An Accredited Asset Management Specialist (AAMS) is a professional designation awarded to financial planning professionals by the College for Financial Planning. The AAMS credential signifies a comprehensive understanding of asset management and allocation, investment strategies, and financial planning.
Understanding the AAMS Designation
Eligibility and Educational Requirements
To earn the AAMS designation, candidates must complete a rigorous study program focused on asset management and financial planning. The curriculum includes topics such as:
- Asset allocation
- Investment strategies
- Taxation and its impact on investment
- Retirement planning
- Risk management and insurance
Examination and Certification
Upon completion of the educational program, candidates must pass a proctored final examination. Successful candidates earn the right to use the AAMS designation and must adhere to continuing education requirements and ethical standards.
Benefits of the AAMS Designation
Holding the AAMS designation offers several benefits, such as:
- Enhanced credibility and professionalism
- Improved knowledge and skills in asset management
- Increased career opportunities and potential for higher earnings
Comparing AAMS with Certified Financial Planner (CFP)
Scope and Focus
While both the AAMS and CFP designations focus on financial planning, they differ in scope and depth.
- AAMS: Concentrates primarily on asset management and allocation, making it suitable for professionals focusing on portfolio and investment management.
- CFP: Covers a broader range of financial planning topics, including estate planning, retirement planning, tax planning, and insurance.
Educational Requirements
- AAMS: Requires completion of a targeted study program specifically in asset management.
- CFP: Demands a more comprehensive educational background, covering all aspects of financial planning.
Certification and Examination
- AAMS: Requires passing a single proctored exam at the end of the educational program.
- CFP: Involves completing a Capstone course and passing a comprehensive, multiple-section examination.
Continuing Education
Both designations require ongoing continuing education to maintain certification, ensuring that professionals stay updated with the latest industry trends and regulations.
Related Terms and Definitions
- Chartered Financial Analyst (CFA): A designation offered by the CFA Institute, focusing on investment management and financial analysis.
- Certified Financial Planner (CFP): A widely recognized certification for financial planners, covering a broad range of financial planning topics.
- Financial Risk Manager (FRM): A certification specializing in financial risk management, offered by the Global Association of Risk Professionals (GARP).
FAQs
What is the primary focus of the AAMS designation?
How does the AAMS designation differ from the CFP certification?
What are the continuing education requirements for AAMS?
References
- College for Financial Planning. (n.d.). “Accredited Asset Management Specialist (AAMS)”.
- Certified Financial Planner Board of Standards, Inc. (n.d.). “Certified Financial Planner (CFP)”.
Summary
The Accredited Asset Management Specialist (AAMS) designation provides financial planning professionals with specialized knowledge in asset management and investment strategies. It offers numerous benefits, including enhanced credibility and career opportunities. When compared to the Certified Financial Planner (CFP) certification, the AAMS designation is more specialized, while the CFP offers a broader scope of financial planning education. Both designations require ongoing education to ensure professionals remain current with industry standards.
