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Record Keeping Comply with regulated record keeping requirements
Which of these must a record of advice contain under the General Code? i) A brief summary of the information on which the advice was based. ii) The financial products that were considered. iii) The products recommended, with an explanation of why they are likely to meet the client's needs. iv) The representative's commission target for the month.
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) Statements i, ii and iiiCorrect
- b) Statements ii and iii
- c) All four statements
- d) Statements i and iii
Why this is the answer
A record of advice must reflect the basis on which the advice was given, including a brief summary of the information and material relied on, the products considered, and the products recommended with an explanation of why they are likely to satisfy the client's identified needs and objectives. A commission target is not part of the record.
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