[Music] Good morning and welcome to our innate webinar. My name is Arifa Isup and with me is Michael Summitton, customer experience officer for the Stanley Blissp as well as the innate invest platform. Welcome Mike. Thank you so much for being here today to talk about a very interesting topic elevate. Thank you Arifa. It's so great to be here and also thank you to everyone online who's who's joined us today. All of our most important adviserss. It's a very unique and um exciting group of people to have online. So, thank you so much. Excellent. Mike, tell me a little bit more about this title. Well, I suppose I made it up myself, but it's really just to bring together a number of different areas within the business uh that that fall into my portfolio. We have the proposition team who lead a lot of the change that we introduce uh at the investment platform. Uh we also have uh Chris Craneer's team's uh own service and operations both for the lisp uh and inate who who report into me. Uh and then we have the the lovely colors of of innate behind us the marketing team uh sit within my portfolio as well. So um we did that last year at the beginning of last year to bring everything together so that when we uh come to 2025 for for quite a big year of change for us as a business uh that we could control things and be as deliberate as possible about all of our um all of our changes we introduced to the business. Great stuff. Mike, I know that this is the first time that we are speaking to our audience about Elevate and I would really like to start at the beginning. Traditionally the way we know investments it has evol evolved dramatically. Uh we've seen a lot of um flows go into the platform space there's the there has been the introduction of uh new products like your discretionary fund management your personal share portfolios and technology has actually guided a lot of what we do. Unpack that for me a little bit please. Absolutely. So reifer in the last 20 years in financial services and in particular in wealth management we've seen a sea change happen with the introduction of the phase legislation and uh and the cat 3 license or lisps as they are traditionally known and lisps have really grown up in many respects and become what we now call platforms or investment platforms and today you see almost uh almost two and a half trillion rand worth of retail client monies are sitting on a platform of some description in South Africa that much and and that has happened in in 20 years. So it's been it's it's been a a very um exponential change and advisers have responded responded to that. So they've seen this change, they've grown with it and uh at the same time platform providers have had to respond as well. And so we've got two main cyclical uh uh changes happening in the industry. The one is for any business you have to go through some level of technology refresh over time. But further to that with this industry change with assets migrating to platform there's this much more increased demand on platform providers to respond to market change to uh ensure that clients have a good experience going forward and that they host those advisor experiences. um whether it's compliance or documentation or statements that that's all done in a sort of future fit and ready way. So how does innate address these changes? Uh well so several years ago um the the group decided to invest in a in a new platform and there were there were two strategies that we undertook. The one was that Stanib asset management was going to go on a specialization journey and focus solely on becoming the best asset manager in the country. Similarly, the uh standard lisp platform and and now we're going to talk about the innate investment platform was going to go on a journey of specialization to focus on the administration of client investments and delivering great service for advisers and their clients. So this journey of specialization is really driving that that change in our business. Okay Mike then then tell me how does innate fit into the larger group of stunner bank and liberty? Yeah. Uh so when I joined the business, we didn't have a brand called Innate and um and we we came up with this this concept of a uh an independent-minded investment platform business that can go fit handinhand with advisers and the way that they do business. And so we came up with this concept of innate. Inate is actually a registered trademark of standup wealth. So standard of wealth is our lisp entity that we have the cat 3 license on and that we use to administer all the client investments and uh innate is uh effectively owned by standard wealth which is owned by liberty which is part of the broader standard bank group. Sounds like an incestuous relationship. Okay. It's nice to have big brother for sure. Definitely. And are you able to give us a brief overview of what elevate is all about? what are we trying to achieve with Elevate? Yes. Uh so so just going back to the market a little bit, the uh other platform providers have potentially embarked on this on this journey of of replplatforming and uh we are with innate have been in the market for a couple years now. We we've got uh several billion rands worth of assets on the platform already and that proposition is live and many advisers are using it today and that is the cornerstone for our retail investments platform business um for the next 30 years. Now uh our legacy business which is the standard lisp is sitting on dated technology and so the the strategy all along has been to uh move those client the administration of those client assets off of the old tech stack and into the new technology stack. And so that's really where we came up with this concept of elevate. So we're going to uh make a few changes to client investment uh administration over the next 12 months. So so the first one is and we've spoken about the brand. So standard lisp as a brand is going to sort of fade away and the innate brand will be the brand of our specialist investment platform. We've also called this uh program elevate because actually it's not a technical migration. Often people hear the word migration and they get a bit uneasy. There's no changes in product terms and conditions. We're not changing legal entities. So there's all these sort of things that have we've done in the design of the future platform to make it ready to accept all the client investments that are currently on the standard list. So for example, the pricing is not changing. Uh in fact, you probably have more opportunity at innate to aggregate your um your affairs and get a lower fee, but but for all clients uh no there's no price changes. All the product benefits and features are the same. uh for example the classic retirement funds that we use at Stanlib um are the same classic retirement funds on innate so that structure is exactly the same so so for all intents and purposes there there's a brand change uh there's a there's a movement from one bulk account to the other in terms of the units that we hold on behalf of clients but that's all within Stanlib wealth uh the lisp entity and so in a sense this is not really a migration and so we've called it elevate or the elevate program which is what we're going to follow over the next several months to move client investment administration uh from the standard lisp uh into the new platform of innate. So what I'm hearing you say is that essentially there isn't a change. We're changing our brand to innate investment platform and the move should be as seamless as possible for our clients with as limited impact to our clients and our advisers 100%. So, for example, uh, and I'm sure there's going to be lots of questions, but, um, we we'll dig into some of the detail later, but we're not going to need any clients to sign any pieces of paper and send them back to us. So, we've tried to architect this this client journey to be as simple as possible. How are we going to do that? Why why do we not need any paperwork? So, clients are already existing um clients of the standard bliss. they already have a CAT3 mandate uh w with us. It's the same license, so we're not changing any licenses and we're effectively just moving um the data from one old database into a new database and that's through the program of Elevate. And perhaps it's worth just touching on uh some of the preparation that goes into um a change of this magnitude. And uh what we're looking at in terms of dates is uh September later this year. Um, this is the first engagement uh with our audience, but essentially you're going to have a series of communications over the next few months. There's going to be uh lots of nice uh glossy looking marketing collateral with frequently asked questions. Uh all of our call center people have been trained up to answer any of your questions that you may have around Elevate. And so the business is really gearing up to make sure that this is as seamless as possible and we get clients over the line um in September. and and more importantly remove uh any sort of administration burden from the advisor's office. So are we expecting advisers to do anything um for Elevate? I know it's coming in September. We're starting quite early. It's April. What are advisers expected to do at that time? So really, I mean, I'm I'm hoping that every adviser can just sit back and do nothing. Um, but it's also important that advisers understand what we're doing that they are able to uh respond to their client queries and I'm sure they as part of their normal engagements with their clients will introduce the topic and and answer any questions that clients clients may have. But importantly, we're not asking them to go and collect pieces of paper. Let's just talk a bit about the preparation for a change of this magnitude. Yes, please. So, we have had a team working on this for uh three years now. Um there there's a whole technical team that is uh resourced uh in a test environment and for example over the last 6 months we have run a a a dry run or dress rehearsal where we actually have um people taking a cut of actual customer data in a test environment moving it through all the various checks and balances and landing it in a test environment of innate and uh for example the last one we balanced I think it was one and a half billion units worth of clients assets into inate in the test environment and we were out by.5 of a unit. So it's a very precise and accurate um process that we that we've been practicing all along and uh and and um following a very rigorous um and sort of compliance uh governed process and that's very impressive to be out by that small amount. That's really impressive for a business as large as ours. Yeah. Uh so that's well done. Well done to the team and all the the the things that happened behind the scenes to get to that point. So that's specifically in preparation for a change that we're doing for a smaller internal audience. So there's about 4,000 clients uh who currently engage with Liberty and they're actually moving in May and they're our first tranch of clients who uh have been communicated to over the past six months. They've been receiving comms, they've been receiving FAQs and we're going live with them in May. And so actually the September tranch which we're talking about today uh is is what the IFA audience um is all about. And so that's why we're kicking off these conversations now to start to take advisers along that journey with us uh in preparation for September. So you said tranch one in May, September, tranch 2 for independent financial advisors. How many tranches are there Mike? Um we're looking to have three trances in in total. Uh and so that's why the advisers online today were sort of handpicked by our sales team to uh make sure that we give you a hightouch service for tranch 2. Uh at Stan we have uh many relationships in in the in the IFA market and tranch 3 will really be effectively a mopup of um both internal and external monies. Uh and that will likely be in Q1 of 2026. Okay. Um, Mike, what about my DFM? Can my discretionary fund manager transfer assets as seamlessly as possible? Is the system able to handle a transfer of that magnitude? Uh, 100%. So, uh, as part of our platform development journey, we are substantially at the end of that. So uh with the uh roll out of the two-part changes towards the end of last year uh we also delivered what we call multiple models. So you can now uh on inate today an adviser can manage a loose asset alongside a model portfolio uh or multiple uh model portfolios within that same single client account. And that was the last sort of really major piece of technology uh change that we introduced to the environment. And so our sort of replplatforming journey has substantially stopped. Obviously there's always uh incremental improvements like enhanced reporting and I know the instructions tracker has come a long way and a lot of our error reporting etc. All of that's going to be continue to uh to be enhanced but by and large we are ready to accept uh and you asked about model portfolios. Uh so um if you're using a DFM today, those models will be available on the innate platform um prior to September and we will move those client units out of their standard lisp version of their model portfolio and land them safely um in inate um in the same model portfolio that they were they were in before. So it's safe to say that the funds I have available as well as DFMs that I have available on Stanlib will be available on inate. There isn't any change there. What about product? Are all products available on inate? Uh 100% they are. So uh let's just list them. The the the living annuity product is the is the same one as at Stanlib. The retirement annuity um preservation funds. Uh there's two new products at inate the endowment and syncing fund which we don't currently host at Standard Lisp. Um and then there's the investment account and the taxfree savings account. So all of those same products and features that you have today at the lisp uh we will will move client across effectively in the same product same product licenses. So uh for example in the living annuity uh liberty group limited is our underwriter they are the underwriter on uh on on the inate side as well. Are there any products that will be excluded from tranch 2? Uh for example the liberty uh living annuity is hosted or administered by the standard bliss. Is that something that will move over? Uh there are some exceptions on legacy products. Many of them are closed. Um but there's something called uh the chartered life annuity for example. Uh we're going to make some alternative plans for those clients. Uh but in in the case of the libert liberty living annuity or the bold component of it um that won't be moving in tranch 2. Uh but we we do have plans in place for that for Q1 next year. Okay. So Mike, I heard you speak about um taxfree savings and traditionally we've not been able to accept transfers in for taxfree savings. Uh what I'm really concerned about is and well not a concern. What I'd like to ask you is that we know that on the tax-free savings the fee on Stanlib is a flat 2%. Will I enjoy the same fee on inate for taxfree savings? Okay. So, you've covered two topics there. One is uh taxfree savings account. Uh we're busy building the ability to accept transfers in on an individual basis from external providers. That'll be available um um Q4 this year. Um by and large, I guess the um the frustration has been that we can't currently move the standal version of your tax revenue account to inate and we're hoping to solve that problem by doing it as part of the elevate process. So those taxfree savings accounts are in scope. So if if advisers been waiting for their clients just to bring their tiffs across, we can do that as part of the elevate process. So hopefully that takes some of the angst out the system. Um but for external transfers in obviously we want you to aggregate all your assets onto inate uh we'll be able to do taxfree savings account transfers from Q4 this year individual ones. Yeah. Okay. So I want and then let's go back to the pricing. Uh so the the current pricing for the tiffs at standard blissp is a flat 02% and that's been like that since they launched it many years ago. Uh we've applied the same principle that we are going to apply to all other clients who might have been granted a discounted platform fee back in the day. So, in 2018, and I'm sure you remember some of this pain, we went through a platform repric where we regularized everyone's um platform fees where we repriced some clients um and then some clients we just left on the old discounted fees. Um those are no longer available just in case anyone was wondering. Um but what we will do is we've honored those uh discounted fees uh from the legacy book and we will continue to honor those uh once you once you move clients to inate. And so what that means is if you're on a.19 fee at standard lisp and we move you across t8 we will make sure that.19 goes with you um to the new world but there's a few caveats. Yes. So, so the one is uh that account won't count towards any of your aggregation that we we offer lots more aggregation opportunity at inate and advisers can do those calculations themselves or we can help them with it to assess what's better for client and so you have the opportunity to move to the prevailing platform fee if that's better for client or you can stay for that account on the old fee but once you move to the prevailing platform fee there's no going back so it's a one-way door um for customers But that gives them the choice and the best of both worlds essentially. Mike, I want to talk about aggregation because it is a brilliant tool for advisers but I don't think that our advisers understand the benefit as much and we offer two different types of aggregation which is individual aggregation or pricing and family pricing. Please touch on the the the nuances for both of those. So um there's two types of automatic aggregation. The one is if you use our offshore platforms, we include your offshore assets as part of your local fee calculation. And then you write on an ID level each uh client at innate, we we add up all of their accounts on their ID um uh and and calculate their admin fee based on that. So so that's done automatically as part of um our our monthly fee acrals. When it comes to family pricing, uh we have a process in place whereby advisor can look at their at their book. They can look at sometimes advisers say to me, well, we actually look at this family. There's a there's a spouse and some kids um they may have a family trust and can't we, you know, pull all these entities together into one family. And our answer is absolutely, you should be able to. And there's some principles and rules around what you can and can't include. But essentially that family pricing um is very beneficial for for many clients. Um and also moving from standard bliss to innate that family pricing um feature is only available on on inate. So essentially if our clients move over from in from Stanley Blissp and they've enjoyed a price pause or discounted fee technically they could actually be cheaper on inate with the family aggregation or the family pricing as well as the individual pricing and taking into account their offshore assets. Correct. So we won't be making those changes as part of the elevate process but once clients land in the innate world then you can do an analysis to say well what's more beneficial for them. So we want to make it as um appealing as possible for clients to bring all their um external group assets you know from all of our competitive platforms um aggregate them onto inate. Mike there's a misconception out there that the innate pricing is more expensive than the standard lisp. No it's not. So the um in 2018 when we set the pricing up for standard blissp uh we we made sure we did that whole exercise so that when it came to this year when we move clients that they are effectively on exactly the same pricing regime at standard blissp and inate the only difference on inate is you have more opportunity for aggregation. Okay so we're not more expensive on inate at all and we're not more expensive than the rest of the market either. we are um I think you get what you pay for and and I think the principle is that clients should benefit the the more assets that they have they should be give be given the opportunity to earn a lower effective fee rate. Um so I think that's that's important. So there should be some incentive for clients to aggregate as many assets as possible onto the net investment platform. So basically the more assets you have the lower the fee is and you have the opportunity of aggregating that across your family so that you can enjoy a lower fee essentially. Absolutely. Great stuff. Mike tell me about the client experience. I want to know what is expected from the client. So currently on inate the client has to accept terms and conditions when they come onto our platform. It's a very straightforward process and very painfree. All client does is literally click on a link and activate their account, create a password and log in for the the website and they're able to view their client's um statements or or I mean they're able to see their own statements. They're able to pull out any uh tax certificates if they wanted. They could update their FICA status and uh by uploading their ID to the system. So the whilst they have limited uh transactions so they're not allowed to transact that happens with the financial advisor. What is expected from the client perspective? Are they supposed to log into the system? Are they supposed to create a profile? Are they supposed to accept terms and conditions? Yeah. Okay. So so let's um let's start at the beginning of the process. there there is a fair amount of work that our ops teams are going through which is around cleaning of data. So sometimes uh that just involves them comparing different databases within our business to make sure that clients details are the most upto-date. Sometimes there's invalid email addresses and we may reach out uh to advisor to to confirm those. But in between now and September we're going to be um cleaning up some of the data. um our data is pretty clean because we've had quite a focus on it over the last few years, but there's always that exception. You know, clients change email addresses, etc. So, so there's a data remediation effort that's that's going to be happening. And um but in terms of client effort when it comes to uh the actual migration weekend uh in September this later this year the effort from the client is really uh one hopefully they've read our emails and FAQs that are going to be coming out over the next few months and so that they feel prepared for for this change um but two adopting a digital way of doing business and more importantly giving clients a primary place where they go to find all of their important documents. So remember at inate we don't send uh PDFs attached to emails. Doesn't matter if they're password protected or not. We don't send personal information around on email. What we do is we ask clients to log into the secure portal. And so for some clients this might be a change but effectively the the effort we're asking from clients after the migration week after the elevate weekend happens is for them to uh create their username off the back of a welcome email from us and log into their account. So they don't need to do that because as soon as we complete the elevate process advisers will have access to all their customer details uh regardless of whether they create a username or not. But really from a communication perspective, we'd really like clients to start to adopt digital and to know where their quarterly statements will be stored, to know where to go to look for their their tax certificates, and if they really get lost, they they can certainly phone us. Um, but but that's all we're asking from clients um post elevate is uh create your username and password and just log in and see your account. Okay. Mike, uh, will clients go through more than, uh, or through the elevate process more than once? Uh, assume a client has four investments and one of it is not supported by inate. What will they go through the process more than once? Yeah. So, so by and large mo most clients don't uh uh don't have any sort of excluded products. So, so for the most part, we try to move clients and uh in one in one tranch. So, um if you're if you've got a living UT and RA and a tax free savings account, we'll move you in tranch to um if your advisor is in scope for that tranch. And the principle is let's not make clients swivel chair between uh standard bliss and inate. So, that's that's the principle that we're approaching. There might be the occasional exception with clients who have maybe an old closed product and we have to make um a plan for them. Uh but certainly that that's the principle. Uh we unfortunately we can't do this for advisor. So advisers are currently swearing. So what I'm trying to do is encourage advisers to um try get as many of their clients because remember it's going to come down to data remediation. So let's try to get as many of your clients in scope for tranch 2 as possible and we basically do almost your whole book in in one in one sweep. Will advisors need to Okay, let me just think about how I want to or want to this. Yes. Um will will the history of existing investments on the Stanler Blissp be available on inate? Do advisers need to go from one system to another system to essentially get history? So for this tax year, there will be advisers will continue to have access to the standard lisp um until such time as it's decommissioned. And that will happen once all clients have have been removed from from lisp. And so that's probably back end of 2026. Um until that time, you will have access to tax certificates, statements, etc. and historical transaction histories. Uh at inate you're effectively building a new transaction history. So it's going to look like a transfer. So we're not moving every transactional line item from the list because some of them go back 15 20 years. We're not moving all that transactional history um into into the innate world. What we will do is part of there's there's rules and compliance and governance around all this is that we move that information to a special archive and as the access is required to that um we will give access to that on a on a request basis um and to our internal people to satisfy any advisor or client request. Um the one pain point that uh we've already come up with a solution for is really around your performance track record. So, it's important to us that if you've been with a lisp for for 10 years, we want to be able to make sure you you carry with you your internal rate of return um and and your market value movements. And so as part of uh elevate advisers will be able to uh uh request and um and have produced for them uh we call it an investment performance report which is just a one pager uh with a market value change of that account over time but more importantly your internal rates of return over various periods where we're effectively joining up the uh the the lisp um in transaction record with that of innate. And so whether you're looking at a month on an eight or 10 years plus a month um that that will look quite seamless for for advisor. So you'll still have access to it until uh such time that the lisp is entirely decommissioned and then we'll keep those records in an archive and if you need to request it, you can request it to us. Will clients be out of the market while we're elevating? Let's say we choose the week of September 24th, that long weekend. Uh so there's a few things that will uh happen in the weeks uh and days leading up to when we process this transfer of data and units um from standard to inate. Um the one thing is we're going to ask advisers to bring forward any sort of withdrawals or switches uh or changes to those accounts uh to be done sort of well in advance of of the September cutoff. In the seven days leading up to the mig uh the elevate weekend in September, we're going to ask advisers not to switch or make any static detail changes or process any withdrawals because we'd really like that stat that that data to be as um as static as possible. Uh clients won't be effectively out the market because it's just a unit balance that we're moving. We're not redeeming. We're not withdrawing any investments. It's a unit balance move from one bulk account in the name of Stanlab wealth nominees um to another bulk account coordinate. Yes. Uh but same legal entity and so um and that work actually happens at the at the fund manager. So we'll send an instruction those units will be changed from one bulk account to another at each of the underlying fund managers. Um but clients remain in the market. they remain in those units that they're invested in and their asset allocation remains exactly the same and effectively on the on the Monday or Tuesday as soon as we activate those accounts advisers are able to transact and withdraw and switch and do whatever they need to do. Um so it's really that that one week uh of leading up to the elevated weekend is where we're just going to ask for sort of a lockdown around data. So a freeze period if you like. And Mike, is there a CGT impact, a capital gains tax impact for this transfer or elevation? No, there's no there's no CGT impact in terms of the unit move from one bulk account to another and clients um or or let me let me rather ask it it this way. uh will we be supporting advisers and giving them a list of clients that are impacted or that we feel would benefit from well all clients are going to benefit from elevator essentially but how are we uh communicating that information to advisers do we sit with them and collaborate and so let's talk a bit about our communication strategy uh really this is the first uh kickoff uh session where we're talking about sort of high level principles and really what's going to be happening happening. Um we we've actually sent people to the UK to similar companies who have done large migrations like this and learned from them and one of the things that they say is you got to talk to clients and you got to talk to them at least three times and so there will be three s or three different communications and each communication is uh email to advisor, email to client and links to frequently asked questions and it's generally done three months before, two months before and one month before. And so in that way we're we're introducing the concepts. We're talking a bit about innate and then we're giving all the details around what's going to be happening during that elevate weekend. The frequently asked questions is a document that will be very useful for advisers to work through and if they've got any questions obviously come back to us and ask them. um that engagement strategy and and what we've noticed with the internal trunch that's going to be happening in May is that there's a lot of engagement up front and then as the second email goes and the third email goes it's like dies down the noise dies down and so it's really important that we give advisers and clients time to sort of digest the changes assess what's going to happen um almost all the advisers on the call today um are currently using inate or we really hope they will use inate in the future And so if you haven't processed a transaction or two or have one or two clients, then I think my recommendation is is go and ask your specialist investment consultant um go for the demos, do the onboarding so that by the time September rolls around, you feel very comfortable with the system. Um but but our communication strategy is is absolutely readying the advisor for this change, making sure all of their questions are answered and then that three-step communication. So, communication one, communication two, communication three, and all of this is going to start to kick off um from the back end of July. Okay. So, we're going to let advisers know about the comm communication before we obviously communicate to their clients. Correct. We're also going to give them um a secure way to access their list of clients that are in scope for for September's tranch. And so that'll be delivered via a secure portal in an Excel sheet that's protected with with a password so that they can see exactly who those clients are that will be in scope for uh for Elevate. Okay. I want to go back to something you said earlier on about advisers that have not yet used inate and you said you're encouraging them to get on to innate as soon as possible. What if that doesn't happen for whatever reason? Then what do their clients not go? Uh so there's a I guess a qualifying condition that if you have not yet activated your advisor account for September then we don't want to just sort of issue with a username and password and move your clients. I think that's um that's that's a bit rough. So we're trying to keep tranch 2 as a really hightouch um lots of communication um making sure advisor are as prepared as possible. Um but if you have not yet activated your advisor account and gone into see and been through the onboarding journey uh then we're going to move you to trunch 3 which will happen in Q1. And so um the to give you a sense of the numbers we probably have a thousand advisers in scope for tranch 2 in September and uh for tranch 3 in Q1 next year there's probably upwards of three and a half 4,000 advisers in scope for that. And so that's it's a substantially bigger tranch and and so tranch 2 is the one to be in. Okay. So you ideally the advisers on this call should preferably try and get all of their clients over the line in tranch 2 because it's going to be a hightouch um tranch. Absolutely. Tell me about personal share portfolios not currently offered on the inate platform in scope for tranch 2. uh share portfolios are not in scope for TR 2 and they will uh remain behind for now and we we will be making an alternate plan to make sure that advisers that make use of PSPs can continue to transact on those products uh as well as um add new business next year. So that's that's sort of a parallel plan um happening alongside Elevate. Michael, there come a time when we say stop no new business on Standib. We're we're not accepting any more new cases or new clients for that matter. You probably can add to existing CL uh client investments, but we're not taking on any new business on this. Look, we I mean we don't want to make our problem our problem our our challenge worse. And so uh let me use uh this current tunch that's going live in May as an example which is an internal tunch. uh those advisers we've asked them uh effectively from the end of this month to not put on any new clients um at at Standard Blisp they can certainly top up and switch and and withdraw etc on uh clients of theirs that perhaps aren't in scope for tranch one um but going forward all of their new business will be placed on inate and so we will follow the same approach for for tranch 2 um that a month before that tranch we'll ask advisor um please no longer add new clients to uh to the standard lisp and consider for each new client that you add to load them on inate. Okay. And so from a data remediation perspective and you touched on it a little bit. Um does it make sense for advisers to go through their current book and see if we have an incorrect email address as an example? uh we have noticed and and again it's been very instructive uh being able to do this internal tranch leading up to May u we've learned several lessons for example clients don't update their email addresses and so as part of the communications process we've been getting all those bounced emails and gone and followed up with advisor and or client to to make sure that uh we have the right details on record it's really the important ones that that make the most difference so cell phone number address etc Um, and that's going to make sure that the clients have the sort of smoothest journey possible into innate. Okay. And if an adviser wanted to start the elevate process before elevation comes in September, could he could he not? So, so we're not currently doing bulk book transfers. Uh, I guess our 2025 answer to book transfers is is the elevate process. Um but we can process individual and we have been processing individual transfers from standard blissp into inate on a client byclient basis as advisers have those annual reviews with them uh and and feel that inate the right solution for them that we process a transfer and it's a it's the same uh sort of unit transfer that you would do uh to transfer between platforms. Okay, Mike. Currently on Stanlib, we we make a living annuity payment on the 20th or the the process starts on the 20th. On inate the process starts on the 25th. Okay. How are we accommodating for that in for elevate? Uh so funny funnily enough uh when we built inate we actually made our living annuity payment date the same as standard lisp and then standard bliss have sort of steadily made theirs a bit earlier and earlier. So um we will be aligning w with the lisp over the next couple of months. So by the time September comes around uh inate will pay on uh their living in UT uh on the same date uh possibly earlier depending on public holidays um as standard bliss. So at the moment, Standard Bliss begin their process around about the 20th. Usually those payments are made on the 22nd or 23rd and adi and clients see their money on the 24th. If there's a public holiday on the Friday, sometimes there's a bit of angst and the money only arrives um on the Monday or Tuesday. Uh certainly in the inate world, the system factors in those public holidays and so we typically pay uh in advance of those holidays at inate. Um but certainly from a principal perspective by September we will be paying the living annuities uh on or before the same date that the lisp currently pays on. So there won't be any change for for clients. Okay. So nothing to worry about from that perspective. 100%. Okay. Tell me a little bit about the reporting on inate and how that differs to what standup offers. Uh are we talking about client reporting or advisor reporting essentially? Uh so we're well aware that our book reports on inate could do with us some work and there's some uh work in the next month or two to deliver and make those sort of uh CSV and Excel files a little bit more pleasing to the eye and um and more familiar so advisers will be familiar with a a format that the lisp uses and we're going to make those look a lot a lot nicer. Um but certainly going forward our our data feed uh uh capabilities uh are the same or better than than standard bliss. And so if you make use of a third party data aggregator uh we can turn on those data feeds for you um on request and um and sort of deposit that client information securely wherever your third party aggregator makes use of them. Um and then I think from a uh digital readiness perspective uh I think where data is going uh with the introduction of artificial intelligence um as our chat to advisers everyone's got a different flavor of how they want to do things and so I think where we're going to move to as a platform and certainly where we've invested from a data perspective is on a data capability that advisers can increasingly start to sort of customize for themselves and we can only do that on inate. We're not able to do that at the lisp. The lisp data is quite static in a database somewhere and um it's not easily accessible and so you end up at the lisp with sort of pre-formatted static reports whereas at inate you're going to increasingly going to have access to um your customer data so that you can do with it what you need to. I want to talk about a very um interesting topic. We haven't touched on this at all from a servicing perspective. Okay. Currently, uh we have what we call key account managers on the inate side. Um advisers on this call are supported by a specialist investment consultant as well as an account manager and then they have a dedicated key account manager. What happens on the innate side? Does that continue for these clients that come over from standup? Correct. So, so that service model, whoever you're talking to today, you will continue talking to the the same effectively the same team members. In some places, there will be new faces on the innate side. Um, but but by and large, you should still have that same familiar touch point in terms of the relationship management uh with the investment platform business. uh you know we've certainly invested in our um service capabilities and so it's not just the people who answer your emails and the phones it's also on the uh incident management at the back of that. So if something goes wrong in the innate world we have a whole team of people who analyze the incident they respond quickly and then you get feedback back and and your you know where necessary your clients are are are corrected etc. And we get lots of feedback internally and detail around things that are going wrong or right. And then that gets fed back into um the innate service world. And so that's I guess in in addition to your key account manager, you have the sort of incident management team at the back as well. Will I retain the same investment number as I have on standup? How will I differentiate? Uh so clients will get a new uh account number as they elevate to an eight. Uh but we will bring across that reference that standard lisp uh account number reference so that it's easily visible um on certain documents where advisers need to map back to uh historical documents from the lisp. So I know that's going to be very important as you s trying to cover two tax years etc. We we'll make sure that that reference is available for you. But you do have a new account number in the inate world. Okay. And is it worthwhile for an adviser to pull out a book report on Stanlib already before that goes over? So he's got a uh well he's keeping a record of what those investments are or it will be clear clearly visible on the inate website for him. Um certainly we can pull a book report today. I think as we move through the process, there are going to be any number of very detailed questions that advisers um may have and that might be from their inscope client list that'll be communicated to them in a couple months time. Um it might be uh who do I phone? You know, there's all these sort of questions that are going to come up and that's all contained in the frequently asked questions document. In addition to that, our um key account managers have been trained around the elevate process. uh like I said this internal trance that's happening in May has been very useful because we've been able to upskill all the people who will be answering these questions making sure advisers get relevant up-to-date and correct information um first time round and so that's that's all going to feed into and support the elevate process uh through to September so this is not one and done this is just the first engagement um but that FAQ document is very valuable and um and any additional engagements that you see come up um Please feel free to join them, ask your questions. Um the specialist investment consultants will also be a point of call for their adviser. They're the primary relationship management person. And so so that's um this whole service model works together to support the adviser. Will we give advisers the chance to uh see the communication that we're sending out to our clients? Will we give them an actual email that says uh this is your client communication that's going out? 100%. So the principle is advisers always get something that we're going to send to their clients in future first. So there's an advisor com then it's an advisor uh receives the client comm and then only a day or two later the clients actually receive their comm. So very important that advisers get to sort of own and feel empowered with that communication journey. Okay. I'd like to remind the audience to please post questions in the uh Q&A. so that we can get to those shortly. Mike, let's just say bottom line now. Why bother? Why do I need to do this? I think that it is important for advisers to constantly ask are they being as efficient as possible? And from an innate perspective, from an investment platform, we we want to work with advisers and work in the way that they do business. So that's that's where the whole concept of the innate platform came from is work handinand glove, be advisor inspired. And so um maybe we don't always get it right, but but certainly advisers stay at the center of our universe. By moving off a legacy technology stack, we are way more able to respond to market changes. There's always going to be regulatory impacts. And by moving digital, by having our data more accessible, by moving clients to this new platform, by moving advisers to this new platform, we can continue to enhance their experiences in a digital manner. You also unlock a whole lot of future capabilities. So for example, we have a surveillance tool on the inate website which we can look at from the back end and we can see where pages are loading slowly, reports aren't being generated, advisor are maybe um finding an error message and all of that data is accessible by internal teams. We we were we weren't able to do that at Standard Blissp. And so by moving to digital you you create all these future opportunities um to get operational efficiencies. I know there's going to be another um platform price war at some point, we need to be able to respond to that and respond to it profitably. And so th this change while 2025 might be a a bump in the road for some advisers because it means a little bit of awkward change and adopting a different way of working. Uh what we have seen certainly with advisers who fully adopted inate platform is they went from two hours of work to 20 minutes of work. uh in terms of the administration of investments and looking after their client affairs and so I think if you if you see it from an advisor's perspective and say well how can I do less of the low value activity and more of the client value activity then then that is the incentive to move to inate and sort of adopt this new digital way of doing things that makes sense Mike we haven't spoken about this at all so I really want to touch on this because I'm sure our audience is thinking about it on the innate side we have what we call a product cash account. It is a really handy tool for advisers and the benefit to to them is that uh transactions don't get held up because we pay fees out of there and we don't have to delay a withdrawal for example while we're paying fees at Stan I don't have that how is my client impacted by that what what difference does it make to their investment yeah so if you look at it on an annual basis so currently we hold uh on an eight we hold 2% % of each client's account in a product cash account. Uh now the benefit of that is that from an income distribution perspective, each unit trust delivers cash on a monthly, quarterly, annual, semiannual basis. At an individual client account level, advisers are able to tell us if they want to change the way that those cash income distributions are treated. So, for example, at the at at the the default setting with as you load a new client, that cash is automatically reinvested into the fund that it came from, you can ask us to um make it remain behind in cash potentially to pay withdrawals or you can invest it in a different fund. And so there's a number of options which the product cash account creates on innate that you don't really have at standardless. In addition to that, you spoke about liquidity. So, um, advisers are able to switch to cash if they want to get, uh, clients money out the market in anticipation of a large withdrawal. They don't have to do the withdrawal straight off the platform. So, there's a number of benefits of having this product cash account. When it comes to fee redemptions, at the moment, uh, at Standard Blissp, we, uh, we we take a calculation at the end of the month. We apply the platform fee, um, for for however many days we're in that particular month. And uh we we pay the fee to the platform and advice fees for that matter. Uh we pay advice fees to advisers by redeeming units from the market. So we sell generally proportionately or you can pick a preferred fund but we sell we sell underlying assets and then we fund that payment uh to platform or to advisor. On innate that concept is effectively the same except you have the product cash account in the middle. So, um, at the moment the product cash account is set at 2%. Uh, this year we will get the opportunity to be able to amend that that 2%. If perhaps you got a really large client and you want to keep uh less in cash, we'll be able to do that. Um, but for now it's at 2%. And for for the year's transactions, as those fees are calculated, acred and paid over to advisor, platform, DFM, you name it. uh you don't have to go and redeem assets in the market. And so for example, for some clients are um keeping income distributions in that product cash account. They are not selling underlying units and they're actually minimizing their CGT liability um on some products. Um we also have a process from time to time as that 2% drops lower and lower where we go and top that cash up by selling assets in the market. So um in many respects it's effectively the same process o over on an annual basis um of selling assets to pay fees. Um at inate you have the additional optionality of uh using the product cash account in a proactive manner to sort of manage your client behavior your withdrawals um and that sort of thing. So I think it's a really great benefit uh that the inate platform has. So I once had an adviser that had money sitting in the cash account, had preempted the withdrawal for the client and literally went onto the system in four steps, captured that withdrawal and the money was in the client's bank account the next day because he banked with Standard Bank. So it's such an efficient process. It's one of my favorite features on the inate platform. Fantastic. To be honest, I'm going to jump to something. You can also trade into the market really quickly. That's it. So, if you want to process a trade into a particular unit trust and you get that instruction in before uh 1 p.m. um and that cash is in the product cash account, you'll get the same day's um price on that unit trust. I'm going to jump to some audience questions. Sure. Um okay, so here's an interesting it's it's more a comment and I suppose this is exactly why we're moving towards innate. Okay, all great and well to request updated mobile and email addresses for clients, but to update that info with standard lisp via paperwork is a nightmare. Okay. And I know that if I need to update an email address on innate, all I have to do is log in, choose the client profile, and depending on how fast I type, I can do that email address in 30 seconds. Real time. Real time. Yeah. So that's quite interesting. Uh so I guess what advisor is asking though is that does he need to update all of his client details? No, you don't. So we also have a it does cost us a little bit of money, but we have a way to update certain static details for clients in terms of uh relevance and accuracy by integrating with um third party databases. And so what I found is, and let's say for every 10 clients that an advisor has, we're able to update well, let's say five or six are accurate, we're able to update two out of 10 um by engaging with this third party database without actually needing to contact client to advisor um for example, street addresses and that sort of thing. Um and then only the one out of 10 clients we actually need to go out to advisor to ask for updated details. So we're really hoping that that burden to update static data is as light as possible on the advisor. Okay. So we did touch on this a little bit but it's probably not clear. So let's re uh hash this. Will elevate transfers be before income and and regular withdrawals or after? Okay. So what we're following the process we're following for for the May exercise and and I guess um for the IFA community uh yes we are using our internal clients as a little bit of a um guinea pig or proof of concept but um uh what we're doing for May is we are paying our living annuitants and regular withdrawals earlier in the month on standard lisp and then doing the transfer of the units midmon and effectively you you've already been paid for for May and then the next payment will be at the at the regular date in June. So that's that's how we're going to manage for May and that'll be part of the communications as well. We'll lay out exactly which days and when certain transactions are going to be happening. Okay. So we'll communicate that so advisers are fully aware of what yeah uh those dates are. Assuming it goes really well for May, we will apply the similar uh approach in September. So in all likelihood pay for example living annuitities um earlier in the month before the transfer do the transfer and then the next living will paid in October. Okay so there seems to be quite a few questions around commission payments and so I'm just going to ask so will commissions be paid on the old standalib number or will it be paid on the new innate investment number? Sure, that's a very detailed question. It is quite detailed. Uh so that's a perfect example is we want to work with advisor to make sure it works for them. And uh I guess advisers who've never used standard bliss and sign up to inate get a a commission number. Um I I'm assuming we're going to migrate to the same, but let's let me confirm that one. I don't want to give the incorrect information. Yes, let's get back to our uh audience on that. That would be great. So, someone's saying, "So, in is a very techsavvy platform." Thank you. And some of my clients are on standard because of the fact that they are not as technically inclined. Will migrated clients be onboarded onto innate? or migrated clients will clients that move over from in Stanlib be taught how to use the innate platform. Okay. So remember that all documents that a client has access to on the Nate digital portal the client version I was client number one so I know it very well uh are accessible by their advisor. So any quarterly statements, tax certificates and and I know that advisor's back office currently um clients rely on them for their information particularly the more elderly clients and um and and we're going to have a process to help those clients move to the new world. Remember they don't need to log in or accept any terms and conditions. Their profile will be moved and advisor will have access to all those same documents within the innate world. And so if you're currently sending standard quarterly statements to your client or tax certificates, you'll be able to access them in the in in the inate platform as well and and print them out or send them to client however they they feel best. So no real change from the current practice. If advisers are sending out statements to their clients, they still have the opportunity of continuing that process. It's not going to be a train smash in any way. There will be a lot of techsavvy clients that will want to have access to their information all the time. And the great thing about the inate platform is that it is available 24/7. Correct. Okay, Mike, we have another question um regarding section 14 transfers and the renewals of commission. M so our current process at innate is that if the source of funds is not via life company we do not have to renew that commission or the adviser does not have to renew the comm commission that's not the case with standlook so great benefit to our advisers on inate the question is will the renewal of section 14 fee fall away completely Um I don't know what the legislation holds, but um uh we've tried to make that process as easy as possible. So where possible, we don't ask you to renew your fees, but where renewals do apply, it's effectively a a a very quick journey on the web per client. and and so I think that um rather than filling out a form and sending it to our our back office, you know, you get to manage that and you're empowered as the adviser to own your client relationships. Um just remember that sometimes the information is not always clear from the paperwork that we receive um when the transfer is done. It might have been done a long time ago. And so if advisers feel that actually we've got the call wrong here and it's it should be underwritten or it wasn't before whatever um get hold of us. We'll investigate it and try and make your life a bit easier. Thank you so much Mike. We've come to the end of our webinar. I think that our audience has given us a lot to think about as well. There's lots of questions and we will get to all of them. We'll compile as you have said the FAQ which we've already started working on. But I'd like to thank the audience for joining us. And as usual, if there's anything that you need to know, please reach out to your specialist investment consultant. There's one message that we leave you with. It's get into tranch 2. That's your high [Music] touch. INATE is a registered trademark of Stanlib Wealth Management PTY Limited, an authorized financial services provider.