IBF - ADV Supplement by Institute of Business & Finance

ADV BROCHURE SUPPLEMENT

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ADV Brochure Supplement Table of Contents DESIGNATIONS MATRIX DESIGNATIONS MATRIX

1.1

DESIGNATIONS CERTIFIED CERTIFIED CERTIFIED CERTIFIED CERTIFIED

FUND SPECIALIST® (CFS®) ANNUITY SPECIALIST® (CAS®) ESTATE AND TRUST SPECIALIST™ (CES™) INCOME SPECIALIST™ (CIS™) TAX SPECIALIST™ (CTS™)

2.1 2.2 2.3 2.4 2.5

MASTER’S DEGREE MASTERS OF SCIENCE IN FINANCIAL SERVICES (MSFS)

3.1

ADV BROCHURE SUPPLEMENT DESIGNATIONS MATRIX

Designations Matrix

1.1

1.DESIGNATIONS

CRITERIA PREREQUISITES

REQUIRED STUDY HOURS

GRADUATION REQUIREMENTS

MATRIX

CFS®

CAS®

CES™

CIS™

CTS™

2,000 hours or more work experience in the financial services industry or a Bachelor’s Degree

135 hours with one year to complete

1 year of extensions may be purchased for an additional fee

3 Multiple Choice exams 1 every 2 modules 50 Questions per exam Must have a proctor

Completion of a case study (a one-page fact pattern about a hypothetical client)

Signed Code of Ethics & Standards of Practice

Completed student survey for quality assurance

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Designations Matrix

1.2

CFS® Module I – Regulation, Structure, Expenses, and Titling Module II – Management and Fund Selection Module III – Tax-Free Bonds, Money Market, Specialty Categories, and Time Value Analysis

CURRICULUM

Module IV – Asset Categories, Market Indicators, CEFs, ETFs, and REITs Module V – Risk, Timing the Market, When to Sell, and Taxation Module VI – Modern Portfolio Theory (MPT)

CAS® Module I – Fixed-Rate and Variable Annuities Module II – Income Vehicles, Benefits, Taxation, Ownership, and Management Module III – Contract Structure, Estate Considerations, and Features Comparison Module IV – Reasons to Like Annuities, Mutual Fund Comparisons, and Living Benefits Module V – Equity-Indexed Annuities Module VI – Subaccount Management, Selection, and Allocation

CES™ Module I – Ownership, Beneficiaries, Children, Wills, Probate, and Living Trusts Module II – POD Designations, Life Insurance, Retirement Benefits, plus Estate and Gift Taxes Module III – Ongoing, Tax Saving, Generation Skipping, Charitable, and Combination Trusts

CIS™

CTS™

Module I – Investment Concepts and Principles Module II – Bond Building Blocks, Convertibles, and Riding the Yield Curve Module III – Retirement Planning and Planning for Death Module IV – Income Taxes, Social Security, and Medicare

Module IV – Control Trusts, Incapacity, plus Body and Organ Donations

Module V – Stocks, Utilities, Real Estate, Withdrawal Plans, and Living Benefits

Module V – Estate Settlement, the First Month After Death, and Deciphering the Will

Module VI – ETFs, ClosedEnd Funds, Conservative Options, Stretch IRAs, and Reverse Mortgages

Module I – The Individual Tax Return, Gross Income, and Exclusions Module II – Business Income and Expenses Module III – Itemized Deductions, Other Incentives, Credits, Special Taxes Module IV – Accounting Periods, Depreciation Methods, Capital Gains and Losses Module V – Withholding, Estimated Payments, Payroll Taxes, Partnership Taxation Module VI – The Corporate Income Tax, Tax Administration, Tax Planning

Module VI – Managing Assets and Paying Bills, Taxes, and Trust Termination

Additional info

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Designations Matrix

1.3

CFS®

USE OF DESIGNATION

CAS®

CES™

CIS™

CTS™

Pay $100 annual renewal fee

Complete and report to IBF 30 hours of continuing education every two years

Abide by IBF Code of Ethics and Standards of Practice

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CODE OF ETHICS

YES Click Here to View

MAY BE REVOKED FOR VIOLATION OF IC NVESTOR ODE OF COMPLAINT ETHICS PROCESS PUBLIC DISCIPLINE ACTIONS CE CREDITS AVAILABLE

YES Click Here to View

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ADV BROCHURE SUPPLEMENT DESIGNATIONS

Designations

2.CERTIFIED

2.1

FUND SPECIALIST® (CFS®)

Why are the CFS® Certification Requirements Important? A Certified Fund Specialist® (CFS®) is a highly educated, experienced and qualified professional committed to the well-being of you, your family and your business. The CFS® can provide basic and advanced guidance on a wide range of actively and passively managed investments. With the help and knowledge of a CFS®, you can determine your risk level, set realistic goals, design an appropriate portfolio, minimize taxes and protect your estate. CFS® Certification Requirements Education: CFS® candidates must complete a comprehensive advanced program designed to educate the advisor on every aspect of modern portfolio theory (MPT), mutual funds, ETFs, REITs, UITs, EANs, CEFs, asset rebalancing and taxation. Experience: CFS® professionals must have a bachelor’s degree or 2,000 hours of experience completed in the financial services industry prior to completing the CFS® course. As a result, CFS® practitioners possess extensive financial counseling skills in addition to advanced portfolio construction techniques. Ethics: All graduates must sign the IBF Code of Ethics and agree to adhere to the IBF Standards of Practice, both of which place client interests above those of the advisor and parent company. The CFS® advisor pledges to put your interests above all else, keep abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, CFS® advisors perform investment services in a professional and economical manner offering advice only in areas of competence. The CFS® marks are in compliance with FINRA and IBF.

Ongoing Certification Requirements IBF’s continuing education (CE) policy is an integral part of its commitment to the highest competency standards in the industry. Every CFS® advisor is required to regularly submit 30 hours of continuing education to maintain technical competence and fulfill ethical obligations.

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Designations

2.2

CERTIFIED ANNUITY SPECIALIST® (CAS®) Why are the CAS® Certification Requirements Important? A Certified Annuity Specialist® (CAS®) is a highly educated, experienced and qualified professional committed to the well-being of you, your family and your business. The CAS® can provide basic and advanced guidance on a wide range of annuities and investment decisions based on the client’s risk level and time horizon. With the help and knowledge of a CAS®, you can create a sound financial solution, increase your assets, enhance your retirement and protect your estate. CAS® Certification Requirements Education: CAS® candidates must complete a comprehensive advanced program designed to educate the advisor on every aspect of traditional fixed-rate, equity-indexed and variable annuities as well as portfolio construction and contract titling. Experience: CAS® professionals must have a bachelor’s degree or 2,000 hours of experience in the financial services industry prior to completing the CAS® course. As a result, CAS® practitioners possess extensive financial counseling skills in addition to practical and theoretical knowledge. Ethics: All graduates must sign the IBF Code of Ethics and agree to adhere to the IBF Standards of Practice, both of which place client interests above those of the advisor and parent company. The CAS® advisor pledges to put your interests above all else, keep abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, CAS® advisors perform investment services in a professional and economical manner offering advice only in areas of competence. The CAS® marks are in compliance with FINRA and IBF.

Ongoing Certification Requirements IBF’s continuing education (CE) policy is an integral part of its commitment to the highest competency standards in the industry. Every CAS® advisor is required to regularly submit 30 hours of continuing education to maintain technical competence and fulfill ethical obligations.

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Designations

2.3

CERTIFIED ESTATE AND TRUST SPECIALIST™ (CES™) Why are the CES™ Certification Requirements Important? A Certified Estate and Trust Specialist for Financial Advisors™ (CES™) is a highly educated, experienced and qualified professional committed to the well-being of you, your family and your business. The CES™ can provide basic and advanced guidance on a wide range of estate planning issues. With the help and knowledge of a CES™, you can determine a client’s goals, objectives and risks, the documents needed, ownership interests, gifting strategies, what trusts are appropriate, whether life insurance should be included, special elections and post-mortem planning. CES™ Certification Requirements Education: CES™ candidates must complete a comprehensive advanced program designed to educate the advisor on every aspect of property transfers during life and at death, taxation, risks, trusts and wills, drafting an estate plan and post-mortem planning. Experience: CES™ professionals must have a bachelor’s degree or 2,000 hours of experience in the financial services industry prior to completing the CES™ course. As a result, CES™ practitioners possess extensive financial counseling skills in addition to estate planning skills. Ethics: All graduates must sign the IBF Code of Ethics and agree to adhere to the IBF Standards of Practice, both of which place client interests above those of the advisor and parent company. The CES™ advisor pledges to put your interests above all else, keep abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, CES™ advisors perform investment services in a professional and economical manner offering advice only in areas of competence. The CES™ marks are in compliance with FINRA and IBF.

Ongoing Certification Requirements IBF’s continuing education (CE) policy is an integral part of its commitment to the highest competency standards in the industry. Every CES™ advisor is required to regularly submit 30 hours of continuing education to maintain technical competence and fulfill ethical obligations.

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Designations

2.4

CERTIFIED INCOME SPECIALIST™ (CIS™) Why are the CIS™ Certification Requirements Important? A Certified Income Specialist™ (CIS™) is a highly educated, experienced and qualified professional committed to the well-being of you, your family and your business. The CIS™ can provide basic and advanced guidance in generating and managing plans that provide a stable stream of retirement income. With the help and knowledge of a CIS™, you have the instruments required to create and protect a well-diversified retirement portfolio filled with fixed and variable-rate investments. CIS™ Certification Requirements Education: CIS™ candidates must complete a comprehensive advanced program designed to educate the advisor on every aspect of fixed income, preferred securities, guaranteed investments, divorce and withdrawal plans. Experience: CIS™ professionals must have a Bachelor’s degree or 2,000 hours of experience completed in the financial services industry prior to completing the CIS ™ course. As a result, CIS™ practitioners possess extensive financial counseling skills in addition to practical and theoretical knowledge. Ethics: All graduates must sign the IBF Code of Ethics and agree to adhere to the IBF Standards of Practice, both of which place the client’s interests above those of the advisor and parent company. The CIS™ advisor pledges to put your interests above all else, keeps abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, CIS™ advisors perform investment services in a professional and economical manner offering advice only in areas of competence. The CIS™ marks are in compliance with FINRA and IBF.

Ongoing Certification Requirements IBF’s continuing education (CE) policy is an important part of our commitment to the highest competency standards in the industry. Every CIS™ advisor is required to regularly submit 30 hours of continuing education to maintain technical competence and fulfill ethical obligations.

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Designations

2.5

CERTIFIED TAX SPECIALIST™ (CTS™) Why are the CTS™ Certification Requirements Important? A Certified Tax Specialist™ (CTS™) is a highly educated, experienced and qualified professional committed to the well-being of you, your family and your business. The CTS™ can provide basic and advanced guidance in managing taxable income. With the help and knowledge of a CTS™, you can offer strategies to decrease taxable income and have instructions on how to deal with the credits, deductions, and exemptions of taxes to better ensure a wealthy portfolio. CTS™ Certification Requirements Education: CTS™ candidates must complete a comprehensive advanced program designed to educate the advisor on every aspect of income taxes, credits, deductions and exemptions. Experience: CTS™ professionals must have a Bachelor’s degree or 2,000 hours of experience completed in the financial services industry prior to completing the CTS™ course. As a result, CTS™ practitioners possess extensive financial counseling skills in addition to practical and theoretical knowledge. Ethics: All graduates must sign the IBF Code of Ethics and agree to adhere to the IBF Standards of Practice, both of which place the client’s interests above those of the advisor and parent company. The CTS™ advisor pledges to put your interests above all else, keeps abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, CTS™ advisors perform investment services in a professional and economical manner offering advice only in areas of competence. The CTS™ marks are in compliance with FINRA and IBF.

Ongoing Certification Requirements IBF’s continuing education (CE) policy is an important part of our commitment to the highest competency standards in the industry. Every CTS™ advisor is required to regularly submit 30 hours of continuing education to maintain technical competence and fulfill ethical obligations.

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ADV BROCHURE SUPPLEMENT MASTER’S DEGREE

Master’s Degree

3.MASTERS

3.1

SCIENCE IN FINANCIAL SERVICES (MSFS)

Masters of Science in Financial Services (MSFS) While other Masters programs provide a great deal of theory, that theory often has little relevance or applicability to an advisor's actual practice. Graduate-degree business courses use textbooks whose content has little to do with estate, financial, investment or tax planning outside of academia. The IBF MSFS program uses books written by financial advisors for financial advisors. The core of the MSFS curriculum is five certification programs. MSFS Requirements Education and Experience: Applications for admission to the IBF graduate program are welcome from candidates with a Bachelor’s degree from an accredited college or university. The student should also have a minimum of five years experience in the financial industry. In order to demonstrate this competence, students must pass a series of examinations, culminating in a financial planning capstone course. MSFS graduates are expected to be proficient in: topical knowledge, meaningful analysis, strategies, presentation plus implementation and review. The MSFS degree program consists of the following graduate courses: MS500 - Certified Fund Specialist® (CFS®) MS510 - Certified Annuity Specialist® (CAS®) MS520 - Certified Estate and Trust Specialist™ (CES™) MS530 - Certified Tax Specialist™ (CTS™) MS540 - Certified Income Specialist™ (CIS™)

MS600 - Financial Planning MS610 - Investments MS620 - Real Estate MS630 - Portfolio Management MS640 - Insurance MS650 - Retirement Plans & Employee Benefits MS700 - The Financial Plan

The MSFS advisor pledges to put your interests above all else, keeps abreast of industry standards, new strategies and academic white papers. While conducting all activities with the highest standards of integrity and honesty, MSFS advisors perform investment services in a professional and economical manner offering advice only in areas of competence.

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