5

D

26287

Demonstrate understanding of the residential property market and residential property lending as a financial adviser

5

8

D