My name is Dylan - just signed up for first module a few weeks ago. Planning to submitt the assignment tomorrow arvo. Was a real big pain because it's so 'back to books' its so far away from what really happens. I'm a paraplanner and got the next 12 months to finish all modules + gearing & then become an Authorized Rep for my dealer group. Been paraplanning for 7 months now straight out of uni.
Not up for sharing emails but will be around this forum alot and happy to help anyone and bounce ideas, etc.
PM or discussion of forums - I'll do my best to contribute.
If anyone else is out their doing Kaplan Foundations of Financial Planning (SN1001, updated Mar-11)? I'm working on the assignment (Peter and Susan and Attain Financial Planning), and wouldn't mind bouncing some ideas off people!
wish I'd seen this site a while ago, due to hand in assign shortly, the SOA has taken me ages, have found the questions much easier to answer. I believe we have to use same headings as in the Case study SOA just not sure if we are allowed to use same wording and input our own figures and scenario? Have found studying this way a little frustrating, so think buddy system is a good idea. FFP is only the 1st subject but seems to entail considerable work for an introductory subject, I suppose understandable due to all the legislative changes being introduced in the industry.
How do you work out the asset allocation weightings ??
HI there, found this old post that might help answer your question:
Look at the different asset classes in the portfolio - property, shares, cash, whatever. Then total up the value of all the assets and work out what is the proportion of the total investment assets that's invested in each class, as a percentage? That's how you work out your asset allocation and I'm pretty sure that's how they've done it in the case study. The fact that they haven't taught this means that there can't be much weight put on it though - just give a percentage by value in each asset class and yo'll be fine.
The variances I think come from how much they've actually got allocated in each category compared to their ideal asset allocation, the notional asset allocation that is inferred form their risk profile.
In a real SOA you'd make your recommendations, look at the asset allocation that resulted and figure out from that whether or not your recommendations matched their risk profile - are they overweight in some categories/underweight in others? That's how you'd fine tune your recommendations to ensure that the risk/return of the whole portfolio is balanced to their risk profile.
Don't get too caught up in the mathematics - that's not really the point of the exercise. You do portfolio construction in IP1.
I've just received my Books and have been reading my way through the enormous amount of study pages over the weekend. I'm keen to hear from anyone that is studying the same subject at the moment so we can bounce ideas around for the SOA (Susan & Peter). It doesn't look too tricky, but seems very time consuming!! email me at email@example.com if you feel like starting a little email study group, or at least a sounding board for ideas.