Asset Allocation
Name 1 of the 9 asset classes used within the Signature Portfolio Models
Large Cap, Mid Cap, Small Cap, International Developed Markets, International Emerging Markets, Real Estate, Commodities, Fixed Income or Cash/Cash Alternatives (Pg. 14)
To create a Raise Cash service request from the service tab would you click the Top (+) sign or the Bottom (+) sign?
Bottom (+) sign
Which Fee helps to pay for the trading costs within a Sig Port account and is an additional fee beyond the advisory fee?
Access Fee
Who has full discretion over the trades completed within a Signature Portfolio Account? (*for funds not held in unsupervised)
The Signature Portfolio Trading Team
What is the Program Minimum for Signature Portfolio?
$25,000
Which Signature Portfolio Model contains almost exclusively Mutual Funds?
Multi-Manager Strategy
Which of these service requests is completed using the Top (+) sign:
A. Raise Cash, B. DCA Set Up New, C. Terminate (Liq/Hold), D. Modify Goal
D. Modify Goal
What is one example of a relationship that is permitted within a Family Billing Group aside from a spouse or child?
Domestic Partner, Mother, Father, Mother-in-law, Father-in-law, Grandfather, Grandmother, Brother, Sister, Brother-in-law, Sister-in-law, Step-son, Step-daughter, Son-in-law, Daughter-in-law, Grandchildren
At what dollar amount of funding will a Signature Portfolio account trade if the value of the account is greater than this amount?
$20,000
A representative would like to give their client a 15% discount from their current fee schedule. What service request is used to accomplish this?
Goal Modification
Yes
The Rep tells you that the client has an existing account with $100k and is depositing $900k, how much can the rep use to invest regularly (DCA) over the next 12 mos, and how much of the new money must be invested immediately?
$500k can be invested regularly through DCA and $400k must be invested immediately.
If a client has $100k of assets in their account and their rep has a 10 bps program fee rate, how much will the advisor pay in program fees for 1 year? (Provide $ amount) Hint: 10 bps on 100k=$100
$300 = $100 (10 bps on $100k) + $200 (per account fee)
If a Signature Portfolio account contains greater than 4% cash within an account on ENV2 (not pending distribution or DCA) when will the Signature Portfolio Trading Team trade the account?
Same Day
What license is required for an advisor to have access to and solicit Signature Portfolio?
Series 6
Which Risk Tolerance would include the Equity/Fixed Income allocation of 98/2?
Very Aggressive (Pg. 15)
When assisting a caller through a Terminate (Liq/Hold) service request what are 3 things we should be relaying?
1. The Terminate SR will Terminate the Management of the Account 2. The SR will Terminate the Billing on the account. 3. The SR allows for Full/Partial/None liquidation options 4. The account cannot be re-opened once it is terminated on ENV2. 5. Trades will take place same day if SR is submitted before 2pm CST same day.
What is the maximum % of compensation a Limited Joint Work partner can receive?
40%
A client is depositing funds into an existing and fully funded account on NetX360 and wishes to have it invested the same day, what dollar amount is required for an exception to trade the account that same day?
$20,000
What are the steps to set up a DCA on an existing account and what information do you need?
Click the bottom (+) sign on the service tab and select DCA Setup New, fill in the information and hit submit request. Info needed: $ Amount for DCA, Periodic Amount, Frequency, Where the new $ is coming from, Start date for DCA
A Client scores Conservative on their Risk Questionnaire, which asset allocations for models will they have access to? (Please respond with % breakdowns - for example: 50/50)
Conservative A - 0/100
Conservative C - 10/90
Conservative 2 - 20/80
During a Systematic Withdrawal request what special way do you need to enter the amount being traded? Hint: on page 2 of the SR flow
Trade Amount must be entered as a negative number
Describe the Discount Sharing Threshold
The Discount Sharing Threshold is the rate/amount of the advisory fee that represents the maximum amount the Home Office will share in the loss of revenue with the advisor. Any discounting beyond this threshold will result in the advisor giving up additional compensation with the full burden of that loss being upon the advisor.
A Rep has a client with an existing Signature Portfolio Account that is depositing $1,000,000 into the account. The account has a current balance of $1,000,000 prior to the deposit. They would like to invest $200,000 immediately, DCA $300,000 of the money into the account over 12 months, transfer $50,000 to their bank account and send the remaining funds to a NM Annuity. How would advise they proceed?
1. Set up a DCA for deposited funds of $300k
2. E-mail SIG-PORT-TRADING to set aside $50k for distribution and another $450,000 for transfer out.
3. The remaining $200,000 will invest the day after being deposited. (Not Required for answer credit but good to note: they can request same-day investment by e-mailing SP-SAME-DAY-INVEST the day funds are deposited to NetX)
The Signature Portfolio TLH SR reviews the account for losses greater than $100 within securities in the account that have not been purchased within the last 30 days (the user has the ability to add wash sale securities back in if desired) and presents those securities to be sold. Simultaneously the system will propose buys into the TLH replacements to be held for 30 days. This SR is completed to sell losses in an account to book on the client's tax return to balance out current or future gains.