A dealing representative is reviewing a client’s portfolio. The client, Mr. Ben Carter, 40, has an aggressive risk tolerance and a well-diversified portfolio that includes mutual funds. Mr. Carter has expressed concern that he did not receive specific Fund Facts for a recent purchase of a Global Equity Fund he made two business days ago. What is the dealing representative's obligation regarding the Fund Facts delivery?

Question: A dealing representative is reviewing a client’s portfolio. The client, Mr. Ben Carter, 40, has an aggressive risk tolerance and a well-diversified portfolio that includes mutual funds. Mr. Carter has expressed concern that he did not receive specific Fund Facts for a recent purchase of a Global Equity Fund he made two business days ago. What is the dealing representative's obligation regarding the Fund Facts delivery?

Answer options:

• The dealing representative has already met the obligation as Fund Facts only need to be available online, not physically delivered.
• Delivery of the Fund Facts is only required at the point of sale if the client directly requests it. ✅ The dealing representative must ensure the client receives the Fund Facts within two business days after the purchase, and thus must promptly send it.
• Fund Facts are only required for first-time mutual fund investors, not for existing clients making subsequent purchases.

Correct answer: The dealing representative must ensure the client receives the Fund Facts within two business days after the purchase, and thus must promptly send it.

Explanation: NI 81-102 requires that an investor must be delivered the most recent Fund Facts document no later than two business days after the investment was made, for every purchase regardless of whether they are a new or existing client.