Investment Recommendation Rationale and Best Interest Memo

Documents why a recommended investment product or strategy is in the client's best interest, including alternatives considered and the audit trail supporting the recommendation.

Submission Notice and Consent

• Purpose of this memo
• Client consent to record and retain recommendation details
• PII minimization acknowledgement
• Anonymous submission requested
  Use only if your workflow allows anonymous internal review. Do not use for client-identifying records.

Client and Account Context

• Client name
• Client or household ID
  Use an internal identifier if available. Avoid collecting SSNs or other unnecessary identifiers.
• Account type
• If other, specify account type
• Relationship type

Client Objectives, Constraints, and Risk Profile

• Primary investment objectives
• If other, describe the objective
• Risk tolerance
• Time horizon (years)
• Liquidity needs
• Special constraints or restrictions
• If other, describe the constraint

Information Relied Upon

• Information relied upon
• If other, specify the information source
• Key facts summary
  Summarize the client facts that materially influenced the recommendation. Avoid unnecessary personal data.
• Material information not available
  If any material facts were unavailable, explain what was missing and whether the recommendation was still appropriate.

Recommendation and Alternatives Considered

• Recommended product or strategy type
• If other, specify the recommended strategy
• Recommendation summary
  State the recommendation clearly and concisely.
• Alternatives considered
• Alternative name
• Why this alternative was not selected

Best Interest Rationale

• Best-interest basis
• If other, describe the basis
• Rationale narrative
  Explain why the recommendation is suitable or in the client's best interest, including trade-offs and why the selected option is preferable.
• Known trade-offs or risks
  Document any material risks, limitations, or trade-offs disclosed to the client.

Review, Attestation, and Audit Trail

• Supervisor review required
• Reviewer name
• Review date
• Attestation
• Supporting documents
  Upload only documents necessary to support the recommendation.