Technology & Digital Tools Flashcards
7 cards from real RAA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Technology & Digital Tools flashcards as text
What is the primary risk of relying solely on carrier-provided illustration software when advising clients on annuity products?
Answer: Software may not allow comparison across multiple carriers' products
Carrier-specific illustration software typically only shows that carrier's products, limiting the advisor's ability to make objective cross-carrier comparisons.
Which technology allows an annuity advisor to conduct a compliant remote client meeting with identity verification and electronic signature capture?
Answer: An integrated digital onboarding platform with eSign and ID verification
Integrated digital onboarding platforms combine video, ID verification, and eSign capabilities to support fully compliant remote annuity sales.
An advisor's laptop containing unencrypted client annuity records is stolen. Under most state privacy laws, what must the advisor or firm do?
Answer: Notify affected clients and potentially state regulators of the data breach
Most state privacy laws require prompt notification to affected clients and often state regulators when unencrypted personal financial data is breached.
What does 'data hygiene' mean in the context of an annuity advisor's CRM system?
Answer: Keeping client data accurate, complete, and up-to-date
Data hygiene refers to maintaining clean, accurate, and current client records to ensure effective communication and compliance.
When using digital fact-finding tools with clients, what is the most important step before entering client data?
Answer: Obtaining client consent and explaining how their data will be used and protected
Advisors must obtain informed consent and disclose data usage practices before collecting personal client information in any digital tool.
Which of the following best describes a 'hybrid' digital advice model for annuity sales?
Answer: Combining automated digital tools with human advisor oversight and guidance
A hybrid advice model combines algorithmic digital tools for efficiency with human advisor involvement to address complex needs and ensure suitability.
An advisor wants to use social media to share annuity product information. Which compliance requirement is most critical?
Answer: All social media communications must be reviewed and archived per broker-dealer or RIA requirements
Regulatory requirements mandate that all advisor social media communications be reviewed and archived as part of supervisory and recordkeeping obligations.