Chartered Trust and Estate Planner® (CTEP®) Practice Exam
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Chartered Trust and Estate Planner® (CTEP®) Practice Exam
The Chartered Trust and Estate Planner® (CTEP®) Exam is offered by the American Academy of Finance (AAFMAA) in India. It validates your knowledge and expertise in the complex area of trust and estate planning. Earning the CTEP® designation demonstrates your competency in helping individuals plan for the distribution of their assets after death and manage their wealth during their lifetime.
Who should take this exam?
This certification is ideal for various professionals working in the financial services industry, including:
- Financial Advisors: Expand your service offerings to include trust and estate planning, providing holistic financial advice to clients.
- Wealth Managers: Enhance your ability to manage client wealth across generations, considering tax implications and asset distribution strategies.
- Estate Planning Attorneys: Deepen your understanding of financial aspects of estate planning to better serve your clients.
- Insurance and Investment Professionals: Broaden your knowledge to offer clients integrated wealth management solutions that include trust and estate planning strategies.
Prerequisites
Educational Background: Candidates must have two of the following:
An accredited financial, investment, accounting, tax, or economics degree (ABA AACSB, ACBSP, or Equis accredited).
- Three years of professional experience in a relevant field.
- A government recognized degree (licenses, degrees, MBA/Masters, PhD, CPA), recognized designations, or specialized work experience considered equivalent by AAFM India.
- Completion of online Executive Certification Training Programs approved by AAFM India.
Experience: While not mandatory, relevant experience in financial planning, wealth management, or a related field can be advantageous.
Exam Details
- Exam Provider: American Academy of Finance (AAFMAA) - India
- Format: Computer-based exam with multiple-choice questions
- Number of Questions: 60 questions
- Duration: 120 minutes
- Passing Score: For credit, all answers must be 100% accurate. For wrong responses, there is no deduction or partial credit offered. A paper outlining your overall pass or fail grade as well as the parts you passed or failed will be sent to you.
Course Structure
The exam covers the following topics:
Unit 1: Introduction to Estate Planning
- Understanding the concept and objectives of estate planning.
- Importance of estate planning in wealth management and succession.
- Key principles, benefits, and limitations of estate planning.
- Overview of estate planning tools and strategies.
- Role of estate planning in tax optimization and wealth transfer.
Unit 2: Laws Affecting Estate Planning
- Overview of Indian laws impacting estate planning.
- Transfer of Property Act, 1882 – implications for estate planning.
- Indian Succession Act, 1925 – key provisions.
- Hindu Succession Act and its role in estate distribution.
- Taxation laws relevant to inheritance, gifts, and estate planning.
- Legal documentation: wills, trusts, powers of attorney, and guardianship.
Unit 3: Personal & Intestate Succession Laws in India
- Meaning and implications of intestate succession.
- Distribution of property when no will is executed.
- Succession laws under Hindu, Muslim, Christian, and Parsi personal laws.
- Rights of heirs and dependents under intestate succession.
- Practical considerations and challenges in intestate estate distribution.
Unit 4: Testamentary Succession
- Understanding wills and codicils.
- Types of wills: privileged, unprivileged, joint, and mutual wills.
- Legal requirements for drafting and executing a valid will.
- Revocation and alteration of wills.
- Probate process and administration of estates.
- Role of executors and trustees in testamentary succession.
Unit 5: Trust Planning in India
- Concept and significance of trusts in estate planning.
- Types of trusts: private trusts, public trusts, and charitable trusts.
- Indian Trusts Act, 1882 – key provisions.
- Taxation aspects of trusts in India.
- Creating and managing a family trust for wealth preservation.
- Duties, powers, and responsibilities of trustees.
- Advantages and limitations of using trusts in estate planning.
Unit 6: International Estate Planning
- Importance of cross-border estate planning in a globalized world.
- Key challenges: multiple jurisdictions, taxation, and legal conflicts.
- International inheritance laws and treaties.
- Estate planning for Non-Resident Indians (NRIs) and expatriates.
- Use of offshore trusts, foundations, and holding companies.
- Strategies to manage international assets and beneficiaries.
- Compliance with global regulations such as FATCA and CRS.