Advertising and Sales Literature
ERISA
Products
Branch Office Exams
Investment Advisory
100
How do representatives submit advertising for review at the home office?
Paperkiller
100
How are IRAs or solo 401Ks affected by the new ERISA requirements?
They're not subject to the new ERISA requirements
100
This describes a basket of securities often mirroring an index and generally has low internal fees?
Exchange Traded Fund (ETF)
100
What is the name of the blotter used for insurance and fixed annuities?
Non-Securities blotter
100
When must I deliver my supplemental brochure to clients?
Prior to establishing the client account, annually, and if there are material changes requiring disclosure.
200
What is the general turnaround time for advertising approval?
2 days
200
Am I a fiduciary if I provide specific investment advice to an ERISA plan?
Yes
200
A client wants to invest 100K in C share mutual funds. What forms are now required?
Mutual Fund Statement of Understanding and Mutual Fund Analyzer
200
If your branch is visited by a regulator either from your state, FINRA or the SEC what should you do?
Request identification and contact the home office compliance.
200
My client only says he would prefer to pay me a fee rather than a commission. What is need to establishing an advisory account for this client?
Trick Question! That is not an acceptable reason to establish an advisory account.
300
A letter sent to 10 clients would be defined as?
Correspondence
300
What should a representative of record to a plan maintain for documentation?
Everything
300
What is the return required on a taxable investment to make it equal to the return on a tax exempt investment?
Taxable equivalent yield
300
How often should you review trades botters and how is the review evidenced?
Daily and initialing and dating.
300
High cash positions, concentrated positions, low trade activity, unsolicited trades describe what?
Semiannual advisory review
400
What website changes require pre-approval?
All of them
400
Who at the home office will provide pre-approval on the new ERISA plan?
Melanie Salazer
400
Client's risk tolerance and investment objective is Moderate Growth, account currently holds 15% in High Growth stock. Representative purchases an additional 15% in High Growth stock. What is required?
An updated suitability form
400
If you are interested in joining a local board in your community what must you submit prior to engaging in the activity?
Outside Business Activity form
400
What is the best way to document what you do for your advisory clients?
Cantella’s note system
500
A letter posted to a representative’s website would be defined as?
Advertising
500
What are the three components that make up the new ERISA requirements?
1) Clearly articulate the services you provide to a plan. 2) Are you acting as a fiduciary. 3) Full disclosure of compensation
500
Name the three ways clients can achieve mutual fund breakpoints on purchases?
1) By investing over a certain dollar amount. 2) Letters of intent. 3) Rights of accumulation
500
What 2 documents are mandatory for a representatives Employment and Registration file?
Current U4 and your registered representative agreement with Cantella
500
What investments are automatically excluded from billing in advisory accounts?
B and C share mutual funds
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