Latest News From Keir

Updates for the November 2008 CFP® Exam
The CFP® Certification Examination typically tests any laws that have been in place for six months or longer as of the exam date. As a result, candidates taking the November 2008 CFP® Exam will need to know that taxpayers can now claim up to $250,000 of Section 179 expense in 2008 (up from $128,000 for 2008 prior to the Economic Stimulus Act of 2008 signed into law on February 13, 2008).

Fannie Mae and Freddie Mac: Trouble in River City
In the Music Man, the sly traveling salesman Harold Hill told the citizens of River City that they had trouble and trouble began with “T” which rhymed with “P” and that stood for “pool.” Pools are in trouble again in River City.

Financial Feud
In a letter from Daniel J. Barry, the Director of Government Relations for the Financial Planning Association, the FPA fired a warning shot across the bow of the Financial Industry Regulatory Authority (FINRA). The letter was in response to Regulatory Notice 08-24 and specifically, proposed rule 3110. The proposed rule would expand the current FINRA supervisory responsibilities of overseeing the business activities for which registration as a broker-dealer is required, to oversight of “each type of business in which it [a member] engages.”

Diversified Investment Company
Diversification is an important investment technique for reducing risk, and it is one of the key benefits of mutual fund investing. There are many ways to diversify investments, and mutual funds can be diversified in a variety of ways. Students are often surprised to learn that mutual funds are not required to be diversified, yet there are rules that govern mutual fund diversification.

Programs on Financial Calculators Are Not Allowed During CFP® Exam
Candidates taking the CFP® Certification Examination need to bring a financial calculator with them in order to solve several calculations on the exam. In particular, candidates need to be able to solve present value and future value problems, internal rate of return problems and other cash flow problems. Most students use the HP10BII, HP12C, HP17BII or the BAII Plus. However, candidates are allowed to use any financial calculator as long as it does not include alphabetic keys or print out on paper/tape.