It is that time of year again! When our custodian, TD Ameritrade Institutional, confuses the heck out of us due to SEC regulation and mails what it calls “SLOA confirmation notices”. If you are an investment client of ours, you likely received one this week. So, what are these notices and why did you receive them? First, to define SLOA: it stands for “Standing Letter of Authorization”. In plain English, as an example, it means that you have granted us permission to, on your behalf, transfer money into your investment account(s) from a bank account(s) and/or transfer money from your investment account(s) to your bank account(s). For instance, if you contribute to your IRA on a weekly or monthly basis from your bank account, this would apply to you. Conversely, if you are taking retirement distributions from your IRA, and are having them directly deposited to your bank account, this too would apply to you. Given that nearly 100% of our clientele fits one of the above descriptions, almost everyone we service received one. Including myself! Even to me, the verbiage of the letters is confusing and leaves one to wonder if a human penned it. Please note that there is no action required on your part except to verify that the bank account information is accurate and how you want it. If not, let us know, so we can adjust it for you. I apologize for any confusion this may have caused. These notices are mandated by the Securities and Exchange Commission and are for your protection. If you have any questions, as always, please let us know. Happy (almost) Spring!
Standing Letter of Authorization Notices
