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DSC alternative has limited merits

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Why nobody talks about Banks and GICs. 5 years locked in or redeemable with penalty? If a client cannot sustain an investment for 3 years why invest in a mutual fund? Today long term investing for many( especially millennials) menas 6 months! Funds are switched within the same company with no penalty

Tuesday, Sep 5, 2017 at 12:02 pm Reply


This is just another DSC that creates a conflict of interest…I agree with your comments and have one further comment to add. If I am an advisor that takes over an account with this load structure, I would assume I would inherit the liability of the chargeback? If that is the case, it may create an additional conflict if I want to make changes if the investment isn’t suitable. Furthermore, how does an advisor value a book of business if it’s made up of this type of load structure? My assumption would be it’s worth a lot less than a regular book as you’d need to discount for any outstanding advisor chargeback fees remaining.

Tuesday, Jun 20, 2017 at 7:18 am Reply


Thanks Melissa.

Regulators should consider early withdrawal by client subject to DSC charges as a failure in suitability and hold Advisors responsible for unsuitable recommendations. Most Advisors conclude long term time horizon for clients to facilitate to sell DSc/LSC Load type and no consideration of overall client KYC and other information including Health and potential situations.

It is insane to invest all or most of RDSP investments at DSC Load type, sometimes beneficiaries are not eligible for Grant and RDSP beneficiaries /Estate incur significant DSC charges.

Monday, May 15, 2017 at 8:49 am Reply