Application
This unit describes the skills and knowledge required to establish agreements with intermediaries for distributing financial products.
It applies to individuals who use specialised knowledge, systematic approaches and discretion, within their level of authority and organisational guidelines, to negotiate arrangements.
No licensing, legislative or certification requirements apply to this unit at the time of publication.
Elements and Performance Criteria
ELEMENT | PERFORMANCE CRITERIA |
Elements describe the essential outcomes. | Performance criteria describe the performance needed to demonstrate achievement of the element. |
1. Identify potential intermediaries | 1.1 Determine selection criteria to achieve business plan outcomes 1.2 Identify and match target intermediaries against selection criteria and make approaches or respond suitably to enquiries from potential intermediaries |
2. Determine acceptability | 2.1 Check information provided with application to determine reliability, completeness and relevance 2.2 Assess proposed trading arrangements for compliance with industry code of practice and relevant legislation 2.3 Check credentials through appropriate agencies to ensure acceptability within organisational assessment criteria and make recommendations based on valid assessment of information against acceptability criteria |
3. Determine terms and conditions of trade | 3.1 Determine terms and conditions of trade to reflect legal and commercial responsibility of organisation and intermediary 3.2 Ensure terms of trade incorporate method of operation, duties and responsibilities of both parties, and are defined in compliance with industry code of practice and relevant legislation |
4. Convey decision and terms of trade | 4.1 Concisely convey decision and terms of trade in writing using plain language 4.2 Provide advice in timely manner to ensure currency of application |
5. Negotiate variations where appropriate and document and confirm arrangements | 5.1 Negotiate variations within authorities and provide evidence of acceptance by both parties in writing to confirm understanding 5.2 Prepare agreements in writing using predetermined formats to evidence contractual relationship 5.3 Prepare statement of intent where appropriate to reflect commercial understandings 5.4 File agreement documentation and promptly create and/or update system records |
Evidence of Performance
Evidence of the ability to:
set up effective agreements with other organisations to deal in the products and services of the organisation
determine and document the terms of trade and evaluation of an intermediary agreement’s success.
Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.
Evidence of Knowledge
To complete the unit requirements safely and effectively, the individual must:
explain the key requirements of:
industry codes of practice
industry legislation and regulations regarding financial products and services
compare and contrast organisational and industry products and services
outline the organisation’s assessment criteria for accepting intermediaries
outline the key features of organisational distribution requirements and channels
analyse organisational business plans including income and expenditure forecasting
describe the key features of organisational:
marketing
administration systems
performance measures
training techniques
resources and budgeting
explain issues relating to the application of relevant commercial and contract law in establishing agreements with intermediaries.
Assessment Conditions
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the sales and marketing field of work and include access to:
financial services product information
a relevant software system and data
organisational policy and procedures
common office equipment, technology, software and consumables.
Assessors must satisfy NVR/AQTF assessor requirements.
Foundation Skills
This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.
Skill | Performance Criteria | Description |
Reading | 1.2, 2.1, 2.2, 2.3, 5.1 | Analyses detailed textual information from a range of sources to identify and compare key information and determine requirements |
Writing | 1.2, 2.3, 3.1, 4.1, 4.2, 5.1-5.4 | Uses clear and concise language, incorporating correct spelling, grammar and terminology, to accurately record and convey information Structures and sequences information logically using appropriate document formats |
Oral Communication | 1.2, 2.3, 4.2, 5.1 | Applies listening and questioning techniques to guide discussions and elicit information from a range of stakeholders Presents information structuring tone, pace and content in line with the audience and purpose |
Numeracy | 1.2, 5.1 | Uses mathematical equations to perform calculations and comparisons of financial and numerical information |
Navigate the world of work | 1.1, 1.2, 2.1-2.3, 3.1, 3.2, 4.2 | Ensures compliance with relevant legislative requirements, explicit and implicit protocols, policies and procedures and meets expectations associated with own role |
Interact with others | 1.2, 2.3, 4.1, 5.1, 5.2 | Selects and uses appropriate conventions and protocols when communicating with internal and external stakeholders to seek or share information Plays a lead role in situations requiring effective collaborative skills, demonstrating high level negotiation skills |
Get the work done | 1.1, 1.2, 2.2, 2.3, 3.1, 3.2, 4.1, 4.2, 5.1-5.4 | Uses efficient and effective planning, organisational and time management skills to sequence tasks, meet timelines and comply with legislative and organisational requirements Systematically gathers and analyses all relevant information and evaluates options to make decisions about trade agreements Uses a range of digital technologies to prepare, compile, share and store information |
Sectors
Sales and marketing