Ch4

Question 1

A member may pay a fee, commission or reward for the introduction of a client if…

Answer 1

There’s no reason to believe undue pressure was exerted on the client and the fee and firm were disclosed to the client

Question 2

When accepting new clients, members must comply with AML and consider…

Answer 2

Whether client is acceptable in terms of risk

Whether firm skills and competence to service client

Conflicts of interest

Question 3

What should members request from previous advisers?

Answer 3

Professional reason not to accept client

Ensure client’s affairs are properly dealt with

Filling deadlines, claims, elections, appeals

Question 4

What’s included in engagement letter?

Answer 4

Details to manage client expectations

Basis upon which fees are charged

Scope and nature of assignment

Question 5

Who should the member inform when they know they have received incorrect advice from the former advisor

Answer 5

The client

Question 6

What’s included in the engagement letter pack?

Answer 6

Covering letter
Schedules for various services
Ts & Cs
Privacy notice
Cancellation notices