Under the Minimum Competency Code, the intermediary must ensure that: (i) all 'Reason Why' statements provided to clients are checked and signed off by another person with a recognised qualification.

• A. All 'Reason Why' statements provided to clients are checked and signed off by another person with a recognised qualification.
• B. All client meeting notes are signed off by the trainee.
• C. The trainee may modify statements without checks.
• D. The statements must be posted on the firm's website.

Answer: (A)

Under the Minimum Competency Code, strong governance over client communications is essential. The main idea here is that any Reason Why statements given to clients must undergo a verification process by a qualified reviewer. Having another person with a recognised qualification check and sign off on those statements provides accountability, ensures accuracy, and helps guarantee that the rationale aligns with the client’s needs and the regulator’s expectations.

This safeguard reduces the risk of misleading or incorrect information being conveyed to clients and creates an auditable trail showing that a competent reviewer has approved the content before it reaches the client. The other options would weaken this control—allowing unchecked notes or non-qualified modifications, or focusing on website posting rather than the client-facing rationale—so they don’t meet the same compliance standard.