Record of Advice (RoA)

Let’s say your adviser gave you a detailed plan (an SoA) a few months ago. Now, they’re providing advice that builds on that plan. Instead of giving you a new SoA, they might use an RoA to document this follow-up advice. Let’s say, if there are more suitable investments available for your portfolio which is appropriate and in-line with your investment goals, an RoA can be used to incorporate these changes without repeating the entire financial plan. 

An RoA is also used when a client's financial or personal circumstances change. These changes can significantly impact their financial goals and strategies. In such cases, an adviser can provide updated recommendations through an RoA. For instance, if a client's income increases, allowing for additional retirement savings, an adviser can use an RoA to recommend increasing investment contributions.

As part of ongoing client service, advisers should provide a Record of Advice annually or semi-annually. This document serves to confirm the client's financial plan remains aligned with their goals and objectives, and to validate the ongoing suitability of the recommended strategy.