© phillipcapital 2013. all rights reserved. disclaimer : the information contained in this document...

© PhillipCapital 2013. All Rights Reserved.

Disclaimer : The information contained in this document is intended only for use during the presentation and should not be disseminated or distributed to parties/potential clients outside the presentation. PhillipCapital accepts no liability whatsoever with respect to the use of the document or its contents.

Why You Need AWealth Advisor ?

BUSINESS OPPORTUNITIES

AND

WEALTH PARTNERSHIP



Presentation topics

Introduction – Financial Planning

The PhillipCapital Group The PhillipCapital Group Phillip Wealth Planners Sdn Bhd

Career with Phillip Wealth Planners Investments – Financial Planning Representative (FPR) Insurance – Financial Adviser Representative (FAR)

Licensing requirements and maintenance

Other matters



Problems people face ….

Inflation



Major Government Policy focus ….

Enhance Malaysians’ financial preparedness for retirement and old age

Enhance the provision of wealth management products and services to cater to the growing affluent segment

Enhance the capability and capacity to provide higher value-added medical and health insurance

Financial

Sector

Blueprint 2011 -

2020



Financial Services Sector is Crucial to the Malaysian Economy

Source: Pemandu



Financial Services Sub-Sector

Source: PEMANDU



Asset Management Industry

Source: PEMANDU

N.B Total assets under management for the industry grew by 61% from 2009 to RM486.04 billion as at 30 Sep 2012.



Insurance Industry – some stats as at 2012

41%

113%No. of policies vs Population

Sum insured vs Income



Unit Trust & Insurance Agency vs FP/ FA

2006 2007 2008 2009 2010 2011 2012

No of Registered Agents

Insurance

Life 75,340 78,587 74,887 80,078 87,163 83,174 82,743

General 40,869 39,165 38,766 35,930 35,236 35,609 35,354

Unit Trust

Unit Trust Consultants 38,079 53,496 63,205 74,640 70,361 60,394 49,350

FA/ FP

Financial Advisers 2 7 8 12 17 17 16

No. of resources employed 6 43 109 202 278 311 324

CMSL for Financial Planning (Corporate) 35 30

CMSL for Financial Planning (Individual) 10 9

Source: Securities Commission, Bank Negara & Federation of Investment Mangers Malaysia



Financial Advisers – the future

“Some of the measures implemented earlier to promote the development of financial advisers include facilitating the

transformation of the tied agency force into financial advisers’ representatives by allowing tied agents to continue receiving

renewal commissions during the transition period of five years. These measures are indeed a reflection of Bank Negara

Malaysia’s serious effort and commitment to continuously promote the development of financial advisers as a new

distribution channel for financial products and services.”

BNM Deputy Governor Dato’ Mohd Razif bin Abd. Kadir’s Keynote Address at the Financial Advisers Seminar

(18th October 2008)



The Financial Planning career….

The FA world is expected to boom over the next decade with a 32% growth rate, according to the Bureau Of

Labor Statistics. The average growth rate for all occupations is 14%, according to the BLS. The median pay for an FA was $64,750 in May 2010 but it could

reach 4x that amount depending on the location and the type of advisory practice you work in.

One Of The Fastest-Growing Careers Is In Desperate Need Of Young Talent

Investing: 8 Aug 2012



Industry average remuneration in Australia

The Financial Planning career ….

Source: FPA Australia



Is This YOU?

•You’re passionate about helping people.

•You have a strong sense of ethics and a great head for figures.

•You have great communication skills, and you love learning.

•You manage your time well.

•You enjoy networking.

These are the key attributes of a great financial planner, and

we’re inviting you to consider becoming one.



THE PHILLIPCAPITAL GROUP



PhillipCapital Group Profile

• Founded in 1975 in Singapore• Today member companies operate in 16 countries• Extensive branch networks with staff strength exceeding 3,500

people• Total shareholders’ fund in excess of USD1.0 billion• Directly or as intermediaries, the Group offer a full range of

financial services: fund management, bond & securities broking, futures, foreign exchange, precious metals and commodities broking, unit trusts, hedge funds, home loans, insurance, property consultancy, investor education and investment research.



OUR GLOBAL NETWORK

Singapore ● Malaysia ● Hong Kong ● China ● Japan ● Indonesia ● Thailand ● United Kingdom ● Australia ● France ● Sri Lanka ● United States ● Turkey ● Cambodia ● Dubai ● India

Singapore ● Malaysia ● Hong Kong ● China ● Japan ● Indonesia ● Thailand ● United Kingdom ● Australia ● France ● Sri Lanka ● United States ● Turkey ● Cambodia ● Dubai ● India

OUR GLOBAL NETWORK



Hong Kong Phillip Securities (HK) LtdPhllip Commodities (HK) LtdPhillip Finance (HK) LtdPhillip Asset Management (HK) LtdPhillip Financial Advisors (HK) LtdPhillip Institute of Financial Learning Co

LtdCyberQuote (HK) Ltd

ChinaPhillip Financial Advisory (Shanghai) Co.

Ltd

Japan PhillipCapital Japan K.K.Phillip Securities Japan, LtdPhillipCapital Asset Management K.K.

Thailand Phillip Securities (Thailand) Public Co. Ltd

Sri LankaAsha Phillip Securities Limited

Singapore Phillip Securities Pte LtdPhillip Futures Pte LtdPhillip Trading Pte LtdPhillip Securities Research Pte LtdPhillip Financial Pte LtdPhillip Capital Management (S) LtdPhillip Private Equity Pte LtdPhillip Japan Fund Management Pte

LtdCKS Property Consultants Pte LtdCyberQuote Pte Ltd

MalaysiaPhillip Capital Holdings Sdn BhdPhillip Capital Management Sdn BhdPhillip Futures Sdn BhdPhillip Mutual BerhadPhillip Wealth Planners Sdn BhdPhillip Research Sdn BhdPC Quote (M) Sdn Bhd FAME Platform Sdn BhdRV Capital Sdn BhdPristine Strategy Sdn Bhd

IndonesiaPT Phillip Securities Indonesia

United Kingdom King & Shaxson LtdKing & Shaxson Capital LimitedKing & Shaxson Asset ManagementWalker Crips Group PLCWalker Crips Stockbrokers LimitedWalker Crips Asset Managers Limited Walker Crips Wealth Management Limited Keith, Bayley, Rogers & Co. LimitedEBOR Trustees LimitedWalker Crips Structured Investments

AustraliaOcta Phillip Financial Group

Intersuisse Ltd

France King & Shaxson Capital Limited

United StatesPhillip Futures Inc

TurkeyHak Menkul Kiymetler A.Ş.

Worldwide Affiliated Offices



PhillipCapital Malaysia

100% 100% 100% 100% 100% 70% 100% 100%

100%



PhillipCapital Malaysia



Phillip Wealth Planners Sdn Bhd (PWP)

• Is a 100% subsidiary of Phillip Capital Holdings Sdn Bhd • Is licensed to undertake financial planning activities by:

• the Securities Commission (License no: CMSL/A018/2007)

• Bank Negara Malaysia (License no: 0048 & 0067)

• Provides support and platform to all its Planners and Advisers in all investment and insurance/Takaful related financial planning activities through:• PhillipInsure, FAME and POEMS systems

• PlanPlus preferred subscription

• Investment information and advisory

• Life and General Insurance product research and advisory

• Risk placement for both life and general insurance

• Claims and policy administration support



CAREER WITHPHILLIP WEALTH PLANNERS



PWP Services

Choice of Either or Both



INVESTMENT(Financial Planning Representative)



3 Tier Structure

IndustryInternship Programme

CMSRL Holders



Industry Internship Programme

Approval has been granted by the Securities Commission for persons to participate in the Industry Internship Programme subject to the following conditions:

1.The intern is not permitted to carry on any activity of a person licensed under the Capital Markets & Services Act (CMSA) 2007.

2.The licensed financial planner with whom the intern is attached to will be held accountable and responsible for the intern’s action.

3.The intern is not allowed to hold himself out as a licensed financial planner under any circumstances.




4. The intern must have passed at least 2 modules from any of the following:• Certified Financial Planner (CFP) • Islamic Financial Planner (IFP)

• Registered Financial Planners (RFP)

of which Module 1 of the respective courses is compulsory.

5. The intern has a maximum of 5 years to complete either the CFP, IFP or RFP course. However, once qualified as either a CFP, IFP or RFP holder, the intern is no longer eligible to participate in the internship programme.




6. The intern is allowed to undertake fact-finding activities under the supervision of a licensed financial planner as described below:i. Initiating and building the client-practitioner relationship;

ii. Setting goals, objectives and priorities; and

iii. Gathering relevant data and information;

7. Only the licensed financial planner is allowed to undertake the following activities, which are not in limitation to the financial planning activities allowed under the CMSRL:i. Analysing information and assessing financial status of the client

ii. Developing and presenting a financial plan for implementation (or solution);

iii. Executing the financial plan;

iv. Monitoring execution and reviewing financial plan; and

v. Billing or fees charging;




8. The licensed financial planner must supervise the activities of the interns, including knowing what activities the intern are conducting; and

9. Only the licensed financial planner is allowed to sign-off on any documentation or agreement with clients.



Investment Products



Phillip Mutual Berhad’s Partner Fund Houses

For Internal Circulation Only



GLOBAL MARKETS (International Stocks)




Foreign Unit Trust Funds that are available through us




Sources of remuneration



PCM Products: 3 Tier Remuneration Structure

RankIntroduction

FeeGroup Sales Overriding

AWP 1.75% -

WP 2.10% 0.35%

SWP 2.40% 0.30%

The above is applicable for full service fee of 3%.



PCM Products: 3 Tier Remuneration Structure

RankIntroduction

FeeGroup Sales Overriding

AWP60%

of Service Fee charged

-

WP70%


10% of Service Fee

charged

SWP80%


10% of Service Fee

charged

If the service fee charged is less than 3%, planners will receive the above percentage from the service fees charged.



PCM Products: 3 Tier Remuneration Structure – Trailer Commission

Rank

Trailer Commissions for EPF

Personal Sales Group Sales

AWPAll sales

submission20% of

management feeNot applicable

WP

Income <= RM 5,000 per month

30% of management fee 0.02% on the AUM

of downlinesIncome > RM 5,000 per month

40% of management fee

SWPAll sales

submission50% of

management fee0.03% on the AUM

of Downlines

The trailer commission is only payable to minimum Asset Under Management (AUM) of RM 200,000 and above for EPF. The payment will be paid upon 1st year anniversary of the capital injection.



PCM Products: 3 Tier Remuneration Structure – Trailer Commission

Rank

Trailer Commissions for PGWA

Personal Sales Group Sales

AWPAll sales

submission20% of

management feeNot applicable

WP

Income <= RM 5,000 per month

30% of management fee 0.02% on the

AUM of downlinesIncome > RM

5,000 per month40% of

management fee

SWPAll sales

submission50% of

management fee

0.03% on the AUM of

Downlines

The trailer commission is only payable to minimum Asset Under Management (AUM) of RM 800,000 and above for PGWA.



3 Tier Remuneration Structure – Promotion Criteria

Promotion level Sales Quota Duration Promotion Period

Other Requirements

AWP to WP - -

On monthly basis

Certified licensed

financial planner

WP to SWP

Total income of RM 10,000 per month for 6 months

OR

Total income of RM 60,000 within 6 months period

Every 6 months

Semi annually in each calendar year of January and July

Certified licensed

financial planner

Total income includes personal upfront fees and trailers fees and group sales overriding commission (on all downlines) .



3 Tier Remuneration Structure – Equalisation Bonus (EB)

RankEqualisation Bonus Rate

Maximum Period

WP0.10% of the

introduction fee

2 years from the date of

breakaway

SWP0.10% of the

introduction fee

5 years from the date of

breakaway

The above applies to full service fee (3%) charged for each capital injection.



3 Tier Remuneration Structure – Profit Sharing Scheme

a) 0.05% of Total Sales by PWP will be distributed to SWPs.( Applicable to full service fee charged only)

b) This scheme is only applicable to:

i. those SWPs that have achieved a minimum AUM of RM50 million.

ii. SWPs who have achieved the highest sales by December of each calendar year.

c) If there are ten SWPs or less meeting the criteria, all are eligible for the scheme. However, if there are more than ten SWPs, only the top 50% will qualify for the scheme.



3 Tier Remuneration Structure – Buyer of Last Resort

The company will pay the beneficiaries of the deceased SWP an amount equivalent to 1.5x of the trailer fees as follows:

i. Six (6) months trailer commission to be paid to the beneficiaries one month after the demise of the SWP.

ii. Fifty percent (50%) of the original trailer commission earned by the SWP to be paid out quarterly for the next twenty-four (24) months.



Support Systems

• Equity investments : www.poems.com.my

• PGWA, PMA and Unit Trust: www.fame.com.my



INSURANCE(Financial Adviser Representative)



As a Financial Adviser Representative (FAR)

• You are not tied to any insurance company and therefore are in a position to offer independent advice to your clients.

• As an FAR with PWP, you immediately have access to:• Products of almost 20 life and general insurers and Takaful

Operators.• Insurance advisory support by experienced practitioners.

• Other benefits of being an FAR include:• No Maintenance of Contract• No Sales Target• No Recruitment Target• System Support – Phillipinsure and FAME systems• Administration Support – policy submissions, claims, etc.



Panel of Insurance Companies and Takaful Operators

Life Insurers General Insurers Takaful OperatorsAIA Malaysia AIG Malaysia AIA AFG Takaful

AmLife Insurance Allianz General Insurance Etiqa Takaful (General)

AXA Affin Life Insurance AmGeneral Insurance Syarikat Takaful Malaysia

Great Eastern Life Assurance AXA Affin General Insurance Takaful Ikhlas

Hong Leong Assurance Lonpac Insurance

Prudential Assurance Malaysia MSIG Malaysia

Uni.Asia Life Assurance Multi-Purpose Insurans

Overseas Assurance Corporation

QBE Insurance

RHB Insurance

Tokio Marine Insurans

Arrangements to have tie-ups with more insurers and Takaful Operators are ongoing



3 Tier Structure

IndustryInternship Programme

FAR License Holders



Life Business Commission Sharing

Ranking 1 2 3 4 5 6

AWP 64% 71% 71% 60% 80% 80%

WP 12% 9% 15% 20% - -

SWP 6% 6% - - - -

Commission will be paid by 8th of every month and will be credited to FAR’s account only after receiving the commission from insurer.



Life Insurance Commission Sharing

Year 1 2 3 4 5 6 Total

Total Commission payout by insurer

65% 35% 21% 20% 10% 10% 161%

Available Payout based on premium of RM100K, after deducting for PWP’s portion:

SWP6% 6% 0% 0% 0% 0% 5.4%

3,900 2,100 0 0 0 0 5,400

WP12% 9% 15% 20% 0% 0% 18.1%

7,800 3,150 3,150 4,000 0 0 18,100

AWP64% 71% 71% 60% 80% 80% 109.4%

41,600 24,850 14,910 12,000 8,000 8,000 109,360



Life Insurance Commission Sharing

Year 1 2 3 4 5 6 Total

Total Commission payout by insurer

65% 35% 21% 20% 10% 10% 161%

Available Payout based on premium of RM100K, after deducting for PWP’s portion:

Agent35% 25% 15% 15% 10% 10% 110%

35,000 25,000 15,000 15,000 10,000 10,000 110,000

WP (FAR)49% 28% 18% 16% 8% 8% 127%

49,000 28,000 18,000 16,000 8,000 8,000 127,000



General Insurance Commission Sharing

Ranking Commission Sharing

AWP 64%

WP 12%

SWP 6%

Commission will be paid by 8th of every month and will be credited to FAR’s account only after receiving the commission from insurer.



Support Systems

We have 2 support systems:

1. PhillipInsure System (Back Office System): data input, backend enquiry and reporting

(https://www.eunittrust.com.my/localinsure/indexes/userIndex.asp)

2. FAME (Front Office System) : FAR can enquire client details, policy details, renewal date & generate commission statement.(www.fame.com.my)



GENERAL MATTERS



License Renewal

Financial Planning Representative

(Securities Commission)

•20 Continuous Professional Education (CPE) points.•CPE points can be obtained from training approved /endorsed by SC only. •CPE points accumulation must be completed at least 1 month prior to expiry date of SC license.

Financial Adviser Representative

(Bank Negara Malaysia)

•20 Continuous Professional Development (CPD) points.•CPD points can be obtained from training approved /endorsed by MFPC only•CPD points accumulation must be completed at least 1 month prior to expiry date of BNM license.



License Renewal

Financial Planning Representative

(Securities Commission)•Details on renewal & training provided at: www.sidc.com.my

•CPE tracking can be done at:http://ers.seccom.com.my/cpepublic/SearchLicensee.aspx

Financial Adviser Representative

(Bank Negara Malaysia)•Details on License

www.bnm.gov.my

•Checking of CPD point can be made at:www.mfpc.org.my



DISCLAIMER

The information contained in these marketing materials provided contain information of a general nature only and are produced for investor education purposes only. They do not constitute investment advice in any manner whatsoever or have any regard to the specific investment objectives, financial situation or individual needs of any particular person receiving them.

Examples are used for illustrative purposes only and do not constitute investment advice.

Phillip Wealth Planners Sdn Bhd (PWP) makes no guarantee, warranties and representations of any kind whatsoever, express or implied, including but not limited to, the accuracy, completeness, merchantability, or fitness for any particular purpose, of such information or as to the results obtained by any person from the use of any information or any financial instrument mentioned in the course materials.



WELCOME TO PHILLIP CAPITAL GROUP

Certified Financial Planner

Mr. ALWIN YAU MIN SIN

6019-3232163

[email protected]

for immediate

FREE Consultancy.

Visit my website:-

www.retireriche.com

Thank you

Copyright Protected / ALWIN YAU MIN SIN, CFP / HP 6019- 3232163



THANK YOU

© phillipcapital 2013. all rights reserved. disclaimer : the information contained in this document...

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