This article provides a step-by-step guide as to how you can quickly and easily write a suitability report to consolidate one of more existing plans a client may have into another existing plan they already have.

1) Select or add the client

Go to Write report and select or create the private client you wish to write the report to.

2) Select the Report Creation Method

This article walks you through the steps of building the report 'from scratch'.

3) Create the report

In Report Details, give the report a name and select the Report Type. Assuming you're creating the report 'from scratch', we'd suggest using the Suitability Report. However, it is also possible to use the Review Report 2.0.

4) Add the required sections

You’ll then be directed to the Report Builder where you should add the necessary sections from the 'Available sections' drop down , which in this instance are:

  • The relevant review section (investment, pension or retirement income plan)
  • Recommended Investment Strategy section

5) Complete all section wizards

Next you'll need to step through the section wizards of all sections that require your input, starting with the Introduction section.

6) Complete the Introduction section 

You will progress through the steps of the Introduction section in the usual way. When you reach the Client Objectives step you should select or add the advice option(s) that accurately reflect the client's objective(s) and add comprehensive Know Your Client (KYC) information to ensure you fulfil the regulator’s expectations of you in terms of documenting a client's objectives. Alternatively, you can add the client's objectives as free text.

7) Complete the Client Risk Profile section

It's in this section that you will confirm the client's attitude to risk and capacity for loss, as well as their knowledge and experience and any investment preferences.

8) Complete the review section

You’ll be prompted to provide an overview of the existing plans within the Plan Summary step and summarise their on-going charges in the Current Plan Charges step. 

In the Recommended Action step, you will need to confirm what action you are recommending in respect to each plan. For all ceding plans, you should select 'switch', 'transfer' or 'encash and reinvest the proceeds of' depending on the plan and the review section you are in. For the receiving plan, you should select 'consolidate the plans being switched / transferred within'.

You will then be prompted to confirm the total Transfer-in Amount in the Recommended Contribution step and the impact the newly invested monies will have on the charges of the receiving plan in the Revised Plan Charges step. 

You can also confirm any disadvantages associated with the recommendation being made in the Key Disadvantages and Tax Implications step.

Finally, because this is replacement business, you will also be prompted to compare the following aspects of the ceding and receiving plans in the Plan Comparison steps.

  • Plan Charges - Quantify the difference in the Total Annual Recurring Charge of the existing plan and the new plan that is being recommended to replace it
  • Reduction in Yield (RIY) – Compare the RIY of the existing plan and the new plan that is being recommended to replace it.
  • Performance – if performance has been cited as a factor for replacing the current plan, we would expect to see supporting information here.
  • Death Benefits (Pensions and Retirement Income Plans only).

9) Possibly complete the Recommended Investment Strategy section

If you need to recommend a new or revised investment strategy for the existing or new monies (or both) being invested into the receiving plan it is here that you can do just that.  

10) Complete the Important Information section

This is the last section you'll need to complete and is self-explanatory.

11) Tailor the structure of the report

Having completed all of the section wizards you should then tailor the structure of your report by unchecking any sections you do not wish to include in your report; and then change the sort order of any sections to reflect your personal preferences.

You’ll find more information about how to remove sections from your report here.

You'll find more information about how to reorder the sections in your report here.

12) Download the report / covering letter

Click the Download report / Download cover letter icon and the report / covering letter will download to word.

Report template

Having created the report, you may then wish to convert it into a template and save it to your Report Template Library to use as a starting point for creating future reports.