Our commitment to you
Our commitment, your responsibilities
We are dedicated to delivering an outstanding client experience. That's why we want to share our commitment to you and inform you of your responsibilities as a client.
- Provide you with expert assistance and support to help you to become a self-directed investor.
- Provide outstanding client service.
- Provide superior direct brokerage services by offering:
- A cutting-edge online trading platform
- Competitive pricing
- Key investment information, sophisticated tools, and support from investment agents
- A link to the National Bank transaction site for your online banking
- A cutting-edge online trading platform
- Process stock market orders according to your instructions and in a timely manner, and send confirmations for each trade you carry out.
- Send you a detailed portfolio statement each quarter and for each month that you carry out transactions.
- Act professionally and comply with applicable securities laws and regulations.
- Safeguard your personal information.
- Review your trade confirmations, portfolio statements and other correspondence and promptly report any errors or omissions.
- Review the prospectus and other relevant information to ensure you understand the products you are investing in.
- Read and understand your brokerage account agreements and keep copies for future reference. Ask any questions you may have.
- Monitor your investments and keep up to date on news impacting your portfolio by consulting relevant websites and issuer press releases, notices and other documents.
- Read any documents you receive concerning market events or restructuring affecting your investments. Check the potential tax impact on the securities in your portfolio and take any action required.
- Review the prospectus for investment funds and other securities for information on applicable fees and minimum holding periods.
- Make sure you have sufficient available funds in your account to cover any transactions.
National Bank Direct Brokerage ("NBDB") is committed to protecting your personal information. Our policies and practices comply with Canada's Personal Information Protection and Electronic Documents Act and all other applicable provincial standards and legislation.
The Client Relationship Model
For a number of years, Canadian investment authorities and organizations have been working closely together to improve and standardize the information disclosed to clients.
This has led to the development of a set of new regulations called the Client Relationship Model, or CRM. These regulations were implemented in three phases.
Phase 1 (2014) – Transparency
Regulations introduced on July 15, 2014, require that certain information must be disclosed to clients, including benchmark information and fees, as well as annual returns and commissions for debt securities.
Phase 2 (2015) – Account Statements
Amendments to Phase 2 took effect in December 2015. Minor changes were made to the definition of book value in the Important Information section of your portfolio statement to comply with regulations.
Three footnotes (marked with an asterisk) may also appear in the Asset Details section with additional information on your securities.
1. Price not available: This means that the price of a security was not available at the statement date. Once the market price becomes available, it will appear on the statement.
2. Redemption fees: This means that a security may be subject to back-end fees (e.g. investment fund with redemption fee). Depending on the length of time you hold the security, the issuer may charge you when you redeem it.
3. Book value based on market value: This means that the information we had on a security's book value was incomplete or unavailable, and so the market value was used to assess some or all of the book value, in compliance with regulations. This type of situation can occur in the event of a transfer.
Phase 3 (2016) – New Annual Reports
As of 2016, two new annual reports must be issued to clients. These reports are sent in December with the annual portfolio statement.
1. Investment Performance Report: This report provides an investor's returns (in dollars and percentages) based on contributions, withdrawals and fluctuations in market value. It allows you to check whether you're on the right track with your investments goals.
2. Fees and Compensation Report: This report sets out the amounts NBDB receives in a year from clients' direct brokerage accounts. It is divided in two:
- Amounts clients have paid to us directly
- Amounts received through a third party
More information on MRCC 2
The Foreign Account Tax Compliance Act (FATCA)
As of May 2016, clients are sent a document called Fund Facts before they purchase an investment fund for the first time. Clients are responsible for reading this document thoroughly before making a decision.
This measure was put in place by the Canadian Securities Administrators (CSA).
Why was this change made?
Further to the changes made by the CSA, the Fund Facts document is sent to the client at an earlier stage in the transaction. Rather than sending it two days after a fund is purchased, it must now be sent before the investor makes a purchase.
This change was brought about to ensure investors have adequate time to read about a security before making a purchase.
How are Fund Facts sent?
If the transaction is carried out through our transactional website, the Fund Facts will be available online in PDF format before the transaction is confirmed.
If you carry out the transaction over the phone with one of our representatives, the Fund Facts document is sent by email, fax or mail, whichever you prefer.
The CSA confirmed that Fund Facts do not need to be sent to investors who have already received the most recent version. For clients with pre-authorized debits, the Fund Facts document will be sent when they first sign up.
What you need to do
You are responsible for reading the Fund Facts for investments you are interested in so you are familiar with their main features.
You'll receive Fund Facts when you buy an investment fund for the first time and whenever the Fund Facts are updated, which is at least once a year and when major changes occur. You will not be able to purchase fund units until you receive the Fund Facts.
What is the Fund Facts document?
The Fund Facts document contains important information on the fund you would like to invest in. There is a specific Fund Facts document for each investment fund with information on the securities it includes, returns, risks and fees.
For more information, you can view an interactive Fund Facts document provided by the Canadian Securities Administrators.
You can view the CSA document detailing all amendments to disclosure regulations when you sign up.
Better trade execution
Referral agreements (incentive agreements)
National Bank Direct Brokerage and other National Bank subsidiaries occasionally refer clients to each other. These internal referrals are made when appropriate, for example if the first subsidiary does not offer all the services a client needs.
If a client is referred to a subsidiary registered under the Securities Act, such as NBDB, this subsidiary is responsible for completing compliance and supervision tasks.
The incentive referral agreements that National Bank Direct Brokerage enters into from time to time with another Member under which National Bank Direct Brokerage may refer its clients to or may receive referrals from are in exchange for the sharing of commissions. It is important to note that these referral agreements will not increase the costs or fees pertaining to the services provided to a client. Therefore, the client will not pay higher fees as a result of any referral agreements that are entered into by National Bank Direct Brokerage with another Member. However, the commissions shared by National Bank Direct Brokerage and the other Member gives National Bank Direct Brokerage and such other Member incentive to refer clients to each other. The commissions will vary depending on the other Member involved and whether the client is referred to or by National Bank Direct Brokerage.
Currently, there is no referral agreement in effect between National Bank Direct Brokerage and other members of the National Bank group. Thus, no commission is paid or paid by National Bank Direct Brokerage to other members of the group.
Other important information
National Bank Direct Brokerage and other National Bank subsidiaries have adopted policies and procedures to identify and address any potential conflict of interest arising from these agreements. NBDB is not informed of transactions you complete through other National Bank subsidiaries except as regards commission, unless you have provided prior consent.
Relationship Disclosure Information
At National Bank Direct Brokerage we offer Canadian investors a complete, accessible and reliable direct brokerage solution, allowing you to negotiate, plan and take control of your investment decisions easily. This is achieved with the support of a team of dedicated specialists, advanced technology and sophisticated tools.
NBDB offers order execution only services. This means that our clients' orders are accepted and executed without us making any recommendations. Our team does not perform any validation as to the suitability of transactions with respect to the client's financial situation, investment knowledge, investment objectives and risk profile.
Manage your own portfolio
Our direct brokerage services allow you to carry out all the activities related to the management of your own investments from developing a strategy to carrying out your transactions. At NBDB, our trading platform combines flexibility and access to a lot of information and tools. This represents a very attractive solution if you are a self-directed investor.
Simply take control!
By choosing NBDB, you make sure you benefit from one of Canada's top direct brokerage firms. Whether you are a new or experienced investor, we have everything you need to help you reach your financial goals. We offer you access to all the services you need to independently manage your accounts: unparalleled customer service, investment accounts and investment solutions adapted to different types of investors, and powerful investment tools to support you in your investment decisions.
Please read our Relationship Disclosure Information document.
This document contains all the information you need to know about your account and your relationship with us. Take the time to read it, as it contains important information for you. Should you have any questions or comments, do not hesitate to contact us. Our opening hours are from Monday to Friday, 8:00 a.m. to 6:00 p.m. ET.
List of related issuers, dealers and advisors
Securities regulations in Canada require all investment dealers to comply with rules about conflicts of interest. It is important for you to know how we identify and respond to conflicts of interest, as well as how we minimize their impact.
We consider a potential conflict of interest to be any circumstance in which our interests, or the interests of our employees, could be inconsistent with or divergent from the interests of our clients or others who use our services. We take reasonable steps to identify all existing material conflicts of interest, as well as those that are reasonably foreseeable. We then assess the level of risk associated with each conflict.
We avoid any situation that would create a serious conflict of interest or represent too high a risk for you or for the integrity of financial markets. In any other situation, we take appropriate measures to address the conflict in your best interest. Where it cannot be avoided, we will notify you of any existing or reasonably foreseeable material conflict of interest situation as they arise.
For more information on our principles related to the management of conflicts of interest, please consult our document Relationship Disclosure Information, at section Information on situations that could create or be perceived as conflicts of interest.
As indicated in the Relationship Disclosure Information document, National Bank Direct Brokerage (“NBDB”) could in particular be in conflict of interest in its dealing with issuers of securities and related dealers and advisors. NBDB being a division of National Bank Financial Inc. (“NBF”), the issuers, dealers and advisors listed below are those related to NBF.
Issuers or Securities
National Bank of Canada: National Bank of Canada is a bank incorporated under the Bank Act (Canada) and is a reporting issuer that holds indirectly 100% of the voting and equity shares of National Bank Financial Inc.
Canadian Credit Card Trust II: This trust is a trust whose administrator is National Bank of Canada and whose securities are publicly distributed. Consequently, Canadian Credit Card Trust is deemed to be a related issuer.
NBI ETFs: National Bank Investments Inc. (“NBI”), a wholly-owned subsidiary of National Bank of Canada, is the investment fund manager of the NBI ETFs. National Bank Trust Inc. is the portfolio manager of the NBI ETFs. National Bank Financial Inc. acts as designated broker and broker of the NBI ETFs.
NBI Funds: National Bank Investments Inc., a wholly-owned subsidiary of National Bank of Canada, is the investment fund manager of all NBI Funds including, without limitation, the Meritage Portfolios, as listed in the NBI Funds prospectus, dated May 12, 2023 and updated annually.
Related Dealers and Advisors
National Bank Investments Inc.
National Bank of Canada Financial Inc.
NBC Financial Markets Asia Limited - in Hong Kong
NBC Global Finance Limited - in Ireland
Natcan Trust Company
National Bank Trust Inc.
NatWealth Management (USA) Inc.
Nest Wealth Asset Management Inc.
Last update: August 2023
Prior to filing your return, please make sure that you have received all your tax slips to avoid having to submit an amended tax return. Please note that these documents reflect the transactions or the income recorded during the year and that some tax slips may not pertain to your situation. Given the Canadian tax system’s complexity, we recommend that you hire a specialist to prepare your tax return if your situation warrants it.
|Mailling Target Date
|Interest and dividends
|RL-3, T5 slips
|February 26, 2024
|Statement of trust income
|RL-16, T3 slips
|March 14, 2024
|R18, T5008 slips
|February 26, 2024
|RL-2, T4RSP slips
|February 1, 2024
|January 12, 2024
|RL-2, T4RIF slips
|February 1, 2024
|RL-1, T4A slips
|February 1, 2024
|February 1, 2024
|February 1, 2024
|January 31, 2024