Corporate Information

National Bank Financial – Wealth Management is the 5th largest investment dealer in Canada.

Client referrals

Notice to Clients Referred Between NBF and Other Members of National Bank Financial Group

NBF and members of National Bank Financial Group will, from time to time, refer clients to each other. The members of National Bank Financial Group promote the referral of clients between each other in accordance with the needs of the client. A referral may arise for example where a specific member of National Bank Financial Group does not offer certain services that a client needs but another member of National Bank Financial Group does and the client is referred to that other member of National Bank Financial Group for those services. An example of a common referral is when National Bank refers a client to NBF for purposes of establishing a brokerage account.

If a client is referred to a member of National Bank Financial Group that is registered under securities legislation, such as NBF, the referred member of National Bank Financial Group is responsible to the client for the activities that require registration such as the know-your-client and suitability obligations.

Members of National Bank Financial Group participating in referral arrangements with NBF

A brief description of the members of National Bank Financial Group that NBF enters into referral arrangements with from time to time, and the general nature of the services each provides is set out below. Each of NBF and the other members of National Bank Financial Group listed below are completely separate from each other, but are all wholly owned, direct or indirect, subsidiaries of National Bank. Each member of National Bank Financial Group offers its clients a different range of services, such as discretionary portfolio management services, high networth client services, direct brokerage services and insurance services for which each hold the appropriate registrations under the applicable legislations including, if required, the applicable securities laws.

National Bank is a federally regulated bank that offers a full array of banking services, including corporate and investment banking. It is an active player on international markets and, through its subsidiaries, is involved in securities brokerage, insurance, wealth management, as well as mutual fund and retirement plan management.

National Bank Financial Ltd. and National Bank Financial Inc. are each registered as an investment dealer. National Bank Financial Ltd. is registered in all Canadian jurisdictions except New Brunswick and Quebec. National Bank Financial Inc. is registered in all Canadian jurisdictions. Each is a full service securities dealer that is a truly integrated firm, combining retail advisory and brokerage services with institutional brokerage, investment banking, corporate finance and securities clearing services for third parties.

National Bank Direct Brokerage Inc. is a registered investment dealer and offers discount securities brokerage services that includes a very extensive range of financial products and investment tools. Clients can execute their trades by phone with a representative, via a Web site, or an automated telephone system.

Private Wealth 1859, is a trademark used by NBF and other members of National Bank Financial Group and has been created for individuals and families with substantial financial assets who wish to free themselves from the burden of managing their wealth on a daily basis and understand the benefits that can be derived by entrusting this task to professionals. Its business model is designed as a complete, integrated offering.

National Bank Insurance Firm Inc. is an indirect wholly-owned subsidiary of National Bank. National Bank Insurance Firm Inc. offers a variety of insurance products and services such as life insurance, disability insurance, critical illness insurance and other insurance products for individuals and businesses.

National Bank Financial Financial Services Inc. and National Bank Financial Financial Services Ltd. (“NBFFS”) are wholly-owned subsidiaries of NBF. NBFFS offer a variety of insurance products and services such as life insurance, disability insurance, critical illness insurance and other insurance products for individuals and businesses.

Referral Fees

The referral arrangements that NBF enters into from time to time with other members of National Bank Financial Group under which NBF may refer its clients to or may receive a referral from the members of National Bank Financial Group are in exchange for the sharing of commissions. It is important to note that these referral arrangements 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 arrangements that are entered into by NBF with another member of National Bank Financial Group. However, the commissions shared by NBF with another member of National Bank Financial Group give NBF and such other member of National Bank Financial Group incentive to refer a client to each other. The commissions will vary depending on the other member of National Bank Financial Group involved and whether the client is referred to or by NBF.

The referral commissions that could be earned or paid by NBF through referral arrangements with other members of National Bank Financial Group are as follows. For information purposes only, one basis point is equivalent to 0.01% (1/100th of a percent).

1- For referrals of clients to Private Wealth 1859 from National Bank

Private Wealth 1859 pays to National Bank 30% of the total gross revenue generated by the referred account during the first year.

2- For referrals of clients to National Bank from NBF

National Bank pays to NBF 20 basis points of the amount referred, subject to a maximum of $15,000.00 for referrals made to Commercial Banking.

3- For referrals of clients to NBF from National Bank

NBF pays to National Bank 16.5 Basis Points of the amount referred annually for 5 years.

4- For referrals of clients to National Bank Insurance Firm Inc. or NBFFS from NBF

National Bank Insurance Firm Inc. or NBFFS pays to NBF, as the case may be, 50% of the total revenue received by it from the insurance company with respect to the transaction, including a renewal amount which will vary based on the product and the insurance company involved.

5- For referrals of clients to National Bank (Banking Center) from NBF

National Bank of Canada pays to NBF the following basis points based on the product and the amount involved. 

Product Loan term or amount required Commission paid to NBF
Mortgage loan Single payment depending on amount disbursed 1 year 15 basis points
2 years 20 basis points
3 years 25 basis points
4 years 30 basis points
> or = 5 years 35 basis points
Variable 35 basis points
All-In-One Single payment if the authorized limit > or = $50,000 $500
and
Annual commission based on volume used 10 basis points
Line of credit Cash surrender value loan Single payment if the authorized limit < $100,000 $100
or
Annual commission based on volume used if > $100,000 20 basis points
Personal line of credit Personal loan Single payment on the amount disbursed (maximum $1,000) 20 basis points maximum, $1,000

Other Important Information

NBF and the members of National Bank Financial Group have adopted policies and procedures to assist them in identifying and responding to any material conflicts of interest that may arise from these referral arrangements. NBF will not be involved in or aware of your specific dealings with the other member of National Bank Financial Group, other than in reference to any referral fees generated as well as any specific authorizations that you may grant the member of National Bank Financial Group in your account opening form or otherwise to enable it to continue to offer you its services.

The referral commissions NBF and the members of National Bank Financial Group are sharing may be modified from time to time in accordance with the referral arrangements NBF and the members of National Bank Financial Group may enter into with one another. In such cases, the list of referral arrangements and the information respecting the referral commissions will be updated and available for consultation on the NBF Internet site.