Sample Use Cases

Broker Dealer Serving High Net Worth Individuals

Business Need: A more automated and reliable compliance process for direct-held mutual fund business.

  • Broker dealer / RIA firm seeking a better solution for its check and app business
  • Compliance is manual and has become a pain point
  • Firm seeks to:
    • Automate upfront compliance tasks such as break point and suitability review
    • Automate the records around compliance and suitability review notes
    • Improve timeliness of trade review for breakpoints etc.
    • Move away from the technology and operational resources required to manage the myriad of transaction, position and commission feeds received from fund families
  • The firm wants to avoid having to force reps to send mutual-fund-only investor accounts to conventional brokerage, which can often be more complex and costly than needed

Network of Broker Dealers

Business Need: An alternative for direct-at-fund business that is automated and provides a mutual fund rather than a brokerage experience.

  • Network of several firms serving independent reps
  • Process mutual fund business both through conventional brokerage and direct
  • Reps going direct, doing largely all of their mutual fund business direct with mutual funds
  • The firms is looking for:
    • An alternative to the direct model that will enable them to better control the fund lineup and front-end review
    • A platform that will support the still evolving approaches to ‘level load’
    • A way to bring more automation to the new account opening process
    • A way to maintain and provide the mutual fund account experience rather than the traditional brokerage experience for reps and investors
    • A more efficient way for reps and investors to manage their accounts across fund families
    • A solution that will integrate with existing technology and can be a single platform used by each firm in the network
    • A solution that positions the firm to continue to allow mutual funds off conventional brokerage—as  accounts on conventional brokerage platforms tend to increase calls to the back office

Insurance Broker Dealer

Business Need: A better rep and client account opening experience that can ‘flow through’ and result in more efficient back end processes for compliance and IT.

  • Largely captive sales force
  • Mutual fund business is primarily check and app
  • Primarily insurance focused – though the operations around the mutual fund processes currently requires more resources than the insurance operations
  • Some third party automation in place for new accounts and post trade review – though a paper check and app are ultimately produced and sent to the fund
  • The firm is looking for:
    • A new mutual fund account opening tool that is more efficient and rep-friendly
    • A way to eliminate the technology and operational resources required to research data issues in feeds received back from multiple mutual fund families
    • Automation that is truly ‘end to end’ from new account establishment through compliance review, statements, commissions and account maintenance
    • A solution that will work in a consistent way for all fund families

Broker Dealer Serving Banks and Credit Unions

Business Need: An alternative for direct mutual fund business that is automated and can integrate ‘nimbly’ within the existing processes and technology.

  • Broker Dealer serving banks and credit unions
  • Mutual funds represent a significant portion of the business and had been processed primarily direct at the fund
  • Many of the accounts only hold mutual funds
  • Reps want to avoid the cost and complexity of wire house brokerage
  • Extensive proprietary technology for the rep
  • Even pre-DOL, sought a solution that would:
    • Automate and streamline good order and compliance controls on the front end
    • Integrate with their existing rep portal for viewing and updating accounts
    • Fit in with their existing cross product new account automation
    • Eliminate cumbersome processes such as rep changes across fund families, manual 36 month mailings etc.