A mandate may be defined as a written or verbal agreement through which a client assigns his representative the responsibility of completing a defined task, and that links the two parties. The mandate helps specify each party’s expectations and commitments. It must be clear and properly determine the scope of work required from the representative to meet his client’s needs and expectations. The mandate is a starting point for the development of a sustainable, rewarding, and trusted relationship between the representative and his client.

The mandate can be defined when the representative outlines his client’s objectives. This step offers him the best opportunity to establish and clarify the type and scope of services that will be provided to his client and to define his role and value.

Regardless of the field in which he practices, the representative must keep his client informed of progress on the mandate received and notify the client if he cannot continue the mandate based on the terms therein. He must execute the mandate with care and diligence. This is why he must never underestimate the importance and relevance of properly defining it with his client, taking his limits and knowledge into account. A representative who is not sufficiently prepared or who does not have all the necessary means to undertake or continue a mandate must seek to acquire the necessary help.

Also, as his client’s mandatory, the representative must always act in the best interests of the client. He must also work with honesty and loyalty.

Although a written mandate is not required, except in group insurance and financial planning, putting an agreement with a client into writing is good practice

Insurance and financial planning

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Mutual funds and scholarship plans

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