SDIA Professional Program = Professional Diploma in Securities & Derivatives
The SDIA Professional Program is replacing the SDIA Accreditation Program. Final enrolments for the SDIA Accreditation Program close 30 September 2008.
Exemptions will be given to those who have already completed the SDIA Accreditation Program, the ASX ADA 1 exam, and the SDIA/RMIT Superannuation Module.
The SDIA Professional Program is delivered in partnership between SDIA and DeakinPrime, the corporate education arm of Deakin University.
Further information on program structure, fees and assessment details can be found on the Professional Program section of the website. Please click here or contact the SDIA on 02 8080 3200.
To complete the SDIA Accreditation Program, your skills must be deemed 'Satisfactory' in all the areas listed below in addition to achieving a pass your online examination. This assessment will take place by way of a 'role-play' conducted by your work place skills assessor (or SDIA
in the case of candidates not yet employed in the industry) in which you will be required to respond appropriately to a given client scenario.
Should you fail to achieve a satisfactory result in your first skills-based competency test, your skills assessor will advise on areas for improvement and provide the opportunity to resit the test using a different scenario.
Questionnaire - student checklist
The following questions indicate areas that your skills assessor will be evaluating in your competency-based test.
1. Establish a rapport with the potential client
- Was the candidate affable and interested in establishing a professional relationship with you?
- Did the candidate provide information about the firm and its competencies in assisting you - for example, information on portfolio management, research and IPOs?
- Were you queried about your knowledge and experience in buying, selling or valuing shares?
- Did the candidate explain fees the firm charges, and commissions the candidate might receive?
- Were you told about the process of establishing an account with the firm?
- Were you briefed about complaints handling and what to do should you wish to make a complaint? Did you gain confidence that your account details would remain confidential?
- Do you understand the support services available from the candidate's organisation, such as a sweep cash management account arrangement, and CHESS broker sponsorship versus issuer sponsorship?
2. Identifying client objectives
- Are you satisfied that the candidate obtained sufficient personal information to complete an account form? (For example, a full street address rather than a PO Box number is required.)
- Were you queried about your financial objectives and goals?
- Are you comfortable that the candidate appreciated your perception of risk and your requirements to preserve capital?
- Did the candidate ask about income/franking requirements?
3. Analyse client's objectives, needs, financial situation and risk profile
- Did candidate obtain required information on your objectives, needs, financial situation and risk profile, and its confirm accuracy?
- Were your assured by the candidate that he/she was sympathetic and understood your requirements?
- Were the risks of investing explained to you so you understood variability of prices, income, franking and other relevant concepts?
4. Develop appropriate strategies and solutions
- Has the candidate:
- put forward an investment strategy?
- briefed you about relevant research available from your firm on the suggested securities proposed?
- explained why the proposal is consistent with your expectations for income, franking and capital appreciation?
5. Present appropriate strategies and solutions to the client
- Were you satisfied that the candidate explained the strategy in plain language, ensuring that your requirements were addressed?
- Did you learn about the securities proposed for investment and likely price to be paid per security?
- Was a written strategy document offered (Statement of Advice)?
6. Negotiate financial plan/policy/transaction with client
- Did the candidate determine whether you had any issues, concerns or queries regarding the proposed transactions?
- Were you asked to confirm your approval to initiate the transaction?
7. Coordinate implementation of agreed transaction
- Did the candidate know the firm's procedure for obtaining a supervisor's authorisation (if required) for the transaction?
8. Complete and maintain necessary documentation
Note: As contact with clients is usually via the telephone, the candidate must be able to explain the contents of the various documents, which will be forwarded to the client. At the very least, they should explain the firm's FSG, Privacy Policy, Broker Sponsorship and that the National Guarantee Fund does not cover CMT transactions.
9. Provide ongoing services (optional at your discretion)
- Did the candidate offer to provide ongoing research about the securities specified and periodicals such as client newsletters?
- In regard to ongoing services, did the candidate explain review services and fees, information charges (including for online information), as well as ongoing fees, trailing commissions and portfolio administration fees?
- Were you advised that the candidate would make periodic contact to confirm that your circumstances remained consistent with the investment portfolio?
Upon completion of the test, your skills assessor will indicate on the Skills Assessment Record whether you achieved, overall, a satisfactory level in each of the nine skill levels listed above.