Monkey to Millions | E228: Victor (Session 12) - Certified Financial Planner (CFP) Overview + Study Plan
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In this session, Victor shares his progress and if he passed his Insurance exam. We focus most of the episode discussing the CFP designation, the merits of going for the CFA after that, the importance of golf and a few other credentials including the CIMA and CAIA as other potential options down the line.
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WSO Podcast (Episode 12) Transcript:
Patrick (CEO of WSO): [00:00:22] Hello and welcome! I'm Patrick Curtis, chief monkey of Wall Street Oasis. And this is Monkey to Millions, a show where you get a front row seat. As I mentor young students and professionals to try and help them break into their dream jobs. In the first cohort, you'll meet four students all preparing for intense job interviews while trying to also balance a personal life and schoolwork. The goal of this show is to shine a light on the struggles of trying to break into competitive positions with a non-traditional background and to give you a road map for your own success. My hope is that as you get to know these four impressive students, you are inspired to dream big. Remember, these are real people and this is their true story. Let's get to it, in this session, Victor shares his progress. And if he passed his insurance exam we focus most of the episode discussing the CFP designation, the merits of going for the CFA after that, and the importance of golf, and a few other credentials, including the CIMA and the CAIA as other potential options down the line. I know that's a lot of abbreviations. Enjoy! All right, Victor, you're on the spot. Welcome back.
Victor: [00:01:38] Thank you! It's okay to drink water, right? Like…
Patrick (CEO of WSO): [00:01:40] Yes, yeah of course. So in terms of just updates you had last time we spoke, you had an insurance exam coming up. Let's get some updates.
Victor: [00:01:50] Correct, so it was not like a hardest exam on the planet but it was an exam that you had to kind of prepare for it and being like a bombarded with work. So kind of try to push for myself and set up the exam. I think the early November I passed the exam. There were a few other items so now I'm finally like I would say fully licensed in every sense like have the insurance seven top off and the 6 to 6. So I'm good to go, so don't have to worry about any of those. Yeah, so it's been a great and I started. I don't know, I think I told you back in July.
Patrick (CEO of WSO): [00:02:27] What's the… sorry, sorry to interrupt. What's the insurance? What's it called? Like the insurance exam.
Victor: [00:02:31] It's called life health and accident. Basically on accident, basically once you have that insurance you can sell annuities, you can sell insurance, you can sell all kinds of stuff. So it kind of gives you overall like not only you can do bonds.
Patrick (CEO of WSO): [00:02:45] Probably where a lot of the profit margin is too on the…
Victor: [00:02:48] Oh, yes. And especially with the boomers generation like retiring everyone turns into annuities. So it's going to be a good market to tap into. Just wanted to kind of position myself.
Patrick (CEO of WSO): [00:03:01] So once you pass that once, are you done forever?
Victor: [00:03:04] Yes, you are. Yeah, you are done. I mean, there is like a continuing education just like for any license that you do. But you're kind of done unless of course you get convicted of fraud or something like that. Then yes, they take that away. But overall yeah, that was it. Like once you're done you just do continuing education every 2 or 3 years and you're good to go.
Patrick (CEO of WSO): [00:03:23] Okay and then so now you're turning your focus to what?
Victor: [00:03:27] Yeah, I right away. The day after I just started CFP. I think I talked to you back in July before my like long trip that this was my goal for the next entire year first to try to get promoted. And I'm still working on that too. And also finish that CFP before I get promoted to the next role. Yeah, so there are six classes.
Patrick (CEO of WSO): [00:03:50] CFP stands for Certified Financial planner, right? Okay and so guide me through. You said there's six there's steps to it or like is it one exam you sit for? Are there levels? How does what's a CFP?
Victor: [00:04:01] So there are few requirements. First, you need to have a bachelor's degree in any college accredited in United States. I think there are some foreign investors but it has to be accredited by the government. So that's the first requirement. Then you need to have I think close to 6000, maybe a little over 1000 hours under your belt as a financial and in the financial industry, you can't even count. Yeah, so you can't even count your like I think to the best of my knowledge here I'm speaking. I'm sorry, I think it's 3000, not 6000. It's 3000 hours, so that's because about three years so that's three, give or take three.
Patrick (CEO of WSO): [00:04:41] I think it's like a year and a half, right? Is it like 2000 hours? Like 40 hours a week times 50 or 50 hours a week times?
Victor: [00:04:48] 40 it’s about thousand. 2 thousand then it's 3. It's about 6000. Yeah, that's 6000.
Patrick (CEO of WSO): [00:04:53] Oh, it is about 6000. Yeah, that makes sense. Yeah, 6000 that’s a lot.
Victor: [00:04:57] Yes, 6000 hours.
Patrick (CEO of WSO) [00:04:59] An actual certification so you have 6000 hours and you're about around three years of experience.
Victor: [00:05:03] So exactly, you cannot put you can sit and pass the exam but you cannot put the CFP they need to have 6 thousand hours. So to the best of my knowledge you kind of count the hours you did as a internship as long as it's considered in the financial industry they take anything. So even though I'm hoping to pass this exam and pass in July I won't be able to put that CFP designation under my name till following year of August or September something like that.
Patrick (CEO of WSO): [00:05:32] 2024 or something like that.
Victor: [00:05:34] 2024, correct? Yes.
Patrick (CEO of WSO): [00:05:36] Okay but that's good. You'll have it done.
Victor: [00:05:37] It’s not bad at all. Yeah, it's not bad at all.
Patrick (CEO of WSO): [00:05:41] You can probably put on your CV to like pass the exam, but…
Victor: [00:05:45] Correct, so the designation 6000 plus hours. And then third, it's two part first education part which have six classes. You got fundamentals, insurance, investment, taxes, retirement and estate planning. And then plus two portion of a capstone. One is just basically reading some material and then taking a exam within that education. And the second one, you put together a PowerPoint and basically it's a case with the client. If they kind of you want to showcase what you've learned from this and you're trying to act like an advisor to kind of this is what you do, you gather information, qualitative, quantitative, you search for the course of actions, you gather information, you present financial and all that good stuff. You're kind of you're doing about 30 minutes of presentation. And that kind of covers the education part of it which already finished the third I'm about to finish. I finished the…
Patrick (CEO of WSO): [00:06:49] Are they providing the actual training to get ready for it?
Victor: [00:06:53] Yes. So, yeah Fidelity Partners with the third party vendors. The one I work with is Dalton and they have also partnered with. So the certificate will be from a Berkeley University. So they are. Yeah, they put they're…
Patrick (CEO of WSO): [00:07:08] You have to be sponsored by like a Fidelity to get it or can anybody randomly just sign up for the CFP and disappear?
Victor: [00:07:13] And so I think anyone can do that.
Patrick (CEO of WSO): [00:07:17] You still have 6000 hours.
Victor: [00:07:19] Exactly. Yes, anyone can do that. The only thing I think you need a sponsor for your license exam seven and six to six and insurance but CFP. Yeah, CFP because I know I work with a lady like last year fidelity. She was stay at home before she started Fidelity. And for ten years she basically took classes. Weekends at Michigan University and it took her like four years. But she got it done and she sat. And that was like three, four years prior even the CFP. So yeah. So I think, yeah you can. I think you can be that you don't need a sponsorship.
Patrick (CEO of WSO): [00:07:55] That's cool. Yeah, so and then same with like Sie you can do Sie prior to getting the series seven and series, and other top series 66 top off exams. Which is changed a few years ago. So that's new for all the undergrads listening who want to kind of get a head start. If you do want to take the Sie, you're interested in being in securities, asset management, hedge funds, whatever even banking, a lot of the banks require it now. Yeah, the Sie so that's a good place to go. So okay, so this it sounds like how long will you have to study and how much does it cost you? Does it cost you anything or Fidelity sponsors it?
Victor: [00:08:30] So the way it works. Fidelity sponsors and you pay from out of pocket. You pass the test then you kind of get a reimbursement. And of course the tech tax it's around like $8,000 everything included.
Patrick (CEO of WSO): [00:08:45] Wow, that's a lot.
Victor: [00:08:46] Yeah, it's a lot and but fidelity pays for it. I mean you still have some kind of skin in the game. That being said is like an Uncle Sam tax attacks so even though you pay like per course around like twelve, thirteen hundred dollars fidelity pays you thirteen hundred dollars. But before you get that $1,300 whatever the tax you pay. Exactly, so it is not bad at all. Like if in the grand scheme of things, maybe you spend maybe six years ago.
Patrick (CEO of WSO): [00:09:10] Why wouldn't they just like it would be so much better if they just paid for it directly and then save you.
Victor: [00:09:15] I think they're trying to make sure you have some kind of skin in the game because they want to make sure you kind of take the you responsibly pass it. They don't want to waste money or resources. So you know that's the explanation at least I got which is what the question I had for them. Like, why don't you guys pay? And you guys kind of just we'll go through, you know, the through hoops like trying to get this reimbursed but kind of yeah, kind of makes sense though.
Patrick (CEO of WSO): [00:09:43] Cool. Okay, so that's interesting. So there it is. Mostly reimbursed 70%, reimburse or sell?
Victor: [00:09:51] Yes, mean about 95%. You get it back at about 5% of our overall, it's like 4 to 600 maybe probably will come out of your pocket and which is going to be taxes.
Patrick (CEO of WSO): [00:10:01] Right, so and then okay, so they don't pay fully. They pay most of it and then.
Victor: [00:10:07] Most of it about 95%. Yeah, I mean to their credit they say. Hey, we paid and there's nothing we can do if government wants their cut. So it's like your benefit government taps into if that makes sense.
Patrick (CEO of WSO): [00:10:19] Yeah, that makes sense. Okay, so then, you basically. Okay, so you're going on that. How long do you think it'll take you to get through all the education section?
Victor: [00:10:27] So I finished fundamentals and insurance. I finished the portion one of the capstone. I'm about to finish the investment and I'm in January, February those two months. I'm gonna work on taxes, retirement and estate.
Patrick (CEO of WSO): [00:10:44] How long and crazy. So how long do people usually take to do this? So there's like how much video and stuff?
Victor: [00:10:48] I bought it, people take about nine months or so, but I'm going to do about within four months of just the study because I've been studying pretty much like 20 to 25 hours per week. Early in the morning on late nights, I watch the videos, read, take notes, do quizzes, do midterms. I do way ahead of the schedule. So I was supposed to be just finishing my midterm on my fundamentals but finished already that and insurance and the capstone.
Patrick (CEO of WSO): [00:11:14] So there's like there's midterms there's stuff. But is it all asynchronous or is there a live instructor that's teaching you as well?
Victor: [00:11:22] Two ways, so thank God they also have the archived, you know, 600 plus minutes.
Patrick (CEO of WSO): [00:11:29] Okay so you're using that really to go. And as long as you're passing the quizzes as you go in the midterms and all that.
Victor: [00:11:34] Yeah, got about 100 midterm 95, 97 and it's required about 70% overall grade. So I've been doing pretty well like above 85, 87 so far. And the way I was told that, yeah, I'm going to try. So that way I need to make sure the girlfriend is happy with the schedule too. So that won't take too much time off her plate.
Patrick (CEO of WSO): [00:11:56] Morning and night is hard.
Victor: [00:11:58] Exactly, but the hardest part is think is going to gonna when the rubber meets the road so to speak is want to finish them all early March you got a review course it's basically consolidated version of you've studied across the six topics and they put it all together you study for about twice like a GMAT in a way but a lot less like a lean version of GMAT. You kind of study, they have whole schedule and then you sit because the exams are only 3 or 4 times a year or three times a year. Know this in July, November, March. Yeah, I think 3 or 4 times a year.
Patrick (CEO of WSO): [00:12:33] So this company that's training you, they have like practice exams? It's the practice exam.
Victor: [00:12:39] Yes, for each course you have a practice exam. And there's also one more review course which you get assigned a coach and you study everything you've studied in far linear version. What they think that might be like 89% of the exam which is based on what I've read. Like it's about 90% like a success rate, if you pass around. If you score consistently around like 80% in the exam, you pass around 90% of the time. So which is great. I'll take it, you know.
Patrick (CEO of WSO): [00:13:06] Yeah. Well, it sounds like you're doing fine with the reviews. So my guess is if you just keep going at the pace you're going, you could probably even speed it up a little bit. Are you allowed to speed up the videos when you're watching them?
Victor: [00:13:17] Yeah, that's what I'm doing. Like I do on a two a level, two speed and I also 2x. Yes, so I do like a early morning when I go for a run, which time when I work out. Yeah, just I focus but also like understand that because I've read the books usually. So I kind of go listen to double speed so I know what the conversation goes and want to take the quizzes, whatever the parts that I miss. I just work on that specifically, take the midterm and move on. And again, I'm not trying to learn everything. I'm just trying to make sure I pass because the review time which is I'm hoping in March that's going to be the part that I need to kind of buckle down, do about 15 to 17 hours weekly for about four months to…
Patrick (CEO of WSO): [00:14:01] My God.
Victor: [00:14:01] It's very hard designation, but it's one of the…
Patrick (CEO of WSO): [00:14:05] Does it help? It really helps you get promoted, you think within.
Victor: [00:14:08] I mean to be honest, once I do that and have like a bunch of mentors through your help like the guys are like number one, number two, number three in the nation in terms of financial consultant. So if I got the education part and designation, if I got the part, they kind of tutored me, how do I go about like earning a business, building my book? I don't know like it's not 100% but I'm positive that I'll look very good, that I'm fairly like.
Patrick (CEO of WSO): [00:14:38] Yeah, And then you did it fast. Are you able to start building your book? Right? You'd have to be promoted, right? But then promoted. You have to wait till you have the CFP to start building your book or…
Victor: [00:14:48] No, it doesn't matter. It's just for me to kind of like a bragging, right?
Patrick (CEO of WSO): [00:14:52] Yeah, like in branding and making people comfortable. You get phoenix your name on LinkedIn yet?
Victor: [00:14:59] Exactly, stuff like that and I get a lot of like a job interviews request and I believe like once I have that, it's going to be like a probably ten times more.
Patrick (CEO of WSO): [00:15:12] Yeah, that's great, man. This is super exciting. I'm happy you have a path. It's so much easier when you have a path.
Victor: [00:15:18] Exactly. And all that, Thanks to you! Because I was kind of adding like.
Patrick (CEO of WSO): [00:15:22] You're just, you're going through a lot. And you, I don't think it was thanks to me. You put in the work, that's the hard part. I think it was just a little. You just needed a little bit of like direction. Just a little bit and then you went, you know, once you got your feet under you. And then you're off to the races. So that was good.
Victor: [00:15:42] I mean, the plan is that I have two more things I want to actually do after this. Definitely, I'm kind of debating over a CFA and there is a SEMA or SSIM or Cima something like.
Patrick (CEO of WSO): [00:15:55] Yeah, survive Investment management account. What is it certified investment?
Victor: [00:15:58] Management something, You know, it's a good associate.
Patrick (CEO of WSO): [00:16:06] Associate and yeah so, what's the difference? This is good. We're gonna have a I'm going to already know the title of this podcast is going to be like CFP Overview Certified Financial Planner Overview. The pure SEO play we're going to embed this video in the CFP article we've written. It'd be great.
Victor: [00:16:22] Yes, now that's awesome man. Anything that I can help. And again, this is based on just what I know.
Patrick (CEO of WSO): [00:16:27] Yeah, because I don't know anything about this stuff because I never went down the asset management path, yeah so it's great.
Victor: [00:16:32] No, it's great because it once you know finance and might as well get an expert learn everything that you can. Of course you're not going to. I'm not going to probably manage portfolio for institutional investors but at least have a knowledge. When I speak like competently. I speak the you know, it is very important to get clients first impression with the knowledge, with the poise, with the stuff that you do, because that's how you build the business. And once you build the business, I'm just going to throw this out there. I know we're on finance, you what is it like a Calvin Coolidge? You know, he said that in America we score by like making money is how we score or business how we score something along those lines. So a couple of my mentors, they make like $850,000 last year like around that time and they've been in like a 15 years. And now, of course it's like a high to kind of but with ambition and knowledge and everything I mean, $850,000. I don't know. It's a pretty good amount of money, is what I'm thinking, you know?
Patrick (CEO of WSO): [00:17:33] Yeah, it's a lot of money. That is a lot of money. I mean, the thing I'll say is like. Yeah, it's a long road, right? It's a long road to get there and it's. And it starts it's exponential, right? Because it's like you could be stuck at like 150,000, 160,000. It's going up like this and suddenly you get one big account and it's like, boom! And it just takes off and it's like and then suddenly they bring it in and boom, boom, boom. And suddenly it's like, oh, all this ten years of like really tough thing. And then suddenly like the last five years, it didn't double. It like quadrupled.
Victor: [00:18:07] Exactly and exactly.
Patrick (CEO of WSO): [00:18:10] And that's the your book, right?
Victor: [00:18:11] Exactly, motivation. No, that's what I'm kind of focusing on. The first part of education getting designation. You kind of getting me like in front of the client. Hey, I know what I'm talking about, you got to understand.
Patrick (CEO of WSO): [00:18:21] Like when people ask like. Hey, how long have you been doing this? So you say two years or three years. And then when you say over a decade suddenly like the older and you start getting more gray hair. It's actually good. It's good you're dying at white start dying at white getting like look older. You want to look older, right?
Victor: [00:18:40] Yes.
Patrick (CEO of WSO): [00:18:41] Get glasses so you don't need prescriptions, you know, whatever.
Victor: [00:18:45] In this business you do a little bit of an older folks, they do get a little bit more like respect. But I think the point is what I'm trying to say is once they see that like the hustle that you put in there, you have the poise, you know how to talk and all that good stuff. And then you bring the kind of like it's my kind of meal ticket. Now you can kind of sit down and trust me, I'll take care of from here.
Patrick (CEO of WSO): [00:19:07] Well, yeah, your trip a track record, Right? That's you can't.
Victor: [00:19:11] Exactly, and of course it's going to take time. But also I want to like one more thing. Probably I need to start like going playing golf. So once I'm done with all this. Yes I do because oh, my God, so many people with so much money that's all they do. And that's basically breeding ground for a client. If you want to start poaching.
Patrick (CEO of WSO): [00:19:33] It’s like expensive game that or you could go a different angle. You could start learning squash too, golf and it'd be funny. You get like the trifecta of like really ritzy sports. What's the third one was going to say? You start doing polo. No polo like on the horses with the thing.
Victor: [00:19:56] Oh okay, maybe not that one but horses are expensive. Yes, but golf is like something on the list, to be honest.
Patrick (CEO of WSO): [00:20:05] If you could spend a couple thousand dollars a year. It's a good marketing like and like you have fun too. Oh, tennis I was going to say is also potentially a good one.
Victor: [00:20:15] Like a regular thing, not the ping pong, right?
Patrick (CEO of WSO): [00:20:18] No, tennis like actual table tennis like. Yeah, full on tennis tends to be a little bit more like that too, in certain areas. So that could be fun.
Victor: [00:20:25] Yeah, most of the clients I know that my FC is my financial consultant that golf like they are like dude, you need to learn golfing. You need to learn golfing, I'm like yeah. I'm like I'll get there just let me finish the education because all of that. I will start, you know, and also. I know that you need a little bit of money to kind of Head Start. I have played golf twice.
Patrick (CEO of WSO): [00:20:46] You don't need that much money. Yeah, like lessons are expensive. I would take a couple lessons, go to the driving range, get a few more lessons so that you're not you can hit the ball. I mean, the key is like you can hit the ball and it's not like it's faster. Yeah, like it's you don't need to be beating them. You don't need to be like a semi-pro or anything like that. You just need to be like able to get down the fairway and like cut it, put it in the hole, you know, like no without hitting like a triple bogey every time.
Victor: [00:21:17] Yeah, I think have like a colleagues and they all, they've been playing passionately for years so I'm going to start like a kind of joining them and it's at this point it's like a matter of time. I just need to like one thing at a time that's finished.
Patrick (CEO of WSO): [00:21:30] Of course, that's a weekend. Usually a weekend thing.
Victor: [00:21:33] Yeah. I mean, like again, barely like please with the girlfriend try to make sure that we fit everything in there.
Patrick (CEO of WSO): [00:21:42] Well, cool so CFP that's going so, yeah tell me, what's the difference? So CFA I know it's typically used for like people who want to go asset management with hedge funds anything market oriented. So CFA is very well respected, obviously probably more than the CFP, would you agree? But it's a little bit more broad in the sense of right. Like it's more of like a stamp but it's also would you say harder than the CFP or not?
Victor: [00:22:07] I've based on what I've read not level one but level three. And like I've heard, it's really far harder than CFP because CFA requires far more technical knowledge than CFP. In CFP, you do a little bit of technical knowledge at present value but anyone took finance. Basic finance should be fine with it. You know, it doesn't require much but with the CFA it's basically far more technical which makes it harder if that makes sense.
Patrick (CEO of WSO): [00:22:35] Yeah, I mean if you're looking for the ultimate branding though. I think, you pair it suddenly you say, Victor Davis comma CFA comma CFP.
Victor: [00:22:46] And CMA hopefully yeah.
Patrick (CEO of WSO): [00:22:49] So what's the difference with CMA? What’s CMA? I've heard of it Certified Investment Management Associate similar to.
Victor: [00:22:54] Associates, something like that. So it's basically the next level. Once you are like a 5 to 7 years in a business, it's basically the think of this as an executive MBA for the CFP, if that makes sense. That's the closest I can.
Patrick (CEO of WSO): [00:23:12] Got it. It's like the next level for CFP. Is it run by the same people that do the CFP?
Victor: [00:23:17] It's different company, but it's very highly coveted, highly respected designation.
Patrick (CEO of WSO): [00:23:24] And it's how hard to get harder than similar?
Victor: [00:23:28] Harder than harder than CFP, easier than CFA, somewhere in between. Again, this is all to the best of my knowledge.
Patrick (CEO of WSO): [00:23:35] I would wait on this. I would wait on the CMA though.
Victor: [00:23:38] Oh yeah, down the line but first, CFP, golf, CFA, then CMA.
Patrick (CEO of WSO): [00:23:44] I think that's a good plan. Yeah, because I think the CFA will give you even though it's going to be a pain once you have those two and it's going to, you're going to learn along the way. I think once you have those two kind of you'll just be so you'll studied so much on markets and options and derivatives and you know, insurance, taxes, all this stuff, financial planning. Like you'll really have a I feel like a really nice feel not just because CFA feels a little more market oriented whereas CFP is really about like the planning, the financial planning.
Victor: [00:24:16] Correct.
Patrick (CEO of WSO): [00:24:16] Portfolio allocation and all that stuff. Whereas CFA, there's some overlap too which will be nice.
Victor: [00:24:21] Yes, correct. And also overall goal is here like having the knowledge at your fingertips and knowing what you're talking about and getting that like respect and impression that, okay, you know, this guy put this much, this many hours to study this past this. So yeah, I'm a little bit of a gray hair. Hopefully in about ten years.
Patrick (CEO of WSO): [00:24:39] I think level two is pretty tough from what I've heard. I think level one is not that bad. And then it's a real big jump to level two and level three too, as well.
Victor: [00:24:49] That is what I was told, like CFP harder than level one of CFR but level two and level three makes it back up another level comparable.
Patrick (CEO of WSO): [00:25:00] Not fun, dude.
Victor: [00:25:01] Yeah, which is why like 5 to 600 hours is what they.
Patrick (CEO of WSO): [00:25:05] But, you know, it's a filtering mechanism. It's a proxy.
Victor: [00:25:08] Correct, it's like going to college. Like this is what the target college. And like people who scored like SAT scores like a you know.
Patrick (CEO of WSO): [00:25:17] Yes, if you pair that, if you pair Georgetown with the CFP, I think you're really in a good spot. You can start actually looking for business. Georgetown alums in your area start trying to go to alumni. You got to be going to alum meetings like being involved there, shaking hands, playing golf.
Victor: [00:25:35] Yes, and a funny life nothing to complain about.
Patrick (CEO of WSO): [00:25:39] Well, I mean you become a net-worker like a professional net-worker. That's basically your job eventually. Right, so like and…
Victor: [00:25:46] And also, you make a lot of friends along the way. So which is I don't mind at all and which is what I'm really like happy that I'm always going to be your mentee for the rest of my life because that part you can always teach me how to do well, like…
Patrick (CEO of WSO): [00:25:58] Well like I mean even think about real estate, right? So like, all, like you have broker friends now and real estate agents. And then if one of them trusts you some of them have a lot of money. If 1 or 2 of them trusts you then they tell their real estate friends. Oh, I manage my money with Victor, helps me manage, and boom. You bring in some new clients there. But it's now it's kind of a tough time because probably a lot of people are. Like angry because the markets are down so much. Especially at financial planners and like, why is my portfolio down 20%? You're like the market's down 35%, we're doing an amazing job.
Victor: [00:26:31] Yes, yeah, we are really trying. Yeah, I mean it comes with the territory. You kind of you know.
Patrick (CEO of WSO): [00:26:37] You know it's coming. Yeah, it's interesting. Do you have any perspective or do they teach you any of this stuff? Anything about alternative investments? Now, with like the art and wine and whisky investments?
Victor: [00:26:48] Very little, we don't really go into in depth. Again, it's more of a like for us it's on an individual level and a family level. What involves that? Hey, you need to start saving for retirement. How do you save for retirement? These are the accounts you need to save for a children's education. This is like an employee benefits and stuff like that. It's just very much.
Patrick (CEO of WSO): [00:27:10] Yeah, it might be interesting for you to look into the CAIA, certified alternative investment associate.
Victor: [00:27:18] CIAA?
Patrick (CEO of WSO): [00:27:20] CAIA, chartered alternative investment analyst association. Global professional body alternative investment credential program. So it's like I think it's about. I think we named like every possible like designation certification around like anything with markets oriented. So like CFA is obviously the most well known. The biggest CFP is more for like just financial planning tax, including taxes, insurance, all that good stuff like estate planning, really right? It's more a little bit more focused there. CFA is more market oriented. Then you got SEMA, which is almost like version level two of the CFP later down the road is just more complex. Things like defined benefit plans and like crazy stuff there.
Victor: [00:28:02] It's more of a like a for a wealth advisor you have like 3 million and plus you basically…
Patrick (CEO of WSO): [00:28:09] Probably a state plan like complex estate.
Victor: [00:28:09] Complex. Yes, exactly.
Patrick (CEO of WSO): [00:28:11] Yeah, so like you have like real estate assets here. You have this is for high net worth individuals stuff like that. Okay, so then you have that's the SEMA that’s CIMA and then you have the CAICAIA.
Patrick (CEO of WSO): [00:28:25] Alternative certified alternative investment analyst and that's for alternative investment kind of knowledge and stuff like that. It might be interesting, it might be a different thing where it pairs nicely. Imagine being CFP, CFA, SEMA like.
Victor: [00:28:45] I mean and the point of that…
Patrick (CEO of WSO): [00:28:47] I don't know if you want to do that.
Victor: [00:28:48] No I actually to be honest I enjoy studying, I enjoy learning, I always read books and all that stuff but kind of mean I kind of like derive a lot of pleasure from this. So it's not just work for me. I don't need to do this because I'm forced to.
Patrick (CEO of WSO): [00:29:00] It doesn't have to be all like once you get. I think once you get the CFP and the CFA, I think that's a nice pair. I don't think you need there's no rush. I mean once you get the CFA, act like it's small. That's like a year and a half, two years thing. You know, we're talking 25 here.
Victor: [00:29:15] Yeah, and also like hopefully the whole point is that they're paying for all of this. So you kind of go on your own term and it's not like you have to spend much other than time. And if you can't schedule that well, you know, I'm trying to do all of this before like next four years before I turn like my gray hair was. Yeah, 40 exactly. So got all of this and have the education and I wanted to do MBA but they told me that I don't need to do this at all. Like, especially with this market and everything. So I'm good to go there. I have about a year and a half left from my GI Bill that I can use but down the line, maybe I can do an executive MBA just for myself. Maybe I'm in my 50s or whatever.
Patrick (CEO of WSO): [00:29:58] Yeah, later on I think. Yeah, if you're interested in kind of changing gears or doing something different or part time. Yeah, I think at that point the thing with this job is it kind of locks you in because once you build a big book it's kind of like very hard to leave. So even if you're making like 400k recurring and it's not that much work suddenly you're like well, I kind of have to. Something else that I can do that's going to like be getting be able to replace that. So it becomes hard because so it locks you and gives you a little bit of golden handcuffs, they call it, right? It's like…
Victor: [00:30:25] Yes, it is.
Patrick (CEO of WSO): [00:30:27] That's the one thing with this it's hard to get off the cycle here in fully. I mean, you can get support and get more team members to help you handle more of the day to day. But yeah man looks exciting think all good stuff, certifications are good. They're definitely not, it's similar to education where like sometimes people with their head down and think, if I get the good grades, everything will take care of itself. This business like you could probably have none of this and still do better than the people with the five credentials. So what I would say is probably after CFP like you said, play golf. The golfing is more important than like getting the CFA at that point. And then the actual like networking and like spend it make sure you're balancing that time so you're not spending the next four years only studying and getting credentials.
Victor: [00:31:10] I know right after CFP, my whole plan is by November of next year which gives me around a little less than a year to move on to the next role.
Patrick (CEO of WSO): [00:31:19] Which is try to get all three levels. I don't think you can do that right. What is the fastest you can do all three levels?
Victor: [00:31:24] I was told about a year and year and a half. Yes, the first one is easy. You can get it done within two months. It's the level two and level three which makes it harder. Yeah, so but my goal is right after CFP to make sure I get the production role and start building my books. And just like you said, do everything I can. And once my book is in good order, I know that my numbers look good. Then I will start taking like on the CFA but not before. But CFP I want to do it because this is like an industry level of like again like you said filtered level. Okay, you're a financial planner, are you also CFP, so good to go. Does that make sense?
Patrick (CEO of WSO): [00:32:04] Yeah, totally. Oh, man what’s exciting?
Victor: [00:32:09] All right awesome, I was just going to tell you probably I'll check in with you sometime around February. So January, I'm just going to spend a buckle down. Finish those courses.
Patrick (CEO of WSO): [00:32:18] Yeah, let's just do February. We'll coordinate the calendar and if there's anything in the meantime. Definitely don't hesitate to reach out.
Victor: [00:32:25] Well, awesome. Well, happy holidays to you and to your listeners and it's been a pleasure and it's still a pleasure. And it will be a pleasure.
Patrick (CEO of WSO): [00:32:34] Awesome man. We'll talk soon.
Victor: [00:32:35] All right, Thank you! Bye!
Patrick (CEO of WSO): [00:32:36] And thanks to you my listeners at Wall Street Oasis. If you have any suggestions whatsoever, please don't hesitate to send them my way. [email protected] and till next time.
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