144) UTC Types And Services

144) UTC Types And Services

 

Generally, all Unit Trust Consultants (UTC) help people and companies to plan and prepare for their future financial needs. In other words, they help people to make their money work harder. 

The clients' money is used to:

a) buy shares of companies all over the world

b) buy corporate and government bonds

c) keep in money market instruments in the financial institutions

While the main tasks are similar, there are 2 main categories of Unit Trust Consultants (UTC).

Staff UTC vs Independent UTC.

Staff UTC.

Staff UTC are defined as those who work in a company that promote the Unit Trusts. The UTCs are paid a basic salary and may get commission from their sales. One example is a UTC that works in a bank.

Staff UTC normally reports to work at their office. It is a typically office hour work. They wait for clients to come to see them in the office. Sometimes they go out of office to meet clients. They may have been allocated or assigned clients locations. This is ensure their clients in their area are serviced by that office. Maybe also to avoid conflict and overlapping areas. As the clients are serviced by that office, there may be more than 1 UTC handling the client's portfolio. If a staff is out of office, the other staff can follow up on behalf.  

Staff UTC also normally promote other products and services from their office. For example, a bank staff UTC may also have housing loans, corporate loans, credit cards, etc.

Independent UTC.

Independent UTC are defined as those who work for themselves. Basically, the UTC owns a Unit Trust services business.

They do not have any monthly salary. Only commission based on sales. One example is a UTC that has no company office and goes out to meet clients.

Independent UTC normally does have a permanent office. They mostly travel everywhere to meet clients. They have no fixed working hours or work days.  Flexible work time, day and area. These UTCs are even willing to travel far, on a weekend night to meet their clients.

Most of these UTC start the business on a part time basis. Those who are more dedicated and successful, do it full time. The client's portfolio are handled by only 1 UTC. Only the investment that are processed by the UTC can be seen by him or her. No other UTC have accessed to the portfolio.

These independent UTCs are also constantly looking to build and expand their team. They will be asking their clients to join them. They also usually ask for referrals of other people interested to invest their money or to join them. 

The relationship between client and the independent UTC are normally more closer.  Many clients and UTC became very close friends. Many clients are also family members, neighbours and friends

Most UTCs also have other related financial services to help their clients better.  

Other products and services

You may also ask about the products below from your Unit Trust Consultants:

a) Private Retirement Scheme (PRS) 

PRS for individual and corporate. Do ask them about vesting scheme in PRS where a company can attract new talents and build staff loyalty. Also find out how a company can save on taxes by contributing PRS for their staff, without staff being taxed for the extra incentive.

 

b) Insurance
Some Unit Trust funds have FREE insurance for their investors. Also do find out about the optional group insurance at a discounted price.

 

c) Will, Wasiat, Trust Nominations and Hibah.
Ask the UTC on how you can plan for your estate. Find out the difference between Will, Wasiat, Trust Nominations and Hibah. Different estate planning methods for different purposes.

 

d) Corporate Savings.

Better money saving options for Corporate. There is tax on interest earned when a corporate save the money in the bank.  Find out how to overcome the tax by saving the money in a Unit Trust Company. Money placed in the money market, cash deposit and bond funds are tax exempted.

Your Unit Trust Consultants will be able to assist you in your planning. Contact them for more details.