Plan presentation
In this chapter: Structure of the written plan · Communicating to varied client sophistication
A written financial plan is the deliverable of CFP work. Length, structure, and tone vary by client sophistication. CFPs must produce documents that are simultaneously comprehensive, accessible, and actionable.
Standard CFP plan structure: 1. Executive summary (1 page) 2. Client profile (2-3 pages) 3. Goals and time horizons (1-2 pages) 4. Current situation analysis (3-5 pages) 5. Recommendations across each domain (10-20 pages) 6. Implementation calendar (1-2 pages) 7. Review schedule and metrics 8. Disclaimers and assumptions Length: 30-50 pages typical. Cover: clean, professional formatting. Key elements: • Specific recommendations (not generic) • Quantified projections • Trade-offs acknowledged • Implementation timeline • Review and update mechanism
Communication adapted to client: For sophisticated clients (CAs, MBAs, investment professionals): • Detailed numerical projections • Tax-optimisation specifics • Multiple scenarios • Reference to underlying assumptions • Charts and tables For general clients (less financial sophistication): • Executive summary highlighting key actions • Visual aids: pyramid, timeline, decision tree • Plain-language explanations • Specific dollar amounts • Action steps clear (do this, then that) Common mistake: same plan delivered to all clients regardless of sophistication. CFPs adapt tone and detail. Key communication moments: • Initial plan delivery (60-90 minute presentation) • Quarterly review (30-60 minute call) • Annual comprehensive review (90-120 minute meeting) • Crisis communications (market crash, life event) Presenting trade-offs: • "If you do A, you give up B" • "Here are 3 scenarios; pick the one that fits" • "Best, worst, expected" scenarios • Empower client to decide
Plan presentation best practices: Do: • Schedule dedicated time (don't squeeze into 30 min) • Send plan 2-3 days before meeting • Walk through each section • Encourage questions • Get client buy-in step by step • Document decisions made in meeting Don't: • Read the plan verbatim • Use jargon without explanation • Push specific products • Ignore questions • Rush through complex sections Follow-up: • Within 48 hours: send meeting notes + decision summary • Within 1 week: send implementation steps • Within 30 days: confirm implementation status For SEBI-RIAs: • All meetings documented • Recommendations + decisions logged • Implementation tracked • Annual reports compiled Common adjustments: • Client wants to delay action: respect, document, revisit • Client wants to skip insurance: educate, document • Client wants higher allocation: assess if matches risk profile; document if accepting • Client wants different products: understand reason; recommend if appropriate; flag concerns
- CFP-FPSB Module 5 syllabus
- SEBI IA Regulations on plan delivery
- Same plan format for all clients.
- Too dense for client sophistication.
- No specific action steps.
- Vague timelines.
- No follow-up mechanism.
Frequently asked
How long should a plan presentation meeting be?
Should I send plan in advance?
How do I handle clients who don't implement recommendations?
Practice questions
Click each question to reveal the answer and explanation.
Q 1A typical CFP plan length is:- (a)5 pages
- (b)30-50 pages
- (c)100+ pages
- (d)No standard length
- (a)5 pages
- (b)30-50 pages
- (c)100+ pages
- (d)No standard length
Q 2For sophisticated clients, plan emphasis is:- (a)Visual aids only
- (b)Detailed numbers, tax specifics, multiple scenarios, assumptions
- (c)Verbal only
- (d)Skip details
- (a)Visual aids only
- (b)Detailed numbers, tax specifics, multiple scenarios, assumptions
- (c)Verbal only
- (d)Skip details
Q 3Plan presentation should:- (a)Be read verbatim
- (b)Walk through key sections, encourage questions, document decisions
- (c)Skip to recommendations
- (d)Be done by phone
- (a)Be read verbatim
- (b)Walk through key sections, encourage questions, document decisions
- (c)Skip to recommendations
- (d)Be done by phone
Q 4Trade-offs in plan should:- (a)Be hidden
- (b)Be articulated clearly so client understands choices
- (c)Be decided unilaterally by CFP
- (d)Not exist
- (a)Be hidden
- (b)Be articulated clearly so client understands choices
- (c)Be decided unilaterally by CFP
- (d)Not exist
Q 5Follow-up after plan delivery:- (a)Optional
- (b)48-hour summary + 1-week implementation steps + 30-day implementation check
- (c)Once a year
- (d)Never needed
- (a)Optional
- (b)48-hour summary + 1-week implementation steps + 30-day implementation check
- (c)Once a year
- (d)Never needed