June 6, 2018
1. Overall, do you find the Relationship Summary useful? If not, how would you change it? If so, what topics and how can they be improved?:
As both a client of an RIA and an employee of an RIA, I do like the sample Relationship Summary because I think it gives a consumer written information that all should know and in a format they understand. It acts like a Cliffs Note version of the ADV Brochure with the most important information.
As a CCO of an RIA, it is less desirable because it becomes one more document that will need tracked. However, if the decision is based on RIA inconvenience vs. client knowledge and understanding, the client always wins and I would favor the use of the Relationship Summary. It would be ideal though if the specific requirements for the document were provided so that they are consistent among firms.
2. How useful is each section of the Relationship Summary? Please consider explaining your responses in the comments:
a. Type of Relationship and Service: Very Useful:
b. Our Obligations to You: Very Useful:
c. Fees and Costs: Very Useful:
d. Comparison to different account types: Very Useful:
e. Conflict of Interests: Very Useful:
f. Additional Information: Useful:
g. Key Questions to Ask: Useful:
3. Please answer the following questions. Please consider explaining your responses in the comments:
a. Do you find the format of the Relationship Summary easy to follow?: Yes:
b. Is the information in the appropriate order?: Yes:
c. Is the Relationship Summary easy to read?: Yes:
d. Should the Relationship Summary include additional information about different account types?: Yes:
e. Would you seek out additional information about a firm's disciplinary history as suggested in the Relationship Summary?: Yes:
4. Are there topics in the Relationship Summary that are too technical or that could be improved?:
I think it was easy to read and understand, but I work in the industry.
5. Is there additional information that we should require in the Relationship Summary,such as more specific information about the firm or additional information about fees? Is that because you do not receive the information now, or because you would also like to see it presented in this summary document, or both? Is there any information that should be made more prominent?:
I would like it to list who does what in the advisory firm. Most firms work in a team environment with each person playing a separate role. It would be good to identify those non-advisor roles and explain what each person does for the client.
6. Is the Relationship Summary an appropriate length? If not, should it be longer or shorter?:
It would be ideal to limit it to two pages (front and back).
7. Do you find the 'Key Questions to Ask' useful? Would the questions improve the quality of your discussion with your financial professional? If not, why not?:
The key questions are important, but if the consumer doesn't know what the answer should be, just knowing the question may not be enough.
8. Do you have any additional suggestions to improve the Relationship Summary? Is there anything else you would like to tell us?: