Referring Clients

The referred client calls and speaks to a SSD representative, and together they will complete a Know Your Client account application form. The referring advisor may be on the phone with the client and SSD representative during the account opening process.

We require a void personal cheque, a completed “Ascertaining of Identity Form”, which is available on our website or upon request and a valid legible copy of identification such as a driver’s license, passport or medical/health card (front AND back).  The client must write their sin # on the copy of ID and initial it.  We will accept clear faxed or emailed copies.

No trade instructions will be accepted until the account has been opened.

There must be sufficient cash in the account prior to placing the initial trade, and all subsequent trades prior to settlement.

Both the client and the advisor will be set up with separate login ID’s allowing viewing access to the client’s account online. The User ID and passwords will then be emailed to the client and the account will be added to the Representative existing User ID.  Referring reps are able to view all their clients accounts with a single User ID. Referring reps are also mailed a monthly summary of trades and referral fees.

Once the account number has been assigned, a package of forms requiring signatures (including a referral disclosure letter) will then be sent to the client with a welcome letter and a return envelope. For accounts transferring to National Bank Financial from another institution, a copy of a current statement from the delivering institution must be returned with the signed transfer form.  It is very important that we receive the signed client agreements in a timely manner. Until we have received the signed documents, we cannot issue cash or securities from the client’s account.

The account will be restricted from trading 28 days after opening, if all the signed documents have not been received.

Please make note of the following client account restrictions:
The Securities Commission will not allow brokers, RRs, financial planners, etc., to have Power of Attorney over the account of any client other than a relative.

The minimum account size is $100,000 (stocks and/or bonds)

Accounts for U.S. residents will only  be accepted  for Canadian RRSP accts.

We can open accounts for citizens of other countries.*

Dormant account(s) with zero balance(s) will be closed after 12 months of inactivity.

* Foreign accounts can take longer to open and they must have a Canadian Bank account

PHONE:         1.800.665.6669 or 604.643.2774
FAX:                1.888.443.4428 or 604.682.1026

Key Contact Personnel:

Tony Minichiello, Vice President and Branch Manager
Tony.minichiello@nbc.ca

Bailey Lim, Associate Investment Advisor
Bailey.lim@nbc.ca

Melina Lum, Investment Associate
Melina.Lumi@nbc.ca

Sarah Webb, Associate
Sarah.Webb@nbc.ca

What you, the planner, receive:

• Notification of client trades via e-mail.
• A monthly referral fee report.
• Online viewing of client accounts.
• Please note: Your name is noted on client statements.

How Clients Place a Trade

• Clients must phone their instructions to the Special Services Department at (604) 643-2774 or Toll Free at 1-800-665-6669.
• If you want us to discount the trade commission (reducing your referral fee) have your client specify this when placing a trade; otherwise we will default to full commission.
• For new clients, once the account has been opened, (first trade) there must be sufficient cash in the account to cover the purchase prior to placing the buy, or receipt of the stock certificate prior to placing the sell order. Certificates must be signed off (negotiable) and have cleared the transfer agent – approx. 3 weeks.
  • Please make your cheques payable to National Bank Financial and write your NBF account number in the memo area of your cheque.
• For established clients who wish to sell securities that they hold in certificate form, we strongly suggest that they fax us a copy prior to entering the sell order. This will ensure that we are selling the correct quantity, as companies occasionally split or consolidate their issued stock. The certificate must be in negotiable form, (either sign off the certificate and send via registered mail or send a signed Power of Attorney under separate cover) and must be received by our office within three business days of the trade. For subsequent purchases, the money must be received by our office within three business days of the trade date for settlement.
• For sell orders of bonds with less than a 3-year maturity, clients must be able to deliver bonds for settlement within 2-business-days. For longer term bonds or stocks, we have a 3-business-day settlement period. Cash or securities must be in the account by the settlement date. Securities must be delivered in street form (signed certificate or signed Power of Attorney attached).
• We will confirm fills to the client over the phone immediately for most market orders. Clients will receive a confirmation in the mail giving the details of the trade including the amount of the referral fee paid out, if any.
• Referring reps will receive a fax of their client’s trade the next day.
  • Trading Strips or other debt securities held at other SDRRSP / RRIF trustees:
• To sell a strip/debt security, clients must quote the CUSIP number along with the description of the strip/debt security when placing the order. Description includes: quantity, issuer, coupon rate, maturity value and maturity date.

Referral Fees

• Referral fees are paid solely as compensation for referring clients to NBF. Unless you hold appropriate registration you cannot give securities advice or make suggestions or recommendations with regard to specific securities other than concerning exempt securities, (Government of Canada Debt instruments). You may discuss our products on a generic basis. All referral fees must and will be disclosed to clients by National Bank Financial as part of the client account agreement and trade confirmation documentation.
• Referral fees will be paid monthly.
• The rate at which this referral fee is paid is determined by the activity in the account. Disclosure of referral fees paid is made to the client on an ongoing basis. Your referral fee will be sent to your firm’s payroll department, and a copy of the details will be sent to you.
• Referral fee examples are in the Commissions Charged to Client section on following page.
• If you do not wish to receive a referral fee, or would like to lower the fee, please let us know when you provide us with the referral, as we will set-up the client’s account with the appropriate commission discount.

Commissions Charged to Clients Including Referral Fees

We calculate the net yields for the client. With multiple purchases we can weigh the commission so that it results in competitive yields throughout the range of maturities.

Equities

On equity trades we use the standard Canadian suggested rates. The calculation of this rate takes into account the price, number of shares traded, and the total value of the order. The larger the numbers, the lower the commission as a percentage of the order. For example:

Fee Schedule

Administration Fee Schedule

Notes:

• Discounts; you may waive all or part of your referral fee and we will pass on the discount to the client.
• You may not discount below $125 and no referral fee is paid below $150 commission.