Members of the Canadian Association of Insurance and Financial Advisors, and members of the Canadian Association of Financial Planners have given their support to the formation of a new organization for insurance, investment and financial planning professionals. Both organizations have released a revised discussion-document that outlines how the two organizations plan to come together.

The proposal sets out relevant standards and practice guidelines for the professional advisors that will make up the membership of the new organization. “This revised plan is a true reflection of all of the comments we’ve heard since the original proposal was released in March,” says Brian Mallard, chair of the CAIFA merger task force. “To their credit, the members of CAFP and CAIFA recognized the need to differentiate themselves through the application of higher standards. This proposal now reflects the best elements of CAIFA and CAFP. “

Separate surveys of CAIFA and CAFP members both indicated levels of support in excess of 80%. The revised proposal has been posted on the websites of both associations.

“The earlier version of this proposal definitely needed some fine-tuning. Both our respective memberships provided us with a lot of valuable input. We listened and we made some key changes as a result,” says Brian Davis, chair of CAFP.

The new organization will now have a single category of members, rather than two as originally proposed. However, financial planners who commit to voluntarily providing an advanced level of service to their clients will have the ability to distinguish themselves through the “Plan Certified” program. The peer review approach is also being reconsidered.

Members of both organizations will be participating in a survey to determine their preference for a name for the new organization. Regardless of the name chosen, it will be used with the defining statement: “Insurance, Investment and Financial Planning Professionals.”

CAFP and CAIFA members will formally vote on the merger proposal at separate meetings planned for September 28, 2002. If approved, the new organization will be officially inaugurated on January 1, 2003.