Products April 7, 2020

InvestorCOM Launches Reg BI Compliance Platform

The SEC has confirmed that the COVID-19 pandemic will not halt the implementation of the SEC’s Regulation Best Interest, which has a general compliance date of June 30.

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U.S. Securities and Exchange Commission (SEC) Chairman Jay Clayton has publicly confirmed that the June 30 deadline for compliance with the SEC’s Regulation Best Interest (Reg BI) rulemaking package remains in effect.

The dramatic events unfolding as a result of the coronavirus pandemic have caused the SEC to provide other forms of regulatory relief to financial market stakeholders, but, as Clayton has confirmed, implementation of Reg BI is on track.

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In recognition of this, InvestorCOM, a provider of regulatory compliance software and communications solutions for the financial services industry, has announced the availability of a Reg BI compliance management platform.

In basic terms, Reg BI establishes a “best interest” standard for broker/dealer (B/D) firms, and it mandates the establishment of firm-specific training, processes and procedures required to demonstrate compliance. According to the firm, broker/dealers can meet this new standard with confidence by leveraging InvestorCOM’s Reg BI compliance platform.

“Our solution is well suited to satisfying the principles set out by U.S. regulators and features a highly intuitive and simple interface that broker/dealers will instantly appreciate,” says David Reeve, CEO of InvestorCOM.

Reeve says InvestorCOM’s platform supports the key categories of disclosure and recordkeeping, adviser and process oversight, and investment product selection and monitoring. The solution is comprised of three components, including product shelf monitoring, reviews of product alternatives and disclosure document generation, and a secure digital form delivery element.

More information is available on the firm’s website.

Products April 6, 2020

Principal Offers Cost Relief to Plan Sponsors and Participants

In addition to waiving transaction fees for participants, Principal is waiving fees for certain retirement plan amendments.

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Building on the passage of the Coronavirus Aid, Relief and Economic Security (CARES)_ Act, Principal and Wells Fargo Institutional Retirement & Trust (IRT) are waiving participant-paid distribution and loan origination fees for participants taking tax-favored withdrawals, hardship withdrawals or loans from their employer-sponsored retirement accounts.

Additionally, retirement plan sponsors will have fees waived for plan amendment changes to allow participants to access these programs or to document a reduction or removal of employer contributions.

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To help Principal insurance policyholders—individuals and employers—prevent a lapse in coverage, grace periods for premium payments have been extended. And, for employers who hold group benefits coverage, the company is temporarily halting any rate increases. This is for employers with fewer than 500 employees with policy renewal dates coming due between May 1 and August 15 of this year.

Policyholders and others can visit the dedicated Principal COVID-19 resource page for more information related to insurance coverage.

“The CARES Act is an important bridge to help those most affected today by the spread of COVID-19. We’re making the changes needed on our side to ensure plan sponsors and participants aren’t hit with additional costs to access these lifelines,” says Renee Schaaf, president of Retirement and Income Solutions. “We continue to work closely with policymakers in Washington on thoughtful solutions to help people and businesses manage not only the near-term pain of this crisis, but also potential long-term consequences. We remain focused on supporting our customers with the information, service and flexibility they need.”

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