When it comes to selling self-directed RRSPs and other registered products to clients, institutions like brokerage firms must have a trustee. In most situations, the trustee and the institution enter in an agency agreement. This outlines the responsibilities for each party. Typically, the institution is responsible for managing the client relationship and the trustee provides the fiduciary services.
When CWT is appointed as a trustee, we then appoint the brokerage firm to act as our agent. As trustee, we will also hold the uninvested cash balances held within the registered plans.