Overview

CIFC on the Web™ is unlike anything in the industry. Throughout this course, learners will be given information and exercises that is relevant to their work as mutual fund salespeople. The sequence of the instruction parallels the process that they will follow much of the time with clients. Our goal is not only to present the knowledge that they will need for the role but also to give them the opportunity to analyze case studies and put their knowledge into practice.

Students will be introduced to case studies that challenge them to provide the next step in a mutual fund "solution" for their clients. At the end of each lesson, students will have a more complete picture of this solution and greater expertise in solving varied client cases.

By the end of the course, students will have the foundation of what they need to know to be mutual fund salespeople. They will also have had the opportunity to practice and apply their knowledge, not just on one topic at a time, but in cases and exercises that challenge them to integrate many different skills. [Back to top]

Unit 1: Financial Objectives    This unit provides an overview of the regulatory framework of the mutual fund industry. It also addresses the very important 'Know your Client' rule. After completing this unit, learners will be able to list all information required under the 'Know your Client' rule, gather the pertinent information from their clients, analyze it and offer some solutions. Topics Include: Mutual Fund Industry Regulatory Issues The Strategic Investment Planning Process Know Your Client Assessing Client Resources Assessing Risk Tolerance Assessing the Client Situation

Unit 2: Mutual Fund Basics This unit addresses the basics of mutual funds. It describes the benefits and compares them to other types of investment products. It also addresses the processes of purchasing and redeeming mutual funds together with a discussion of the fees associated with them. Topics Include: Mutual Fund History Benefits of Mutual Funds Roles and Functions Purchases and Redemptions Mutual Fund Fee Structure

Unit 3: Mutual Funds Investment This unit gives the learner an overview of investing and the common types of financial instruments available. It discusses the various money market and fixed income products, as well as describes the features of common and preferred shares. The learner will also be acquainted with derivative products. Topics Include: Investment Money Market Instruments Long-term Fixed Income Instruments Common Shares Preferred Shares Derivatives

Unit 4: Types of Mutual Funds This unit describes the types of mutual funds available. It provides learners with the information about the funds, how they are categorized and the investment characteristics of each. Topics Include: Three Categories of Funds Income Funds Growth Funds Combination Growth and Income Funds Comparing the Funds

Unit 5: Economic Environment This unit introduces the macroeconomic environment and the purpose and function of a financial marketplace. It also describes other investment products that either complement or compete against mutual funds. Topics Include: The Macroeconomic Environment Marketplace Competitive Products

Unit 6: Managing Mutual Funds This unit introduces the Portfolio Manager and the various investment styles that he or she may employ. It also explains common financial statements and demonstrates how they are used to make investment decisions. Finally, it explains how mutual fund performance is calculated and the factors that affect that performance, including risk. Topics Include: Role of the Portfolio Manager Financial Statements Analyzing Financial Statements Mutual Fund Performance

Unit 7: Taxation This unit describes the Canadian tax system and how it works. It explains the taxation of mutual funds and the tax treatment of various types of investment income. The information in this unit stresses that mutual fund salespeople are not expected or qualified to provide detailed tax counseling. However, it does provide the fundamentals of taxation to equip learners to serve their clients. Topics Include: Canadian Tax System Mutual Funds and Taxes Personal Income Tax Mutual Fund Corporations

Unit 8: Pensions and Retirement This unit introduces the various types of public and private savings plans. It describes the different types and features of RRSPs and the rules surrounding contribution limits. Retirement planning is a priority for most Canadians. It is important for learners to understand how these plans work and how their clients can benefit from them. Topics Include: Savings Plans Features of an RRSP Types of RRSPs RRSP Contribution Limits Withdrawing from RRSPs RRSP Strategies

Unit 9: Responsibilities This unit addresses the mutual fund salesperson’s obligations and fiduciary duties as required by securities regulations, including maintaining their registration in good standing. It also lists the rules regarding the prospectus and sales communications. Using case studies, it illustrates “real-life” examples of fiduciary obligations and the consequences of not following them. Topics Include: Prospectus The Exempt Market Sales Communication Your Registration Your Duties and Obligations

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