Data Collection

Question 1

This involves a fact finding interview with the client intended to gather comphrehensive financial and non-financial info.

Answer 1

Data collection

Question 2

The purpose of initial meeting

Answer 2

To establish if there is an opportunity to help the client develop a plan to achieve their financial goals

Question 3

It explains the financial planning and credit services provided as well as giving important info that will help decide if u want to use any of these services.

Answer 3

Financial services and credit guide (FSCG)

Question 4

It contains info such as the client’s personal details, investment, insurance, superannuation, and other info that is relevant and helpful in conducting a need-analysis and developing a plan for the client.

Answer 4

Fact find

Question 5

A series of questions designed by a financial planning license as an aid to determine what type of investor

Answer 5

Risk profile

Question 6

This is a document that acknowledges the client’s receipt of the relevant documents and acknowledges that the information provided was to the best of his knowledge and is complete, accurate and current.

Answer 6

Client Acknowledgment Form

Question 7

It gives the financial practice the authority to request for documents and obtain in about the client’s existing fund. It is also a written permission that one can contact companies that clients have accounts with and make necessary enquiries. A.k.a. Third party authority

Answer 7

Authority letter

Question 8

This provides the client with details on their product’s performance, as well as useful info that will help them get the most out of their investments.

Answer 8

Annual Statements

Question 9

An outline of the cover provided under the policy. It will show details of the policyholder, what the policyholder does and the cover given and the relevant limits, sums insured and excess. Also known as Insurance Statement or Certificate of Currency.

Answer 9

Policy Schedule

Question 10

This is either the date you first commenced continuous service or a “date joined employer” or transferred with a rollover from a previous employment. Your eligible service date is used to determine your taxation liability on your benefit entitlement.

Answer 10

Eligible Service Date/Period (ESP)

Question 11

A unique identifier issued by the Australian Business Register (ABR) which is operated by the Australian Taxation Office (ATO)

Answer 11

Australian Business Number (ABN)

Question 12

A unique number assigned to individual taxpayers by the Australian taxation office for tax administration

Answer 12

Tax file number (TFN)

Question 13

This is a number used to identify super funds and individual super fund products for electronic rollovers and contributions

Answer 13

Unique Superannuation identifier (USI)

Question 14

A number used to identify superannuation fund products within the financial services industry and government. The purpose of the SPIN was to provide an identifier at the product level, separate from those identifiers at the entity/legal structure level, such as the ABN ot SFN

Answer 14

Superannuation Product Identification Number (SPIN)

Question 15

This consists of employer contributions, salary sacrifice and personal contributions where a tax deduction was claimed. These are taxed at 15% when they are received by the super fund.

Answer 15

taxable (taxed) component

Question 16

This only applies to super from an untaxed source, such as a public sector defined benefit super fund for government employees.

Answer 16

untaxed component

Question 17

This includes after tax contributions and government co-contributions.

Answer 17

Tax-free component

Question 18

A super benfit that remains in a super fund until the member reaches a preservation age and in most instances, retires from the workforce.

Answer 18

Preserved amount

Question 19

Benefits from voluntary employer contributions made after July 1, 1994 and before July 1 1999. These may be release when you leave employment as long as that employer contributed to the superannuation fund.

Answer 19

Restricted non preserved amount

Question 20

These are superannuation benefits for which a condition of release has previously been met and may be accessed at any time.

Answer 20

Unrestricted non-preserved amount

Question 21

This is a fee that relates to the administration or operation of the fund. This may be a dollar amount or a percentage or both. This covers the costs in the daily running of one’s account.

Answer 21

Admin fee

Question 22

A fee to recover the costs of switching all or part of a member’s interest in the suprannuation entity from one investment option or product in the entity to another

Answer 22

Switching fee

Question 23

A fee to recover the costs of disposing of all or part of members’ interests in the superannuation entity.

Answer 23

Exit fee/withdrawal fee

Question 24

A group of documents that contains info about the financial product including benefits, risks, costs, fees and charges. A document that financial service providers must provide to you when they recommend or offer a financial product. It must include info about the product’s key features, fees, commissions, benefits risks, and the complaints handling procedure.

Answer 24

Product Disclosure Statement (PDS)

Question 25

A handbook and part of the PDS that aims to help you choose an investment option to achieve your retirement goals.

Answer 25

Investment guide

Question 26

A guide and part of the PDS that contains important info about obtaining your insurance cover through the super fund.

Answer 26

Insurance guide