U.S. Survey shows consumers continue to have misconceptions about Financial Planning process.

NEW U.S. SURVEY SHOWS CONSUMERS CONTINUE TO HAVE MISPERCEPTIONS ABOUT FINANCIAL PLANNING PROCESS
- Many Expect Assurances That They'll "Be Made Rich" -

Denver, Colorado, February 19, 1999 - While Americans' general understanding of the financial planning process continues to improve, a new survey shows that many do not know what to expect during a financial planning engagement.

The good news: 69 percent of those surveyed correctly expected a personal financial planner to find out what their personal and financial goals and needs are before providing specific recommendations, according to research from the Certified Financial Planner Board of Standards (CFP Board). However, the national survey of 1,016 adults, conducted February 12-14, 1999, by New Jersey-based Bruskin-Goldring Research for the CFP Board, also showed a number of telling misperceptions. More than one-third (36 percent) of respondents would mistakenly expect financial planners to promise to put them into the best-performing stocks and mutual funds before providing them with specific financial recommendations, and a surprising 17 percent expect to be assured that the financial planner can make them rich. Another 16 percent of survey respondents expect - also mistakenly - that financial planners require clients to pay up front for their services.

Don't Set Measurable Financial Goals 69.7%

Make a Financial Decision Without Understanding Its Effect on Other Financial Issues 69.4%

Confuse Financial Planning with Investing 69.4%

Neglect to Re-evaluate their Financial Plan Periodically 62.7%

Think that Financial Planning is only for the Wealthy 50.4%

Think that Financial Planning is Something You do When You Get Older 41.4%

Think Financial Planning is the same as Retirement Planning 40.6%

Wait until they have a Money Crisis to Begin Financial Planning 37.4%

Think that Using a Financial Planners Means Losing Control of their Decisions 34.2%

Believe that Financial Planning is Primarily Tax Planning 18.7%