Redeeming a Separately Managed Account (SMA) Model Portfolio

You'll need the SMA codes on your client's portfolio valuation in Adviser Online, or from the SMA Product Disclosure Statement (PDS) to find the SMA redemption times. 

To find a client's portfolio valuation in Adviser Online:

1. Log in to Adviser Online
2. Search for your client's account number or name via the global search bar
3. Click the Portfolio Valuation tab.

Once you have the SMA code, you can find redemption times for SMAs on Adviser Online:

1. Log in to Adviser Online
2. Select Go to Wrap Online from the top right-hand corner of the page
3. Click the dropdown bar under Quick links
4. Select Wholesale fund information. Once on this page, search the SMA code in APIR Code Selection.

If you have sufficient cash in the SMA cash account to pay a partial redemption:

If a client has insufficient cash to pay a partial redemption: 

*Number of business days
**Calendar days.

*Number of business days
**Calendar days.

Certain activities may delay redemption, these include:

• Corporate actions
• Pending SMA applications or redemptions which include managed funds being redeemed
• Managed fund pricing when distributions are being paid.

The turnaround time of the SMA is based on the underlying assets within the SMA. The turnaround time quoted is based on the asset within the SMA which takes the longest time to settle. There will be instances where the application or redemption can vary from the time quoted as:

• the turnaround times provided are indicative only
• there could be an ongoing corporate action
• in-progress trades will add additional time to the quoted timeframes
• asset pricing delays, particularly managed funds, can occur when distributions are being paid
• the rebalance of the SMA may not have generated trades for all assets, especially when partially redeeming an SMA, varying the turnaround time of the SMA.

When moving to a new adviser, your client’s SMA could be affected. Certain SMAs are only available to specific dealer groups and advisers. 

If the adviser has access to your selected SMA, there will be no changes and they’ll be able to transact as usual. 

If your client moves to an adviser who doesn’t have access to your selected SMA, the client will be unable to make any further contributions to the SMA. However, the adviser will be able to redeem the SMA on the client’s behalf.

If the client is looking to remove their adviser completely, our SMA Target Market Determination states that to invest in an SMA, an adviser is needed to transact on the client’s behalf. As such, the client will no longer be able to make any contributions to the SMA.