FTAdviser: Delivering RDR knowledge - IFAs need to look at CPD too

23 February 2012

In order to achieve the annual statement of professional standing required under RDR, advisers and discretionary managers must complete a prescribed amount of continuing professional development (CPD) every year.

CPD will be a rather different proposition under the new regime and there is more to it than many people have perhaps yet fully realised. Since the statement of professional standing accreditation is dependent on the quality of the CPD undertaken, not just the quantity, and the supporting evidence, firms may find they need to approach CPD somewhat differently than they have in the past.

As individuals and firms make their way towards RDR compliance, and move their qualifications from level three to level four by the end of the 2012 deadline, the challenge of delivering ‘appropriate’ CPD becomes more complex. Firms will need to ensure their CPD programme is not only relevant to the roles of the individuals, but also that it maintains the general level of knowledge the individual has gained through the raising of their qualification levels. So, where does one start? There are a number of options:

• Firms can approach the awarding bodies, and many are now also approved as accrediting bodies. As an accrediting body, they have a responsibility to provide a level of CPD to the industry for maintenance of knowledge. While a great source of content, it is difficult for firms to ensure individuals are actually undertaking the accredited body’s CPD offering and that it is being delivered to them in a timely manner.
• Firms can plan, create and deliver their own CPD programmes. As mentioned before, this may make sense for the larger organisations with many employees. For the smaller, boutique operations – and there are many – this could be a challenge too far, particularly since they face so many other compliance and resource hungry requirements.
• Outsourcing the management of CPD is another option. Outsourcing can give firms the flexibility to choose from a menu of services that could include e-learning, podcasts, monthly regulatory updates and face-to-face training, offered as part of a CPD package. The advice from Julie Pardy, retail sector director at Corporate Training Partnerships, is if this route is followed, make very sure the provider has the technical competence and expertise to be able to deliver ‘appropriate’ CPD content.

How can and should CPD be delivered? The answer to this lies with the individual/firm/network. In Pardy's experience, however, a blended approach usually works best to be able to deliver a range of learning across a variety of methods. To employ the use of web technology would make absolute sense and firms need not worry if they do not have access to the latest technology systems. It is relatively easy to find a supplier who will host and deliver content on your behalf.

The key here is to see what is out there, look at what will work best for you and your organisation, make sure that the range of delivery methods is wide enough to suit even the most challenging learner and, most importantly, assure yourself that any external supplier has the technical expertise to deliver ‘appropriate’ material.

Is automation the way to go? Yes, probably. If firms can provide CPD learning that is then mapped into a CPD recording tool that can be submitted either by report or electronic transfer to the accredited body, that surely is the way to go, is it not?

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