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Statement of Advice (SOA)

A document that sets out the advice given to a consumer by their licensed financial planner or adviser. It must include the basis on which the advice is given, details of the providing entity, and information on any payments or benefits the adviser or licensee will receive.

Specific Authority

The authority given by the Member to Credit Crowd Mortgage Securities by which the Member chooses to invest in a specific Sub-Fund.

SPDS

Sub-Fund Product Disclosure Statement.

SIM

Supplementary Information Memorandum.

Share

A share is part ownership of a company. Shares are also known as equities or stocks. Shareholders are entitled to dividends which represent their portion of the company’s profits.

Self-Managed Super Fund (SMSF)

A private super fund you can manage yourself. SMSFs are regulated by the Australian Taxation Office and can have one to four members. All members must be trustees to ensure they are fully involved in the decision-making of the fund.

Security

In relation to financial assets, a security is an investment such as shares or bonds which can be traded in financial markets.

Secured Loan

A loan that is backed by an asset. The lender may sell the secured asset to get its money back if you cannot repay the loan. Opposite of unsecured loan.

Risk Tolerance

The degree of uncertainty you are prepared to accept in relation to investment returns, in particular the extent to which you are prepared to experience a negative investment return while trying to achieve positive investment returns.

Risk

The possibility that your investment may fall in value or earn less than expected.