What is typically discussed during the establishment of the client-advisor relationship step?

The establishment of the client-advisor relationship is the foundational step where the terms of the engagement are defined. This includes clarifying the services the advisor will provide, the advisor's responsibilities, the fee structure, and how the relationship will function. This step sets the stage for all subsequent activities, such as gathering detailed client information (KYC). The other options are part of the information-gathering phase that follows the establishment of the relationship's framework.

A. The client's investment goals are a key part of the "Know Your Client" (KYC) information-gathering step, which occurs after the relationship is established.
B. The client's financial and personal status is also collected during the detailed KYC process, not the initial establishment phase.
C. Communication preferences are a logistical detail typically gathered during the KYC process, not the primary topic of establishing the relationship's scope.

- Canadian Securities Institute. (2023). Canadian Securities Course (CSC) Volume 2. Chapter 21, "The Know Your Client Rule". The text distinguishes between establishing the relationship (which includes providing relationship disclosure information about services) and the subsequent steps of collecting KYC information like goals and financial status.

- IIROC Rule 3200, Client Relationship Model (CRM2). This regulatory framework mandates clear disclosure at the outset of a client relationship, including a description of the products and services that will be provided to the client.