The RightBRIDGE System is Ready for the DOL Retirement Security Rule
April 24 2024 - 5:00AM
CapitalROCK, the developer of RightBRIDGE has made a preliminary
assessment of the DOL’s finalized Retirement Security Rule and
amended Prohibited Transaction Exemptions (PTE’s) and will be ready
to implement the necessary changes by the rule effective date on or
around September 23, 2024. The required changes for the Retirement
Security Rule will be in the 2024 release R2 of RightBRIDGE.
CapitalROCK has long been a leader in providing best-in-class
technology solutions for best interest requirements. The
RightBRIDGE regulatory framework provides a unified approach to
regulatory requirements of federal and state regulations including
Reg BI, PTE 2020-02, state regulations like NAIC Best Interest
Model and NY 187 and the new Retirement Security Rule.
Since the release of the original iteration of PTE 2020-02,
RightBRIDGE has been adopted by many of the financial services
industry’s most recognizable firms. CapitalROCK has been selected
by its partner firms due to its thorough and efficient processes,
flexibility, and compliance with evolving requirements.
As part of its review process for the Retirement Security Rule
and amended PTE’s, CapitalROCK engaged with the Wagner Law Group.
In an opinion provided by Wagner’s Chief Legal Officer, Stephen
Wilkes, Mr. Wilkes commented that the RightBRIDGE system is “wholly
consistent with the PTE” and would be well-positioned once the
Retirement Security Rule became final. The full opinion can be
found HERE.
The modifications to the fiduciary definition will require more
financial professionals and their associated financial institutions
to comply with the requirements of PTE 2020-02. RightBRIDGE has
developed robust and proven systems to assist firms in
standardizing and automating processes for the exemption’s
requirements. The financial professional is guided through a
seamless workflow that captures and documents the necessary
considerations for the Impartial Conduct Standards. Data sources
are provided to ensure ease of use and consistency, (Form 5500
ERISA plan data, in-force policy data, investment data, etc.).
RightBRIDGE ReasonText™ automates note-taking for the
financial professional and provides the client with a rationale for
the rollover written in “plain English”. The RightBRIDGE Dashboard
equips firms with powerful data insights, critical for compliance
with the annual Retrospective Review.
In response to the amendments to PTE 84-24, RightBRIDGE has
enhanced its analysis around both fixed and variable insurance
products. Given these enhancements, it is well-equipped to assist
insurance carriers in fulfilling their new responsibilities.
About CapitalROCK: CapitalROCK, the makers of
RightBRIDGE, provides financial services firms with a powerful and
configurable rules engine to determine and document the suitability
or best interest status of proposed rollovers, account types, and
products.
Many of the country’s largest Independent, Bank, and Insurance
broker-dealers rely on RightBRIDGE systems to help them meet their
compliance and documentation obligations for regulations like Reg
BI, Reg 187, and the DOL’s PTE 2020-02.
Each RightBRIDGE deployment is configured for the licensing
financial institutions specific products, policies, and compliance
requirements. Each analysis is accompanied by CapitalROCK’s
exclusive ReasonText™. ReasonText™ is automatically generated,
client and recommendation specific text that documents why or why
not a proposed action meets the licensing firm’s best interest
requirements.
Media Contact: Connor Thomas |
cthomas@capitalrock.com | 804-495-3644