Wealth Switch instruction

Transcription

1 Wealth Switch instruction number P P This instruction, together with the fee and benefit proposal, the fee schedule, the new business application and confirmation, our terms, and our guide to our business practices, form the basis of this agreement. Please ask your financial adviser, or contact us if you need a copy of any of these documents. Important: You may not change any part of this instruction or its terms. If you correct any information you have completed, please sign next to it. According to the Financial Intelligence Centre Act (FICA), we must identify you, and verify information if it is new or different to what we have on our records. This means we can ask for additional information and documents. You will not pay a fee for this instruction if your financial adviser processes it online (on our website). If we cannot process any portion of this instruction, the entire instruction will be regarded as invalid and you must provide a new instruction. Only a percentage sell instruction can be accepted for international investment components. s in a personal share portfolio (PSP), alternative dealing fund (ADF), direct shares, exchange traded funds (ETFs) or international investment components must comply with the fee and drawdown components requirements. Please see our guide for more information. If you appoint an investment manager to send us investment instructions on your behalf, we will follow these instructions. You must make sure that you send us a copy of your investment mandate. Please indicate clearly if you select Essential Portfolio funds. If you do not show it, we will invest in the standard fee class of the particular fund that is available for investment with us. If you select a multi-manager portfolio (wrap fund), please make sure that you write MMP in the investment class column above. It is important that you also send us a copy of the multi-manager portfolio mandate. If you select a new international investment component in the Flexible Option, you will use your own South African Reserve Bank (SARB) individual offshore allowance. Please send us the following original completed and signed documents: the switch instruction (this form), tax clearance certificate, South African Reserve Bank form MP1423 and the FNB Balance of Payment (BOP) form (now RMB as provider). If you are investing in a Retirement Annuity Option or in a Retirement Preservation Option, your investment s component selection must comply with Regulation 28 of the Pension Funds Act (2011). If it is non-compliant, you must change the overall component selection to make sure that your whole investment is within the regulated limits. We will not process any instruction if the investment currently is, or will become non-compliant. To qualify for the Death Benefit Guarantee, please make sure that your overall fund selection complies with the asset allocation guidelines as in Regulation 28 of the Pension Funds Act. Any active regular drawdown (income) or active regular investment (debit order) instruction is not changed automatically. You must give us your instruction at sections 3 and 4 of this form, or else it will remain unchanged. If you want to do a phase-in (put money in a Money Market Fund and phase it out into investment components, over a period), please complete, sign and send us the Phase-in switch instruction (WEALTH 211). 1: My details Important: If the investment has been ceded, the cessionary must sign this instruction. Attach a copy of the certified identity or registration document, with three sample signatures of the authorised signatory on it. Title Initials Surname or name of legal entity Identity, passport or registration number 2: My switch instruction Is your instruction for us to do A portfolio rebalancing switch if yes, please complete section 2.2. Specific investment component switches if yes, please complete section 2.3. Important: If you are investing into a new Personal Share Portfolio (PSP), please also complete section 2.1. When you ask us to sell a rand amount that is equal to or more than 95 of that specific investment component s total value, we will sell 100 of that component. We must do this to make sure we sell enough to process your rand value instruction. If we get less than your requested amount, we will use the amount we receive. If we get more, we will invest the amount left behind in the Momentum Money Market Fund again. WEALTH E Page 1 of 6

2 number P P 2: My switch instruction (continued) 2.1 Personal Share Portfolio (PSP) Are you investing into a new PSP? Yes No If yes, please complete your PSP details. Important: PSP is not available on the Flexible Option. PSP provider For new PSP investments, our minimum investment amount is R after fees. If your PSP provider has higher minimum requirements than this, you have to meet their minimum requirements. If Wealth Portfolio Management is your PSP provider, you do not have to complete your PSP account number (BDA number). Remember to send us the completed and signed Wealth Portfolio Management PSP investment instruction (WEALTH 292) with this instruction. If you invest in a PSP for the first time, we may ask you to agree to our PSP terms. PSP account number (e.g. BDA number) 2.2 Rebalancing switch When we receive an instruction to rebalance a part or the whole of your investment portfolio, we will sell all investment components as per your instruction. We will use the sum of the proceeds we receive (after we have allowed for tax), to invest into your new portfolio below Switch from (sell the following): Do you want us to sell the entire investment portfolio (all investment components)? Yes No If no, which investment components would you like us to switch from? Only a percentage sell instruction can be accepted for international investment components. component names (Write out all investment names in full) class* Percentage Rand value Switch to (invest the amount you receive from the sell, after allowing for any tax that you must deduct, as follows): Please refer to the most recent investment list. component names (Write out all investment names in full) class* Percentage Rand value * Please indicate clearly if you select Essential Portfolio funds. If you do not show it, we will invest in the standard fee class of the particular fund that is available for investment with us. * If you select a multi-manager portfolio (wrap fund), please make sure that you write MMP in the investment class column above. It is important that you also send us a copy of the multi-manager portfolio mandate. Page 2 of 6 momentum wealth switch instruction

3 number P P 2: My switch instruction (continued) 2.3 Specific investment component switches We will sell investment components and invest its proceeds as per your instruction. You can give us more than one of these instructions at the same time. This allows you to change specific investment components. For this instruction, we will not invest the sum of the proceeds into one new portfolio but each investment components proceeds as per your specific instruction Specific investment component switch - instruction 1 Switch from (sell the following): Only a percentage sell instruction can be accepted for international investment components. component names (Write out all investment names in full) class* Percentage Rand value Switch to (invest the amount you receive from the sell, after allowing for any tax that you must deduct, as follows): Please refer to the most recent investment list. component names (Write out all investment names in full) class* Percentage Rand value * Please indicate clearly if you select Essential Portfolio funds. If you do not show it, we will invest in the standard fee class of the particular fund that is available for investment with us. * If you select a multi-manager portfolio (wrap fund), please make sure that you write MMP in the investment class column above. It is important that you also send us a copy of the multi-manager portfolio mandate Specific investment component switch - instruction 2 Switch from (sell the following): Only a percentage sell instruction can be accepted for international investment components. component names (Write out all investment names in full) class* Percentage Rand value Switch to (invest the amount you receive from the sell, after allowing for any tax that you must deduct, as follows): Please refer to the most recent investment list. component names (Write out all investment names in full) class* Percentage Rand value * Please indicate clearly if you select Essential Portfolio funds. If you do not show it, we will invest in the standard fee class of the particular fund that is available for investment with us. * If you select a multi-manager portfolio (wrap fund), please make sure that you write MMP in the investment class column above. It is important that you also send us a copy of the multi-manager portfolio mandate. If there are more than two specific investment component switches, please make a copy of this page, and complete as needed. 3: My regular drawdown (income) investment allocation Important: If you already have a drawdown (income) on this investment, we will not automatically change the investment allocation for your drawdown. If you want it to change, please complete your new instruction here. 3.1 Drawdown top-up service What is it? The drawdown account is an investment component from where we pay your drawdown (income). You can choose any local collective investment scheme or a combination thereof as your investment s drawdown account. As an added service, we monitor the balance in the drawdown account on your behalf. If the balance drops below the required minimum, we will inform your financial adviser, who can then send us an instruction to have it topped-up. If we do not receive an instruction to top-up the drawdown account, we will sell units from your investment components and allocate it to the drawdown account, which will cover your drawdown amounts for approximately one year. momentum wealth switch instruction Page 3 of 6

4 number P P 3: My regular drawdown (income) investment allocation (continued) 3.1 Drawdown top-up service (continued) Compulsory drawdown account If you are invested in a personal share portfolio (PSP), alternative dealing fund (ADF), direct shares, exchange traded funds (ETFs) or international investment components, you must have an investment component for drawdowns. We will, therefore, automatically create a drawdown account for you. Important note: If you do not tell us which investment component(s) to use as part of your investment allocation, we can switch your yearly drawdown percentage or amount from your investment component(s) to the default money market fund (currently, the Momentum Money Market Fund) to create a drawdown account for your drawdowns Optional drawdown account Only if your whole investment portfolio is invested in South African collective investment schemes, can you choose not to have a drawdown account. Do you want a drawdown account (if you do not make a choice, we will not activate this service for you)? Yes No If yes, please read the important note under Please refer to our guide for details of this process component(s) for your drawdown account If it is compulsory for you to have an income account, or you have selected the optional income account, which investment component(s) that are currently part of your investment allocation, should we use as your drawdown account? We drawdown proportionately from your drawdown account. Important: Please read the important note under Regular drawdown (income) investment allocation Do you receive a regular drawdown from this investment? Yes No If yes, from where must the drawdown be paid? Drawdown proportionately from my drawdown account or Drawdown from my investment components Important for investments in a Retirement Income Option, you also agree that: You understand that having your income paid from specified investment components rather than from a drawdown account, has risks associated with it. You take full responsibility to make sure that there are always sufficient funds available in these investment components to allow us to make your income drawdown payment in time. If the investment components indicated do not allow us to sell the units held, we will revert to our standard process for income drawdowns, to pay your income drawdown in time. If you have agreed to our income drawdown top-up service, we will monitor your selection to make sure that we can pay your income drawdowns. 4: My regular investment (debit order) investment allocation Important: If you already have a regular investment (debit order) on this investment, we will not automatically change the investment allocation for your regular investment. If you want it to change, please complete your new instruction here. Do you have a regular investment into this investment? Yes No If yes, do you want us to use your investment portfolio and allocation split after your switch (above) has finalised for your regular investment too? Yes No If no, please complete your investment component allocation for your regular investment. component names (Write out all investment names in full) class* Split * Please indicate clearly if you select Essential Portfolio funds. If you do not show it, we will invest in the standard fee class of the particular fund that is available for investment with us. * If you select a multi-manager portfolio (wrap fund), please make sure that you write MMP in the investment class column above. It is important that you also send us a copy of the multi-manager portfolio mandate. Page 4 of 6 momentum wealth switch instruction

5 number P P 5: Fee account with automatic fee top-up service What is it? The fee account is an investment component from where we deduct all ongoing fees. You can choose any rand money market collective investment scheme as your investment s fee account. As an added service, we monitor the balance in the fee account on your behalf. If the balance drops below the required minimum, we will inform your financial adviser who can send us an instruction to have it topped-up. If we do not receive an instruction to top-up the fee account, we will sell units from your investment components and allocate it to the fee account, which will cover your fees for approximately one year. 5.1 Compulsory fee account If you are invested in a personal share portfolio (PSP), alternative dealing fund (ADF), direct shares, exchange traded funds (ETFs) or international investment components, you must have an investment component for fees. We will, therefore, automatically create a fee account for you. Important note: If you do not tell us which investment component (rand money market collective investment scheme) to use as part of your investment allocation, we will switch 2.5 from your investment components to the Momentum Money Market fund to create a fee account for your fees. 5.2 Optional fee account Only if your whole investment portfolio is invested in South African collective investment schemes, can you choose not to have a fee account. Do you want a fee account (if you do not make a choice, we will not activate this service for you)? Yes No If yes, please read the important note under 5.1. Please refer to our guide for details of this process. 5.3 component for your fee account If it is compulsory for you to have a fee account, or you have selected the optional fee account, which investment component (rand money market collective investment scheme) that is currently part of your investment allocation, should we use as your fee account? Important: Please read the important note under : Financial adviser to complete 6.1 Financial adviser details * If there is more than one financial adviser, please give the preferred adviser s details first. Name Financial adviser code FSP name FSP house code * 6.2 FAIS licence I confirm that in addition to intermediary services, I have also given the following service: Advice (for this you must have a FAIS category I licence) Discretionary management (for this you must have a FAIS category II licence) I agree that if any component of my FAIS licence becomes non-compliant, you may follow the transitional money market fund process and that I have explained this to the investor. I understand and have informed the investor that you use a default money market fund as the transitional money market fund (currently, the Momentum Money Market Fund). 6.3 Declaration 1. I gave and explained all documents that apply to this investment to the investor before they signed this instruction. 2. I acknowledge that I have personally explained all the fees and charges applicable to this investment and instruction to the investor. 3. I confirm that I have explained to the investor that Momentum Wealth uses the Momentum Money Market Fund as a default investment component for certain transactions and events, as explained in your product terms. I confirm that I have explained that the Momentum Money Market Fund is a collective investment scheme (unit trust), and that it carries a risk in the sense that, although unlikely, if any capital losses occur, it will also be a loss for the investor. 4. I confirm that any instruction I provide to you will be within the limits of the mandate granted to me by the investor. 6.4 FICA confirmation and declaration (not for Momentum Financial Planning s use) I have: identified the investor (including any investment owner, insured life and contribution payer), verified their details on this instruction as required by section 21 of FICA, and stored all the verification documents required by section 22 of FICA. Yes No momentum wealth switch instruction Page 5 of 6

6 number P P 6: Financial adviser to complete (continued) 6.5 Financial adviser signature I confirm that I have carefully read, understood and accept this instruction, these declarations and all terms, proposals, schedules and guides that apply to this instruction. The information I provide is true and correct. I made sure that all the details of this instruction were completed. I will not hold you liable for any loss or damages if someone alters this instruction after I sign it. Full name of signatory Signature of financial adviser Date D D M M 2 0 Y Y 6.6 Contact person at the financial adviser s office Name and surname Telephone work Cellphone number address 7: Investor s declaration I understand this instruction and have read and understood all the applicable notes, terms and minimum disclosure documents (in this document and on your website). The information I provide is true and correct. I made sure that all details of this instruction were completed. I will not hold you liable for any loss or damages I suffer if someone changes this instruction, after I sign it. I know my adviser must be appropriately licensed with the Financial Services Board (FSB) before advising me or making decisions for me (i.e. providing discretionary services). My adviser has explained the transitional money market process to me. I understand and know that if my adviser is non-compliant, that you will use a default money market fund as the transitional money market fund (currently, the Momentum Money Market Fund). I indemnify you against any loss or damages I suffer if my adviser is not appropriately licensed and delays because of that. I understand and agree that you can use the Momentum Money Market Fund as a default investment component for certain transactions and events, as explained in your product terms. I understand that the Momentum Money Market Fund is a collective investment scheme (unit trust) that invests in selected money market instruments, which give an income yield and a high degree of capital stability. I understand that the Momentum Money Market Fund carries a risk in the sense that, although capital losses are unlikely, it may happen. An example of such a loss is if the issuer of one of the fund s instruments defaults and is not able to meet its obligation. That loss is then also a loss for the investor. I will not hold you responsible for any loss due to an unclear, incorrect or incomplete instruction I have sent. Name and surname of signatory Capacity of signatory (if not investor) Signed at Date D D M M 2 0 Y Y Authorised signatory Second signature (if required) Momentum Wealth (Pty) Ltd 268 West Avenue Centurion 0157 PO Box 7400 Centurion 0046 South Africa Tel +27 (0) Fax +27 (0) ShareCall wealthservice@momentum.co.za Reg. no. 1995/008800/07 Momentum Wealth is an authorised financial services provider (FSP 657). Page 6 of 6 momentum wealth switch instruction