[SOLVED] A mutual fund

Sales presentation: Must use the four questions as discussed and demonstrated in class to assess client needs (4 marks).

Role Play Assignment 2

1.What do you value the most in a mutual fund?

2.What do you like or dislike about your previous mutual fund?

3.Is there anything else that you think is important for your fund?

4.How would you feel if I can assist you with…

 

What are four important points you need to remember during the needs assessment?
1
2
3
4

Problem solving linked to Features and Benefits. (3 marks for each N/F/B combination for a total of 24 marks)

Each need must be linked to a product feature and associated product benefit

Need Feature Benefit
1
Low fees

1F)
A total fund expense of 0.82% 1B)
Save money
2
Low risk

2F)
The risk rating is “low to minimum”. The worst return in the past was a lose of 7.8% in March 31, 2020 2B)
Safety
3
Cash flow

3F)
Distributes monthly 3B)
Assist the client with cash flow
4

4F)
$25 fees for additional unit 4B)
Flexibility
5

5F)
Minimum investment of $500
5B)

6

6F)
Total value of fund on May. 31, 2021 was $1719.7 million 6B)
7.
Stable income

7 F)
The fund invests in fixed income securities.
7B)
Relatively stable income
8.

8 F) 8 B)

Client Attitudes
For each of the following five client attitudes follow the steps to solving the attitude. ( Step 3 identify and clarify can be incorporated where the attitude requires further clarification. If it does not require clarification you may skip this step). 15 marks.
Skepticism (1)
Client statement
Acknowledge: (i.e. I understand how you may feel this way but let me show you the fund fact sheet…)
Identify and Clarify
Handle: (i.e. as you can see from this chart (show the chart)…)

 

Indifference (1)
Client statement
Acknowledge
Identify and Clarify
Handle

 

Objection(1)
Client statement
Acknowledge
Identify and Clarify
Handle

Stalling(1)
Client statement
Acknowledge
Identify and Clarify
Handle

 

Vagueness(1)
Client statement
Acknowledge
Identify and Clarify
Handle

 

Close
Construct two different closes for your presentation. What buying signals will you be looking for? 10 marks
Close 1

 

Close 2

 

Buying signals

 

 

Construct a follow up plan for your client taking into account short term, medium and long term touch points. 12 marks
Short term

 

 

Medium term

 

 

Long term

 

 

Choose three cognitive biases and three emotional biases, describe each one in your own words and then give an example where these biases may come into play in a client/ advisor meeting.
Bias 1

 

 

Bias 2

 

 

Bias 3

 

 

Bias 4

 

 

Bias 5

 

 

Bias 6