FPSB China Ltd. (Shanghai) to Launch in June

SHANGHAI, CHINA – The CERTIFIED FINANCIAL PLANNER™ or CFP™ certification program in the People’s Republic of China has made great progress since Financial Planning Standards Council of China (FPSCC) was founded in 2004,

Due to the rapid development of the CFP certification in the PRC, the establishment of AFP and EFP certification as career path credentials supporting CFP certification, and the implementation of uniform global competency, ethics and practice standards for CFP certification, FPSB Ltd. initiated discussions with the China Foundation for Development of Financial Education (CFDFE) to establish FPSCC as an independent legal entity, consistent with the intent of the 15 June 2006 Affiliation and License Agreement entered into by FPSB Ltd. and CFDFE and with best practices for the delivery of CFP certification globally.

The agreement reached between FPSB Ltd. and CFDFE is as follows:

1. Transform FPSCC into FPSB China Advisory Panel (FPSB-CAP) and FPSB China Ltd. (Shanghai)

After the transformation, the FPSB-CAP shall represent FPSB in advising and supervising the operation of FPSB China Ltd. to manage, develop and operate certification, education and related programs in mainland China.

The major responsibilities of FPSB China Ltd. (Shanghai), under the advice and supervision of FPSB-CAP, will include:

• Acting as the licensee of FPSB Ltd. charged with supervising the administration and oversight of the CFP certification program in the PRC.
• Maintaining and promoting the global standards and brand equity of FPSB Ltd.’s trademarks, including CFP™, AFP and EFP certifications and FPSB China Ltd. (Shanghai).
• Adapting the global standards for CFP certification to the PRC marketplace, and ensuring that the CFP certification program and standards continue to represent excellence in financial planning in the PRC.
• Establishing and enforcing appropriate assessment and examination standards, including examination pass rates, for the AFP, EFP and CFP certification examinations in the PRC.
• Establishing and promoting the FPSB Ltd. trademarks and brands as the standard of excellence in financial planning in the PRC, and FPSB China Ltd. (Shanghai) as the preeminent financial planning standards authority for competent and ethical financial planners in the PRC.

After the transformation, the members of FPSB-CAP will have the same roles, responsibilities and positions as the existing FPSCC directors. The current personnel of FPSCC will become the personnel of FPSB China Ltd. (Shanghai).

FPSB-CAP members, who are appointed by FPSB Ltd., are listed in Appendix 1.

FPSB-CAP members will hold plenary meetings two to three times each year, and are supported in their duties by the personnel of FPSB China Ltd. (Shanghai), located in Shanghai.

2. Set up of an independent legal entity

An independent legal entity named FPSB China Ltd. (Shanghai) (the Chinese name is 现代国际金融理财标准（上海）有限公司) is registered in Shanghai in accordance to the PRC’s Company Law. This company is the first company dedicated to the international financial professional certification business to be approved by the Shanghai Municipal Government, as part of its efforts to establish Shanghai as an “International Financial Center.”

FPSB China Ltd. (Shanghai) has been established as a not-for-profit entity and it has been explicitly stated in its Article of Association that the shareholders of FPSB China Ltd. (Shanghai) do not have any entitlement to dividend payments from the company.

Based on the Affiliation and License Agreement between FPSB Ltd. and FPSB China Ltd. (Shanghai), FPSB China Ltd. (Shanghai), as an Affiliate member of FPSB Ltd., will assume all of the rights and responsibilities originally given to FPSCC by the 15 June 2006 agreement.

3. FPSB Ltd. Trademarks and Brands

Associate Financial Planner or AFP certification is a certification for the first phase (Phase 1) of the CFP certification program in the PRC. The Executive Financial Planner or EFP certification has been developed for management-oriented financial planning professionals and the Certified Private Banker or CPB certification has been developed for financial planning professionals who mainly serve high net worth clients.

On 25 October 2008, FPSB Ltd.’s Board of Directors agreed that the AFP, EFP and CPB certifications would adopted by FPSB Ltd. as pathway/intermediate credentials to CFP certification in the PRC.

From February 2009, FPSB Ltd. will own all rights and interests in the CFP, AFP, EFP and CPB trademarks and certification programs in the PRC, and license FPSB Ltd. China (Shanghai) as the entity exclusively authorized to administer these programs on FPSB Ltd.’s behalf in the PRC. All the certifications shall be conferred by FPSB.

FPSB Ltd. has authorized FPSB China Ltd. (Shanghai) to review the education, examination, experience and ethics standards for the EFP certification program to calibrate it with the standards and requirements for the FPSB Ltd. career path certification programs in the PRC. FPSB Ltd. is responsible for approving all final standards and requirements developed for its certification programs by FPSB China Ltd. (Shanghai) in the PRC.

4. Transition Period

The licensing of FPSB China Ltd. (Shanghai) by FPSB Ltd. is effective from February 2009, and the restructuring efforts described above will be completed by 30 June 2009.

For the Chinese version of this notice, please click here.

CFP^® Certification - Global Excellence in Financial Planning