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Wealth Professional | 28 May 2015, 09:15 AM Agree 0
Here’s a seg fund idea that DSC supporters may want to get behind.
  • Lynda Weinrib | 28 May 2015, 12:20 PM Agree 0
    What a great idea - I love it.
  • Ross Birney | 28 May 2015, 12:25 PM Agree 0
    I won't go into the multitude of detriments of using seg funds vs regular mutual funds as I don't believe that is the point of the article. Let's save that for a later discussion.

    This "chargeback model" is an interesting concept. However, it does place the advisor in an even greater conflict of interest since if a change is requested, or needed, it may result in a direct cash hit to the advisor's wallet. Many advisors may resist that.

    The conflict of interest, or need for a chargeback process itself, would not be needed in the first place if the investment was not sold on a DSC basis.
  • MichaelS | 28 May 2015, 12:46 PM Agree 0
    This option has been available on the Seg Fund side (in a limited fashion) for years and was an excellent way to be remunerated but with no penalty to the client for early withdrawal. Encourages proper customer service as well.
  • JM Clément | 28 May 2015, 02:17 PM Agree 0
    BMO insurance does the same for its seg funds on a 2 year schedule but pays 2,5% upfront. About time we had the same with all mutual funds. Advisors will indeed be more carefull before suggesting a product.
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