Cofunds Cash Account FAQs by sparkunder22

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Cofunds Cash Account: FAQs
A series of questions and answers on the Cofunds
Cash Account

General
1. What is a Cofunds Cash Account?                             5. Do my clients earn interest on cash held

The Cofunds Cash Account allows investors to                   within the cash account?

hold money destined for investment on Cofunds.                 Yes, Cofunds will pay interest on the entire balance.
It removes much of the back office administration               Interest will be paid net unless instructed otherwise.
associated with managing your clients’ cash.
                                                               Details of the current interest rate can be found

2. What is a Platform Account Reference?                       at the following link:

The Platform Account Reference is a unique number              www.cofunds.co.uk/docs/cofundsrates.pdf
(up to 16 digits in length) that enables intermediaries
and investors to identify each cash account (the               6. How long can my clients hold money
number is prefixed with the letter ‘A’.). The Platform          in the cash account?
Account Reference must be used when clients move               There is no set time period, however money
money electronically into the account.                         within a cash account is deemed destined for
                                                               investment. Therefore you should not view this
3. What products/funds can my clients invest in                as a long term option.
directly using money held in the cash account?

Your clients can invest directly in unwrapped                  7. Is it possible for my clients to have more than
(investment funds) and/or wrapped (ISA) holdings.              one cash account?
They can also invest in the Legal & General products           Yes. A cash account can be opened for any unique
available on Cofunds.                                          combination of investors or designated investments.

4. What is the minimum and maximum amount                      8. Can my clients view their cash account
that can be held in a cash account?                            details on the Cofunds website?
There is no minimum or maximum balance required.               If you have given your clients the ability to view their
                                                               investment portfolio online, they will also have the
                                                               ability to view the total balance of the cash account.




This is not a consumer advertisement. It is intended           How to contact us:
for Professional Financial Advisers and should not be
relied upon by private investors or any other persons.         Click: www.cofunds.co.uk
Issued and approved by Cofunds Limited.
Authorised and regulated by the Financial Services Authority   Call: 0845 604 4001
(FSA) under FSA Registration No. 194734.
Registered Office: 1st Floor, 1 Minster Court, Mincing Lane,
London EC3R 7AA. Registered in England & Wales
Number 3965289. Telephone lines are open Monday to Friday
8.30am – 5.30pm. Calls may be recorded for monitoring
purposes. Calls are charged at local rate.                      Best Fund    Best Fund    Best WRAP   UK Retail Fund    Best Fund     5 Star Investment
                                                                 Platform   Supermarket    Platform     Platform of    Supermarket   Provider & Packager
                                                                   2008     2007 & 2008      2008     the Year 2008    2007 & 2008           2007
   Service




9. Why do my clients bank account details need                 Transferring out of a Cofunds
to be verified?
                                                               Cash Account
Anti-money laundering regulations require you to
verify the source of funds and bank account details            13. Can clients withdraw money from their
for cash coming into or out of Cofunds.                        cash account?

                                                               Yes, investors can choose one-off or regular
As a result you may need to gather documentary
                                                               withdrawals. To set this up they need to complete
evidence of your clients’ bank account details
                                                               the ‘Cofunds Withdrawal Instruction’ form.
before money is placed in their cash account.

                                                               14. If my clients choose a one-off withdrawal
Transferring into a Cofunds                                    from their cash account, when will payment

Cash Account                                                   be issued?

                                                               Any withdrawal from a cash account to your client’s
10. How can my clients place monies into
                                                               nominated bank account will be issued within
a cash account?
                                                               5 working days of the valuation pricing time of the
Your clients can place monies into the cash account            last fund sold. Payment may take up to 8 days to
by sending a cheque made payable to Cofunds or                 reach their account.
electronically from their nominated bank account.
                                                               15. Can clients take a regular fixed income
Please note, electronic payments will only be
                                                               from their cash account?
accepted in the cash account once you have
verified the account is in the name of your client.             Yes, clients can take a fixed income from their
                                                               investments via the cash account’s regular
11. Can my clients transfer monies from one                    withdrawal facility.
cash account to another?
                                                               16. How do my clients set up a regular
Yes. Clients can transfer monies between cash
                                                               withdrawal from their cash account?
accounts by completing the ‘Cofunds Cash
Account Inter Account Transfer Instruction’ form.              Investors can set up a regular withdrawal by
                                                               completing the relevant sections of the ‘Cash
12. Can my clients pay monies into their cash                  Account Withdrawal Instruction’ form.
account via direct debit?
                                                               They need to specify the amount, frequency
A direct debit facility is currently unavailable;              (monthly, quarterly, half yearly or annually) and
however we are looking to introduce this in the                start date.
future. Investors can set up a regular standing
order from their nominated bank account.




This is not a consumer advertisement. It is intended           How to contact us:
for Professional Financial Advisers and should not be
relied upon by private investors or any other persons.         Click: www.cofunds.co.uk
Issued and approved by Cofunds Limited.
Authorised and regulated by the Financial Services Authority   Call: 0845 604 4001
(FSA) under FSA Registration No. 194734.
Registered Office: 1st Floor, 1 Minster Court, Mincing Lane,
London EC3R 7AA. Registered in England & Wales
Number 3965289. Telephone lines are open Monday to Friday
8.30am – 5.30pm. Calls may be recorded for monitoring
purposes. Calls are charged at local rate.                      Best Fund    Best Fund    Best WRAP   UK Retail Fund    Best Fund     5 Star Investment
                                                                 Platform   Supermarket    Platform     Platform of    Supermarket   Provider & Packager
                                                                   2008     2007 & 2008      2008     the Year 2008    2007 & 2008           2007
   Service




17. Do my clients need to have monies in the                   19. Will my clients receive a contract note
cash account in the first instance to set up the                each time they receive a regular withdrawal
regular withdrawal?                                            payment?

If a new client to Cofunds sets up a regular                   No. Regular withdrawal sell downs and payments
withdrawal from their cash account, along with                 will be shown on your client’s Cofunds annual
placing an initial investment, it is advisable that at         statement.
least the first month’s regular withdrawal amount
is available in the cash account. If the investor has          20. When will my client’s regular withdrawal
not allocated sufficient money, this will result in             be sent to their nominated bank account?
investment charges being incurred which could                  The regular withdrawal amount will be deducted
otherwise be avoided (please refer to the Key                  from the cash account on the 20th of the month.
Features of the Cofunds Platform).

18. What happens if my client has insufficient                  Customer Agreed Remuneration
balance in their cash account to meet their                    on Cofunds
regular withdrawal?
                                                               21. How do I find out more about Customer
If on the calculation date, investors have an
                                                               Agreed Remuneration (CAR) on Cofunds?
insufficient balance in their cash account to meet
the regular withdrawal payment, Cofunds will sell              Further information on CAR on Cofunds can be

a portion of their investments.                                found on www.cofunds.co.uk

Should a sell down be required, it will take place on
the 9th of the relevant month or the next available
business day. Investors can choose between two
sell down options when they set up their regular
withdrawal:

• Option 1: A proportional sell down
• Option 2: Specific sale of funds
Please refer to the Key Features of the Cofunds
Platform for more information.




This is not a consumer advertisement. It is intended           How to contact us:
for Professional Financial Advisers and should not be
relied upon by private investors or any other persons.         Click: www.cofunds.co.uk
Issued and approved by Cofunds Limited.
Authorised and regulated by the Financial Services Authority   Call: 0845 604 4001
(FSA) under FSA Registration No. 194734.
Registered Office: 1st Floor, 1 Minster Court, Mincing Lane,
London EC3R 7AA. Registered in England & Wales
Number 3965289. Telephone lines are open Monday to Friday
8.30am – 5.30pm. Calls may be recorded for monitoring
purposes. Calls are charged at local rate.                      Best Fund    Best Fund    Best WRAP   UK Retail Fund    Best Fund     5 Star Investment
                                                                 Platform   Supermarket    Platform     Platform of    Supermarket   Provider & Packager
                                                                   2008     2007 & 2008      2008     the Year 2008    2007 & 2008           2007
CG5 03/09

								
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