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Certified Financial Planner (CFP) Practice Exam · Question

A CFP professional is preparing an Engagement Letter for a new client. Which of the following elements is NOT required by FP Canada's Standards of Professional Conduct?

An Engagement Letter must define the scope, fees, and responsibilities, but it does not need to list every potential investment product; that level of detail is

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Question: A CFP professional is preparing an Engagement Letter for a new client. Which of the following elements is NOT required by FP Canada's Standards of Professional Conduct?

Answer options: ✅ A detailed list of every single investment product that may be recommended during the engagement.

  • The scope of service to be provided by the professional.
  • The fees and compensation structure for the services.
  • The responsibilities of both the client and the professional.

Correct answer: A detailed list of every single investment product that may be recommended during the engagement.

Explanation: An Engagement Letter must define the scope, fees, and responsibilities, but it does not need to list every potential investment product; that level of detail is typically part of the financial plan itself.

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