The objective of Pension Transfers (AF7) is to develop the specialist knowledge and skills needed for advising on the transfer of safeguarded benefits. This unit brings you up to date with the fundamental aspects of the pension transfer process; the implications of transferring between different types of pensions; and develops your advice skills across a range of client circumstances and scenarios.
The default Enrolment option for this unit includes:
- Latest version of the core learning content, in digital format only.
- Additional revision aids.
- Assessment entry.
IMPORTANT NOTICE: Please read about FCA changes to pension transfer specialist requirements here.
This unit has been designed to focus on the main areas of the advice process for pension transfers, and to prepare students who intend to sit the AF7 Pension transfers examination. Commencing with regulatory and legislative matters upon which any advisory process must be based, the study text aims to build knowledge by taking students through the whole pension transfer advisory process. The chapters discuss the composition of defined benefit schemes and other safeguarded benefits, identifying the salient information that is required in preparation for giving advice. From the initial data gathering, subsequent chapters consider research and analysis, and how to pull all the elements together to provide suitable pension transfer advice solutions for clients.
The study text includes many helpful interactive activities to aid students with the learning process, not only through worked examples and revision questions, but by pointing to external sources which will help to provide context and additional learning opportunities. On completion of study candidates should have a thorough understanding of the issues and challenges facing both clients and advisers in this highly complex area of advice.
At the end of this unit, candidates will be able to use technical knowledge and analysis to:
- Understand the fundamental aspects of the pension transfer process;
- Understand the key issues that should be taken into account when considering a potential transfer of pension benefits;
- Advise on pension transfers in a range of client specific circumstances and scenarios.
Please note: It is assumed that the candidate already has the knowledge gained from a study of Pensions and Retirement Planning (R04) and Pension Income Options (J05) or equivalent.
- 2 hour exam
- 3-4 written short answer questions, 2 case study based questions
- 60% nominal pass mark
- The 2020 pass rate for this unit was 43%
Study material - editions available
Applicable to Apr and Oct exams within a 12-month enrolment period.