Level Two - Example One (ToE) Flashcards
1
Q
What are the three steps to follow for ToE?
A
- Check professional competence
- No conflicts of interest or personal interests
- Confirm terms of engagement in writing and get written approval from the client BEFORE you start working on the instruction (CIT)
2
Q
How do you determine fees?
A
- You should consider the amount of time and resources needed and that you may have the appropriate expertise.
- Fees should be market based and agreed on an ad-hoc basis with clients
- Should avoid price-fixing, aggressive fee cutting or collusion with competitors
- Never be seen to undercut another firm
3
Q
What is included in Terms of Engagement?
A
- Fee basis, payment of expenses and complaints handling procedure.
