Do You Want a CPWA Certification to Serve HNW Purchasers?


Are you a wealth advisor trying to enter or develop your attain within the high-net-worth (HNW) market? This consumer phase contains enterprise house owners, executives, artistic professionals, and next-gen heirs with a web price of $5 million or extra.

These potential shoppers signify a various group with distinctive challenges and life objectives far past asset accumulation. To draw and retain HNW shoppers, you’ll want superior technical experience and nuanced abilities in individuals and household dynamics administration.

How will you get or fine-tune these abilities? Incomes the Licensed Personal Wealth Advisor® (CPWA®) certification from the Investments & Wealth Institute (IWI) is one solution to accomplish this aim. However is it definitely worth the time, effort, and cash you’ll dedicate to the method?

That can assist you make your determination, let’s assessment what getting a CPWA certification entails and the way it may gain advantage wealth advisors who want to serve HNW shoppers.

What Is a CPWA Certification?

The CPWA certification program entails a novel, multidisciplinary method to addressing the monetary wants of HNW shoppers. Candidates to this system can select between two enrollment choices:

  • A 6-month on-line program together with a 1-week, in-person class at a prime enterprise college

  • A 12-month online-only program

The stipulations are:

Lastly, you need to cross a four-hour closing examination overlaying 135 questions.

What Are the High Causes to Take into account the CPWA?

The first advantages cited by many advisors holding this certification are:

  • Aggressive differentiation within the crowded HNW market

  • Extra confidence in working with ultrawealthy shoppers

  • Superior data particular to fixing advanced planning challenges

  • Potential for greater compensation and profession development

And, latest information tells us {that a} CPWA certification could also be an efficient solution to develop your apply. In response to Cerulli Associates, CPWA practices have the biggest common consumer dimension within the trade:

average client AUM for CPWA advisors vs. all other industry advisors

What Will You Study?

The CPWA program’s curriculum is designed to provide the concept and sensible strategies you’ll have to serve HNW shoppers—and to cross the required certification examination. The 11 core subjects are damaged down into the next 4 classes:

1. Wealth administration. Understanding the massive image is crucial to optimizing planning for the ultrawealthy. This phase will show you how to analyze and advocate tax-efficient options and discover ways to construct and handle portfolios that meet advanced HNW objectives.

  • Tax planning. This deep dive into HNW-specific taxation will information you in speaking about methods with shoppers, simplify planning, and show you how to work successfully with shoppers’ tax attorneys.

  • Portfolio administration. This phase will elevate your skills to harmonize wealth-building strategies, threat administration, tax consciousness, and portfolio methods with shoppers’ sources and objectives.

  • Threat administration and asset safety. You’ll be taught to guage acceptable insurance coverage and asset methods to guard shoppers via life occasions together with marriage, divorce, and dying.

The [CPWA program] content material was implausible and considerably elevated my capacity so as to add worth to my goal market ($1 million–$5 million investable, primarily company VP-level individuals).”

Justin Hutt, CooperDavis Monetary Group,with Commonwealth since 2017

2. Human dynamics. Working with any consumer phase requires sturdy abilities in managing expectations, decision-making, and relationships, however you’ll want to lift your sport when serving the extremely prosperous.

  • Ethics. Studying to determine and classify moral and regulatory points throughout the wealth administration spectrum will assist you to work confidently with a classy consumer base.

  • Behavioral finance. Cognitive and emotional biases can intrude with a consumer’s capacity to make sound choices. By studying tips on how to determine biases, you’ll be higher outfitted to right or complement these tendencies.

  • Household dynamics. Tailoring methods for household organizations, trusts, and enterprise entities will rely on your understanding of key household roles, household workplace infrastructures, and the nuances of performing consumer discovery.

3. Legacy points. When you haven’t mastered the complexities of how charitable and property planning options assist shoppers switch wealth, this phase will provide you with the superior abilities you want.

  • Charitable giving and endowments. You’ll be taught to evaluate the benefits and drawbacks of private and non-private charities, foundations, and trusts, in addition to the tax implications of giving methods in advanced consumer situations.

  • Property trusts and wealth switch. Though components of property planning could lie exterior your obligations, a full understanding of wealth switch, end-of-life planning, and fiduciary points is crucial to the work of an HNW wealth advisor.

4. Specialty consumer providers. There are particular challenges concerned with enterprise planning along with HNW shoppers’ broader planning and portfolio administration wants.

  • Government compensation. This phase addresses tips on how to consider inventory choices, deferred and fairness compensation plans, and concentrated inventory conditions, together with guidelines, restrictions, and tax implications.

  • Intently held companies. As a big inhabitants of the $5 million-plus consumer base, intently held enterprise house owners want advisors who could make acceptable suggestions about enterprise entity constructions and their tax implications, buy-sell agreements, valuation strategies, the enterprise lifecycle, and succession planning.

  • Retirement. To information shoppers with huge belongings via the distribution part, you’ll want to grasp return sequencing, analytical forecasting, tax remedies, Roth conversions, distribution necessities, and analysis of certified plans and web unrealized appreciation (NUA) guidelines.

So, Is the CPWA Certification a Worthwhile Funding?

If your small business aim is to draw and retain HNW shoppers, the data and insights provided by a CPWA certification could show you how to goal—and higher serve—this nook of the advisory market. However, make sure you’ve a transparent plan earlier than diving in. Making lasting connections together with your desired clientele at all times is determined by your agency’s service choices and the consumer expertise you ship.

MKTG-302358 AP-Campaign Guide


Superior Monetary Planning Methods
for Excessive-Web-Price Purchasers

Discover artistic, complete monetary planning options—from asset safety to
charitable giving—to your high-net-worth shoppers’ distinctive wants.

Commonwealth and IWI are separate and unaffiliated entities. Please seek the advice of your member agency’s insurance policies and procure prior approval for any designation/certification applications.


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