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Overview
The SMSF – Establishing an MDA strategy in AdviserLogic’s Digital Advice module helps you build compliant, structured advice when recommending that a client’s SMSF invest via a Managed Discretionary Account (MDA). An MDA strategy guides you through articulating the rationale for the recommendation, key features of the chosen provider, fees and costs, and how the MDA aligns with the client’s risk profile and investment objectives. It’s a custom strategy template that pre-fills relevant recommendation wording so you can tailor it to your client’s circumstances without starting from scratch.
Custom Strategy
The SMSF Establishing an MDA Strategy is a Custom Strategy, a template with prefilled text relevant to the recommendation, rather than a strategy that calculates data.
Custom strategies are designed to reduce the time and effort required for drafting in the advisory process. By providing pre-filled text data relevant to the selected strategy, advisors do not need to start from scratch, saving valuable time.
To learn more about Strategy Types, please read the Strategy Cheat Sheet.
SMSF Establish an MDA Strategy
Please follow the step-by-step instructions below to prepare advice for the SMSF Investing in an SMA Strategy.
Your client must have an existing SMSF in Fact Find for this strategy to be available. If no SMSF exists in Fact Find > Superannuation, the SMSF strategy button will be inactive.
📌Note
Before completing this advice, you can model an SMSF Investing in an SMA in the Cashflow Module. The modelling can be added to the advice to support your recommendation.
From the Digital Advice - Scenarios Screen, select the Add Scenario icon.
Select the Client the advice is for, or select Joint to create advice for your client and partner. Select the type of advice ( SoA or RoA), then Proceed To Scope.
Select the SMSF Establishing an MDA Strategy from the Strategy screen then select Proceed. Link the Goals or skip this step.
To adjust your Advice text, use the Editor Tool at the top of a Word document-inspired page.
It's a user-friendly feature enabling you to customise your text as needed. Orange Highlighted placeholder text must be updated.
📌Note
Hovering over each icon in the tools ribbon will show what it does.
The SMSF Investing in an SMA Strategy includes a pre-filled explanation of the options for establishing an MDA you can edit the table with the hover options by clicking into it and then selecting the requisite option.
To help you with your task, the text area has been designed with 3 constructive main headings that are pre-filled with common considerations. You can use this as a starting point and customise as needed.
My Advice - Outline of the advice that you are providing to the client.
Why My Advice is Right for You - Add the reasons for which you have recommended the strategy to the client, along with their benefits.
Risk and Things to Consider - Add consequences, etc., for your Advice.
Edit the Advice Document
You may also edit the advice document from within the scenario by selecting the Save And Preview button from the top right of any screen within a digital advice scenario and following the Advice Editing Instructions.
Fee Disclosure
After editing the text to your liking, select the Proceed to Disclosure Fees button at the bottom right of the screen. From there, add your fees and complete your advice.
Link Cashflow
After completing the advice, you may add any previously created cashflow modelling to the scenario by selecting the Link Cashflow option from the Scenario Tile. The cashflow tables will be drawn into the final advice document.
