By Lisa M. Kozlowski, FLMI, ALHC, ACS, AIAA, PAHM, AIRC, ARA, FLHC, AAPA Senior Associate, Examinations LOMA
and
Todd Blandin Director, Product Marketing LOMA

In May, Thomas P. Donaldson, FLMI, CLU, President & CEO, LOMA, announced the launch of the Financial Services Institute (FSI). Its impetus is to provide products and services to meet the unique needs of industry organizations that have evolved from insurance companies to multifaceted financial services institutions. The first significant product of this new commitment to the industry is the Fellow, Financial Services Institute (FFSI) program.

The FFSI is designed to meet the needs of industry employees who serve as a primary point of contact for internal or external customers and who need information on the full array of the company’s products. It provides financial services employees with a better understanding of financial services products, their industry, and its environment so they can more effectively understand and respond to their customers’ needs. FFSI is a financial services education program that blends comprehensive LOMA courses with specialized knowledge from other industry programs..

"As a financial services association, we’ve seen our members and the role they play in the world economy change significantly over the past decade. We are proud that we have been able to grow with them, and the FFSI program reflects our mission to help them as they evolve," according to Donaldson.

This new program is a joint effort among LOMA and its member companies. Many of the participating member organizations are a testament to the evolution of the industry, having evolved from life insurance companies to providers of investment planning, asset management, 401(k)s, and mutual funds.

The FFSI is a ten-credit education program that consists of seven core courses and three professional achievement credits (PACs). While each course in the program is ideal for meeting specific and immediate professional development needs, those students who successfully complete all of the program’s requirements earn the designation of Fellow, Financial Services Institute. Many of your associates may soon hold this new designation, because it is designed for individuals who work with wealth accumulation products, retirement plans, employee benefits, mutual funds, and banking products. Industry volunteers that have contributed to the development of the program have noted significant career development applications for employees in administration, sales support, and customer service using the FFSI.

Although the program allows students to take courses in any order, the recommended course progression divides the curriculum into two levels: Level One, which consists of fundamental courses, and Level Two, which comprises more advanced topics. The Level One courses, Principles of Financial Products and Services and Personal Financial Planning, provide students with a solid understanding of typical financial products and services, along with their uses. Once students have completed Level One, they receive a certificate and are ready to continue to Level Two.

In the second level of the FFSI program, students study the environment in which financial services companies operate and learn more about the administration and marketing of financial services products. The five core courses in Level Two cover the following topics: the financial services environment; investments and institutional investing; business law for financial services professionals; financial services for business customers; and financial services marketing. In combination, the required courses of Level One and Level Two provide students with a broad base of financial services knowledge. As part of the curriculum, they will have developed a myriad of knowledge covering financial intermediaries, risk, marketing, types of institutions, tax sheltered asset accumulation plans, and much more.

In addition to the seven core courses, the FFSI program requires students to earn a total of three professional achievement credits, or PACs. Students earn these credits by passing specific courses of study and/or certain licensing examinations that cover a variety of financial services topics. PAC options include courses taken not just from LOMA’s education programs, but also from programs such as the CLU, ChFC, CEBS, NIPA, and ASPA. (Although not a program per se, the NASD licensing exams are also included in the list of PAC options). Professional achievement credits impart significant flexibility to the FFSI program, by giving students the opportunity to customize the learning experience based on their professional development goals or the needs of their company.

For example, an employee who works primarily with retirement products might choose to pursue the PAC requirements by selecting courses on retirement plans (such as HS 326, HS 336, and the CEBS Course 3). Or this same employee may want to obtain more specialized knowledge within this area by devoting one PAC to pension plans, one to annuities, and one to mutual funds. LOMA expects that some students who enroll in the FFSI program will have already satisfied part or all of the PAC requirement based on previous educational accomplishments. In this case the PACs reward students who have demonstrated professional achievement in their field by accelerating the process of earning the FFSI.

Completing courses in the FFSI can provide additional rewards for individuals. Beyond enhanced job knowledge and the potential to perform better and excel within the company, having completed FFSI courses can result in college credit, continuing education credit in other programs, and CE credit hours for state agent license renewal where available. Plus many member organizations provide financial and other incentives for the successful completion of LOMA programs.

Use the FFSI program to accelerate your own evolution and ability to respond to the changes in the financial services industry—and your customers.