Fundserv Dealer Agreement

When financial advisors and wealth management firms want to purchase investment products, they often turn to a third-party vendor to access a vast selection of offerings. One such vendor is Fundserv, a company that streamlines mutual fund processing for the Canadian investment industry.

But before financial professionals can access Fundserv`s platform, they must sign a Fundserv Dealer Agreement. Here`s what you need to know about this document.

What is a Fundserv Dealer Agreement?

A Fundserv Dealer Agreement is a legally binding contract that outlines the terms and conditions of a financial professional`s use of Fundserv`s services. By signing the agreement, the dealer gains access to Fundserv`s mutual fund processing platform, which includes trading, settlement, and administrative services.

What does the agreement cover?

The Fundserv Dealer Agreement covers a range of topics, including:

– The dealer`s responsibilities when using the platform

– The fees associated with using Fundserv`s services

– Data security and confidentiality requirements

– How disputes will be handled

– Termination rights and procedures

For example, the agreement may specify that the dealer must keep their login credentials secure and confidential, and must notify Fundserv immediately if they suspect unauthorized access to their account. It may also outline the consequences of not paying Fundserv`s fees on time, such as account suspension or termination.

Why is it important?

For financial professionals, the Fundserv Dealer Agreement is important because it sets out the terms and conditions of their use of Fundserv`s platform. It outlines the fees they will be charged and the responsibilities they have when using the service. It also provides assurance of data security and confidentiality, which is crucial for protecting client information.

For Fundserv, the agreement is important because it establishes clear expectations for the use of their services and sets out the consequences of non-compliance. It can also help to mitigate the risk of fraud, as the agreement requires dealers to take specific steps to ensure the security of their account.

In conclusion, financial professionals who want access to Fundserv`s platform must sign a Fundserv Dealer Agreement that outlines the terms and conditions of their use of the service. By doing so, they gain access to a vast selection of investment products and are assured of data security and confidentiality. For Fundserv, the agreement helps to establish clear expectations for the use of their platform and helps to mitigate fraud risk.