Understanding Account Income Redirection

Account Income Redirection (AIR) gives you the option to elect to automatically redirect income from your client’s Investment Wrap cash account to their nominated bank account. For more information, please read Set up or remove a nominated account.

AIR occurs daily. When your client receives income into their Wrap cash account, it will be redirected overnight to their nominated bank account and will be received within one to two business days (depending on the receiving bank). 

AIR is a set-and-forget efficiency tool for your investment clients who have a need for regular income for day-to-day transactions. It allows them to access their income quicker without having to wait for a manual funds transfer.

AIR is available for the following Macquarie Wrap products:

• Investment Manager
• Investment Consolidator I
• Investment Manager II
• Investment Consolidator II – Engage and Elevate

You can’t apply AIR for clients with Investment Accumulator accounts.

Investments that can have their income automatically redirected are:

• Managed investments
• ASX-listed securities
• International listed securities
• Separately Managed Accounts 
• Domestic Fixed income 
• Interest from the Investment Wrap cash account. 

Term Deposits can’t have income automatically redirected, as this may impact a successful rollover election into a new Term Deposit with the same provider and term upon maturity. 

AIR status is available in Adviser Online in ‘Account Details’ under the ‘Account Summary’ section.

In order to use AIR, your client must have an account nominated. To set up AIR:

1. Log in to Adviser Online
2. Under the Clients tab in the side navigation, select Accounts
3. Enter the investment account number you want to set up Account Income Redirection for
4. Once you’ve confirmed the account, select Account Details
5. Under the Account Summary section, select Update to proceed with setting up Account income Redirection.

Once you’ve read and acknowledged the declaration, any future income your client receives will generally be automatically redirected to the selected nominated account overnight.

If you’re turning on AIR, you’ll be asked to verify the changes using the Macquarie Authenticator app. If AIR is already set up and you’re turning it off, we won’t ask you to verify this change.

Transactions will follow this convention: 

• Investment Wrap cash account narration: Redirection - <original income narrative> 
• External nominated bank account narration: IR <security code><Wrap account number> 

For each income transaction deposited into your Wrap cash account, you’ll see an equal amount debited overnight with "Redirection" at the beginning of the narration for the matching amount in the Debit column. The receiving account (i.e. the nominated bank account) will have the same amount with "IR" at the beginning of the narration for the matching amount.

The AIR history will be tracked via Request Centre and changes to the instructions are recorded against the Request type 'Account income redirection update'.

As part of our commitment to ensure the security of our clients, we’ll be asking you to verify AIR changes via the Macquarie Authenticator app. We created Macquarie Authenticator as an enhanced verification system that's more secure than SMS.

To continue to use Adviser Online, you’ll need to download and register the Macquarie Authenticator app. Linking your device means you’ll automatically receive actionable push notifications to log in and trust your browser and verify certain transactions or account changes in Adviser Online.

AIR may not be working because:

• there are insufficient funds in your client’s Investment Wrap account
• your client’s nominated bank account may be closed
• your client changed the bank account that was linked to their Wrap account and didn’t notify either yourself or us of the changes.

If the nominated account has been closed or changed without us being notified, AIR instructions will remain as instructed and income will be retained within the Wrap account.

However, an alert is raised and will appear on the Alerts page within Wrap Online. The system will only attempt to transfer the income once. If you wish to transfer the income after an error has occurred, the funds will need to be transferred manually. If you don’t fix the error, the next time income enters the wrap account, the error will happen again.

Full Transact level of authority is required to update your client’s account income redirection election. To change your level of authority, you can follow these steps.

No. The election is at the account level. You’re unable to select which investments have their income redirected as the election is at the account level.

AIR does not consider the minimum cash balance in the Wrap cash account, so you’ll need to make sure the cash balance in your client’s account is in line with product requirements. To check your client’s available cash in Adviser Online, hover over Clients, click Accounts, search your client’s account and click on the Portfolio Valuation tab.

AIR is independent of the current SMA income election functionality. SMA income election works to redirect income from within your client’s SMA model to the main Wrap cash account. By setting up AIR, you’ll be able to direct all income (including SMA income that has been redirected to the Wrap cash account) from the Wrap cash account to their nominated bank account.