client handbook transcend managed accounts …€¦ · 4/23/2019 · client handbook transcend...

CLIENT HANDBOOK TRANSCEND MANAGED ACCOUNTS PROGRAM

Apr 23 2019 of 19

PROVISUS WEALTH MANAGEMENT LIMITED CLIENT HANDBOOK

1 HOW THE PROVISUS SERVICE WORKS ...................................................................................................3

1.1 Your Financial Advisor ..............................................................................................................................3 1.2 Account Opening Process ........................................................................................................................... 3 1.3 Online Account Access ..................................................................................................................................... 3 1.4 Investment Portfolio Updates ......................................................................................................................4 1.5 Withdrawal of Funds, Change of Address, Change in Financial Situation ..................................................4 1.6 Income Tax Information ............................................................................................................................. 4 1.7 Our Contact Information ............................................................................................................................. 4

2 WHAT DOES LAURENTIAN BANK SECURITIES DO? ............................................................................5

2.1 Overview ....................................................................................................................................................5 2.2 Laurentian Welcome Package ..................................................................................................................... 5 2.3 Registration of Laurentian Bank Securities ................................................................................................. 5

3 PROVISUS ONLINE ACCESS MANUAL ......................................................................................................6 3.1 Login.........................................................................................................................................................6,7 3.2 Client Home Page........................................................................................................................................ 8 3.3 Change Password ........................................................................................................................................9 3.4 Daily Account Balances .............................................................................................................................. 9 3.5 News Articles ........................................................................................................................................... 10 3.6 My Documents .......................................................................................................................................... 11 3.7 Laurentian Bank Custodian On Line Statements.......................................................................................12

4 HOW TO READ YOUR QUARTERLY STATEMENT .............................................................................. 12 4.1 Overview .................................................................................................................................................. 12 4.2 Integrated Portfolio Performance Page. .................................................................................................... 13 4.3 Integrated Portfolio Summary Page .......................................................................................................... 13 4.4 Summary of Your Managed Account Page ............................................................................................... 14 4.5 Managed Account History Page ................................................................................................................ 14 4.6 Net Amount Invested Section ................................................................................................................... 15 4.7 Statement of Positions Page. ..................................................................................................................... 15 4.8 Transactions Page ..................................................................................................................................... 15

5 HOW TO READ YOUR ANNUAL TRANSACTION SUMMARY ............................................................ 16 5.1 Overview .................................................................................................................................................. 16 5.2 Summary Page .......................................................................................................................................... 16 5.3 Capital Gains and Losses from Sales Page ................................................................................................ 16 5.4 Fee Summary ............................................................................................................................................ 17

6 ANNUAL REVIEW QUESTIONNAIRE (ARQ) ......................................................................................... 17

7 HOW DO I? ...................................................................................................................................................... 18

7.1 Change Monthly Contributions / Withdrawals .......................................................................................... 18 7.2 Request a One Time Contribution / Withdrawal ....................................................................................... 18 7.3 Change Address, Phone Number or Email Address .................................................................................. 18 7.4 Communicate a Change in my Financial Situation .................................................................................... 18 7.5 Get my Provisus Statement and Provisus Tax Slips .................................................................................. 18

8 FREQUENTLY ASKED QUESTIONS…………………………………………………………………….. 19 8.1 Can my Financial Advisor select the security for my investments........................................................... 19 8.2 Can I speak to my Financial Advisor about a specific fund manger that is not on my IPS....................... 19

8.3 Who do I speak to regarding my financial planning...................................................................................19 8.4 My Annual Review Questionnaire is due and I want to discuss my portfolio............................................198.5 What is Provisus Responsible for................................................................................................................19

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1 How the Provisus Service Works

1.1 Your Financial Advisor You have been referred to Provisus by your financial advisor. Your financial advisor has determined that your investments were suitable to be managed by Provisus in our Transcend Managed Accounts Program. Your relationship with your advisor continues and you will work with your advisor on any issues concerning financial planning, tax, insurance, estate planning or other non-investment services.

Provisus is responsible for your investment portfolio (trading, portfolio analysis, compliance, and back office support) and will manage this as per the Investment Policy Statement (IPS) that you have recently signed.

1.2 Account Opening Process The completed account opening package sent to Provisus has been forwarded to the custodian, Laurentian Bank Securities. Account(s) are opened in your name and any cheques that you have provided are deposited into these accounts. After your accounts have been opened, Laurentian Bank Securities will mail you a welcome package which is described in Section 2 (What Does Laurentian Bank Securities Do?) of this handbook. Additionally, you may have completed some transfer forms. Transfer forms allow us to request investment transfers from your previous financial services provider. Please note transfers may be processed within 10 to 30 business days or longer depending on the relinquishing institution. Should you have any questions regarding the status of transfers into your account, please do not hesitate to contact Provisus.

When all of your assets have arrived in your new accounts, Provisus will set up these accounts on our internal system and trade the accounts according to your IPS. Depending on your IPS, Provisus will buy stocks, bonds, Exchange Traded Funds (ETFs) or Pooled Funds in your name. Any financial transactions/activity will be reflected either in the printed or online monthly statements from Laurentian Bank Securities.

1.3 Online Account Access After your account have been established, you will be provided with a username and password in order to log onto the Provisus Online Client intranet site for access to view your daily holdings and transactions. On an annual basis, you will also be provided with an online questionnaire to inform us if your financial situation or objectives have changed. Please refer to Section 3 (Provisus Online Access Manual) for further details.

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1.4 Investment Quarterly Review (QIR) Each quarter, Provisus will generate a Quarterly Investment Review (QIR) with detailed reporting on each component of your household. For your household, the individual return information is consolidated and flows up to show returns and overall values at the household level.

At the individual component level (the individual account), you will see a performance report showing the return of each account in comparison to its appropriate benchmarks. In addition the review shows the breakdown of the portfolio by asset class, lists the securities held at the end of each quarter and provides investment commentaries for each account held within the portfolio. Section 4 (How to Read Your Quarterly Statement) contains helpful tips to help you understand how to read your quarterly statements.

1.5 Withdrawal of Funds, Change of Address, Change in Financial Situation

From time to time you may need to withdraw funds, change your address or let Provisus know of other situations or life event we should be aware. Please refer to Section 6 (How Do I?) for information about communicating this information to us.

1.6 Income Tax Information After the end of the year, you will receive a number of documents to assist you with tax filings. Laurentian Bank Securities, the custodian, will mail T5 tax slips for all of your non-registered accounts each January.

Please note that if you hold Exchange Traded Funds (ETFs), Income Trusts or Real Estate Investment Trusts (REITs), you will also receive a T3 tax slip from Laurentian Bank Securities. Laurentian Bank will mail T3 slips in two batches annually: once on March 31st and again in the first week of April.

PLEASE DO NOT FILE YOUR TAXES BEFORE YOU HAVE RECEIVED THESE T3 SLIPS IF YOU HOLD THESE TYPES OF INVESTMENTS.

Each year, in early February, Provisus will send you an Annual Transaction Summary (ATS) report, listing any management fees and capital gains for your non-registered accounts. A more detailed description of the ATS can be found in Section 5 (How to Read Your Annual Transaction Summary).

1.7 Our Contact Information: Provisus Wealth Management 18 King Street, East. Suite 303 Toronto, Ontario M5C 1C4 [email protected] Telephone: 416-933-1111 Toll Free: 1-877-768-4787 Fax: 416-933-2222

mailto:[email protected]


2 What Does Laurentian Bank Securities Do?

2.1 Overview Provisus has retained Laurentian Bank Securities to act as the custodian and to provide trading services for Provisus’ Transcend Managed Accounts Program.

When you choose to invest with Provisus, account(s) will be opened at Laurentian Bank Securities in your name. Provisus, as a registered Portfolio Manager, will purchase individual securities in your account(s) at Laurentian Bank Securities as you have instructed us to do as per your Investment Policy Statement.

2.2 Laurentian Welcome Package Laurentian Bank Securities will send you a welcome package containing the following information:

• Welcome letter• Copies of your Laurentian Account Opening Forms• Investor Protection for Clients Brochure. This document discloses how you as an

investor areprotected.• Canadian Investor ProtectionFund (CIPF)• Laurentian Statement of Policies• Laurentian Bank Securities Disclosure• Leverage Risk Disclosure. Please note that Provisus does not use leverage so this

disclosure is for your information but not relevant to yourinvestments.• Strip Bond Information Statement. Please note that Provisus does not use strip

bonds so this document is for your information only but not applicable to yourinvestments.

2.3 Registration of Laurentian Bank Securities Laurentian Bank Securities is registered as an Investment Dealer and is a member of the Investment Industry Regulatory Organization (IIROC), the national self-regulatory organization which oversees all investment dealers and trading activity on debt and equity marketplaces in Canada. Laurentian is also a member of the Canadian Investor Protection Fund (CIPF), which is a non-profit organization that protects investors in the unlikely event that a registered dealer becomes bankrupt. Laurentian is a participating organization of the Toronto, Montreal and CNQ Stock Exchanges. Laurentian common shares are listed on the Toronto Stock Exchange (TSX: LB).

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3 Provisus Online Access Manual Welcome to the Provisus Website where you can access your daily account balances, quarterly statements and your documents. This manual will help you get started with using all the tools we have to offer.

3.1 Login In order to begin, you must log onto the Provisus website:

1. Go tohttps://www.provisus.ca.2. Click on the ‘Login’ and select from the drop down ‘Clients’ located on the top right hand

corner.

3. You will have access to ‘Account Balances & Holdings’ & ‘Your Statements’ as shownbelow. Click on the ‘sign in’ for the site you wish to view.

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https://www.provisus.ca./

4. For ‘Daily Account Balances & Holdings’ (Daily Transactions) please follow stepsoutlined in section 3.4.

5. For ‘Your Statements’ after clicking on ‘Sign In’ you will be directed to another screenand enter your Username (your username is your email address provided to Provisus)and your password and proceed to step 3.2.

6. If you are logging in for the first time or forgot your password, click the ‘Forgotpassword?’ link and you will receive a new temporary password to your email inbox.

Note: Please ensure that [email protected] is permitted to send you email.

After you have received the email from [email protected], return to the Login page to enter your email address in the Login field and the temporary password in the password field.

You will prompted and to change your password.

Passwords are case sensitive and must be at least 7 characters long with a combination of letters and numbers for security.

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3.2 Client HomePage After logging in or changing your password, you will have access to the Client Home Page and able to access your daily account balances, news articles and view your quarterly statement and annual transaction information (my documents) by selecting the appropriate item on the right hand sidebar.

3.3 Changing yourpassword You have the option to change your password at any time by selecting ‘ change password’ .

After selecting "Change password" option (refer to menu example 3.2) a new page will be displayed and you will be prompted to enter a new password and to confirm. Click the ‘Submit’ button to save the change.

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3.4 Daily Account Balances & Holdings (DailyTransactions) Unlike other links in the Client Homepage, Daily Account Balances allows access to your daily information on all your Provisus accounts, providing in depth information of your financial transactions. For your security, selecting "Daily Account Balances" will direct you to a separate website requiring separate security credentials.

Provisus would have sent to your email your User ID in a email titled ‘On Line Access 1 of 2’ along with a separate email with your temporary password titled ‘On Line Access 2 of 2’. If you require this information again please contact Provisus at [email protected] and we will resend this information to you.

After successfully logging in, input a new password for your account to continue. Note : Passwords are case sensitive and must be at least 7 characters long with a combination of letters and numbers for security.

The password for ‘Daily Account Balances & Holdings’ can also be the same one used for ‘Your Statements’

Press “OK” to continue.

Congratulations, you now have access to your daily account balances and holdings.

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If you need to change your password for your Account Balances and Holdings access, return to the Login page and enter your current ID and password.

Then press Change Password

3.5 News Articles The Provisus website contains monthly articles with current analysis of the investment world for your benefit. Select ‘Monthly Insight’ or ‘ Investment Review’ for current and historical articles.

The quarterly Investment Review sorts the broad investment world into comprehensive categories to keep you on track with your portfolio. An expert Provisus analyst provides commentary on the state of the major global markets.

Monthly Insight articles summarize a month of events in the markets into a commentary from our portfolio management team complimented with relevant market performance figures.

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3.6 My Documents (Provisus Statements) Your current and historical Provisus statements are available by clicking on the ‘My Documents’ at the sidebar.

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3.7 Laurentian Bank Custodian On Line Statements

Laurentian Bank will mail monthly statements to the address on file, if you would prefer to receive your Laurentian Bank Statements online you will be required to register for this option.

Select "Custodian Statements" button on the right hand side of the menu bar.

Select the first account number and enter your email address and re-confirm the email address.

After confirming, a screen will launch confirming the account has been successfully added the account. Note: Each account must be confirmed individually and saved through the registration page. Your on-line statements will be available to view within 48 hours.

Modify Label(s) - The Laurentian account(s) can be modified at any time by clicking on "Modify Label" and renamed. For example) 7XAAA is a RSP account and can be modified to reflect the account type and/or client name.

4 How to Read Your Quarterly Statement

4.1 Overview This is a guide to your Provisus Quarterly Investment Review (QIR). In the excerpts pictured below we have highlighted the most significant and detailed sections of the QIR. Not all clients will receive a QIR with as much detail. The QIR reflects the portfolio set out in your Investment Policy Statement (IPS). A review of your IPS may be helpful in understanding how your portfolio was constructed.

A QIR begins with an overall summary and progressively gives more detailed information. There can be as many as 3 levels:

An Integrated view combines multiple portfolios which encompass all of your assets. A Portfolio is composed of one or more accounts. In the example below there are corporate and

individual portfolios. Other types of portfolios include joint name portfolios, Individual Pension Plans, estates and/or trusts.

An Account holds one investment mandate managed by a portfolio manager and has its own account number. A mandate may be fixed income, Canadian, U.S. or International equity or some combination thereof as set out in your IPS.

Note that the regulatory statement you receive from the account custodian, Laurentian Bank Securities, is the official record of your holdings and transactions.

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4.2 Integrated Portfolio PerformancePage The Integrated Portfolio Performance page appears only on statements that combine multiple portfolios. In the example shown there is a corporate and an individual portfolio with the portfolio values and performance summarized on one page. Where performance is shown for periods exceeding one year, the performance number is annualized, which is to say that it is the average yearly return.

The since inception date shown is the date the first account was opened for performance purposes. This column may include newer accounts (Aug 1, 2008) and in those cases the since inception performance number would date from when that newer account opened.

4.3 Integrated Portfolio SummaryPage For statements that have multiple portfolios (an Integrated Statement), you will have an Integrated Portfolio Summary page which shows the overall asset allocation. Similar portfolio summary pages will also show this information at the individual portfolio level further on in the statement.

For statements that have a single portfolio, the portfolio summary page will only appear once.

This page shows the quarter-end asset allocation graphically in the pie chart. The asset allocation is also shown numerically for the current quarter and the previous quarter, along with the book value of the securities. The book value reflects the cost of the positions held in the portfolio. The layout of this summary page is similar to the Annual Investment Review.

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4.4 Summary of Your Managed Account Page The Summary of Your Managed Account page provides performance against the benchmark for each account.

Note that the account inception dates are provided for each account in the middle column of the page. The since inception date at the top of the last column reflects the date the first account opened. If a mandate within an account number changes (i.e. Manager C: Canadian Equity to Manager A: Canadian Fixed Income) the performance of the first mandate continues to be reflected in the bottom line (1.5%) performance. Therefore the since inception date in the last column corresponds to the bottom line total investment numbers.

4.5 Managed Account HistoryPage The Managed Account History page summarizes the cash flows and both realized and unrealized gains and losses in a portfolio. Withdrawals and fees are deducted from the previous quarterly value. Contributions and income are added to the previous quarterly value. Investment gains or losses will be added or deducted from the previous quarterly value.

Note that for mandates with interest bearing securities, the accrued interest (which is the interest, owed but not yet paid) is calculated and added to the market value of each security to arrive at the total value of the portfolio.

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4.6 Net Amount Invested Section The Net Amount Invested section outlines the amount of money that you have invested. The net amount section can be found at the bottom of the Integrated Portfolio Performance page for integrated statements and at the bottom of the Managed Account History page for all other statements.

Your Initial Contribution is the amount that was originally invested and includes cash and / or securities initially transferred in kind.

Subsequent Contributions and Withdrawals are summarized to determine the total amount that has been invested.

4.7 Statement of Positions Page The Statement of Positions page provides detail of each security held in an account at the end of the quarter.

The positions are grouped by type (Cash, Canadian bonds, Canadian equities, etc.) and then grouped by economic sectors. The original total cost and market value are provided as well as further details such as the current yield.

4.8 Transactions Page The Transactions page shows the activities for the quarter. A record of all the transactions will also be provided on the regulatory statement from Laurentian Bank Securities. Note that the regulatory statement you receive from Laurentian Bank Securities is the official record of your holdings and transactions.

Your transaction history and the daily market value for your portfolio are also available online.

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5 How to Read Your Annual Transaction Summary 5.1 Overview This is a guide to your Provisus Annual Transaction Summary (ATS). In the sections pictured below we have highlighted the sections of the ATS. Only clients who have non-registered accounts will receive an ATS. The ATS provides a summary of the capital gains realized and the management fee paid for your non-registered investments. This statement has been designed to assist you in your tax filings.

The ATS begins with an overall summary and then provides the details of capital gains and management fees paid for the calendar year. Please note that alternative reporting is available for corporate accounts that do not have a calendar year end and is not covered by this manual.

* TAX SLIPS - Laurentian Bank Securities (the account custodian) will mail to your address on fileany RRSP contribution receipts, T5 statements and T3 statements. Laurentian Bank Securities is theofficial book of record for your accounts.

5.2 Summary Page The summary page provides a summary of your total realized capital gains and fees in your non- registered accounts. The Gain/Loss number represents the sum of all capital gains in Canadian dollars realized for all of your non-registered accounts for the calendar year. The Fee Amount represents the total fees paid for your non registered accounts for the calendar year and does not include any sales taxes.

5.3 Capital Gains and Losses from Sales Page The Capital Gains and Losses from Sales page show the detail of every sale that occurred in your non-registered account. Included in this detail is your adjusted cost basis (ACB), proceeds from sale and any gain or loss realized on the sale of your securities. This information will be repeated on subsequent pages for additional non-registered accounts if you have more than one.

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5.4 The Fee Summary Page The Fee Summary page provides the details of your fees paid in every quarter of the calendar year.

Provisus bills client accounts quarterly in arrears. For example, the fees earned between October 1st and December 31st of each year will be debited in your account during January of the following year. As such, a full year of fees includes the Q4 fees from the previous year, and Q1 to Q3 of the current year.

6. Annual Review Questionnaire (ARQ)

Each year on the client account anniversary at Provisus, it is mandatory to complete a shortquestionnaire to ensure your investments are being managed by Provisus in a manner that isconsistent with your current personal situation.

The questionnaire will only take a few minutes to complete online and after completion you willhave access to ‘Your Statements’.

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7. How Do I?7.1 Start or amend a systematic contribution or withdrawal. To start a systematic contribution into your investment account, a signed Systematic Withdrawal form PAD (Pre-Authorized Debit Agreement) and a void cheque is required.

To start a systematic withdrawal from your investment account into your personal bank account, we require a signed Direct Deposit form and a void cheque.

You can amend or stop your systematic contribution or withdrawal by sending a letter of direction. A Letter of Direction should include your name, the account number, instructions on what you would like to, amount, date and signature. Cancellation notifications need to arrive 5 days prior to the next transaction date to allow sufficient processing time. In order to restart a contribution after cancellation, a new Systematic Withdrawal form will be required.

*** Please contact Provisus for copies of these forms at [email protected]. These forms can be faxed to Provisus at 416-933-2222 initially, with the original signed forms sent by mail within 15 days.

7.2 Request a One Time Contribution or Withdrawal. To make a one-time contribution, make cheque payable to: Laurentian Bank Securities, along with a Letter of Direction indicating the amount and your investment account number for the contribution. Note: the cheque must be from the bank account in which the account holder(s) name is the same as the account holder of the Provisus account. Mail to Provisus for processing.

To make a one-time withdrawal from your investment account, please contact Provisus for the Withdrawal Form or you can generate your own Letter of Direction indicating the amount, account number and deposit/mailing instructions. Withdrawal transactions may take as long as 10 business days to complete, please keep this in mind when requesting funds. Should you require the funds quickly you can email [email protected] or fax (416) 933-2222 and include the copy of the signed Withdrawal form or Letter of Direction and we will begin raising the amount required.

7.3 Change Address, Phone Number or Email Address. For any updates to your land address, please contact Provisus for the Material Change form or you can generate your own signed Letter of Direction indicating your new address to Provisus. For any new phone numbers or email addresses, please inform Provisus by email at [email protected] and include your account number and name.

7.4 Communicate a change in my FinancialSituation. Please contact Provisus if there are any significant changes to your financial situation by telephone or email. One of our qualified portfolio managers will speak with you to ascertain your new situation and revise your Investment Policy Statement as required.

7.5 Get my Provisus generated statements or Provisus tax slips. Refer to instructions 3.1 & 3.6 for logging onto Provisus website and "Your Statements”.

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8. Frequently Asked Questions.8.1 Can my Financial Advisor select the security for my investments?No, Provisus Portfolio Managers are responsible for selecting your investment portfolio and determines your individual mix.

8.2 Can I speak to my advisor about a specific fund manager that is not on my Investment Policy Statement (IPS), how do I change this? Financial Advisors cannot discuss individual securities with the client (example: fund, stock, bond, ETF). Provisus Portfolio Managers are responsible for this, should there be a change required you will receive a revised IPS.

8.3 Who do I speak to regarding my financial planning (tax, insurance, estate planning, financial guidance for retirement)?Your Financial Advisor will be able to assist you.

8.4 My Annual Review Questionnaire is due and I would like to discuss my portfolio, who do I contact ? Complete the #4 question by selecting YES on the questionnaire, a Provisus Portfolio Manager will contact you.

8.5 What is Provisus Responsible for?Provisus will maintain your investment portfolio by performing trading, portfolio analysis and compliance of your accounts. We also provide back office support to advisor and clients on your Laurentian Bank accounts.








