Algorithm-based rating eliminates advisor guesswork when making compliant investment recommendations; provides supervision teams with unprecedented oversight.

 

Toronto, ON, July 6, 2021 – InvestorCOM, the leading provider of regulatory compliance software and communications solutions for the financial services industry, today announced that a Peer Rating capability has been added to InvestorCOM PeerCompare to help advisors and wealth management firms efficiently meet their regulatory obligations.

According to wealth industry experts, the Care Obligation represents one of the biggest challenges in meeting Regulation Best Interest (Reg BI).  Regulators have indicated that a mathematical analysis of reasonably available alternatives, instead of an advisor’s written narrative, is required to ensure that recommendations are in the best interest of clients. Similarly, the KYP obligation of the Client Focused Reforms (CFR) requires registered reps to put their clients’ interests first when making investment recommendations.

InvestorCOM PeerCompare is a cloud-based app used by advisors to compliantly evaluate reasonably available alternatives. The product features an algorithm-based, proprietary process to identify peer groups for all security types and assign a rating for each security relative to its peers based on the security’s cost, risk and return characteristics.

InvestorCOM developed Peer Ratings to simplify the process for financial professionals, compliance professionals and the product due diligence team.

“InvestorCOM’s product philosophy is to provide simple, intuitive solutions that support the advisor’s expertise in making securities recommendations,” said Dave Carr-Pries, VP of Product and Marketing at InvestorCOM. “Peer Ratings eliminate any guesswork and help advisors to efficiently identify which investments may be worth considering when making a best interest recommendation”.

Compliance supervision teams will find that Peer Ratings provide unprecedented oversight. Products can be viewed along a spectrum allowing compliance professionals to define, monitor and enforce best interest guardrails. Trend analyses will reveal patterns in advisor recommendations.

In April, InvestorCOM announced the availability of Peer Ratings in ShelfAnalyzer, which firms use to intelligently assess the competitiveness of their shelf by evaluating how products stack up against their peers based on their cost, ri­­sk, and return. Having this information allows firms to create a best interest product shelf by deciding which products to keep or remove.

To learn more about InvestorCOM’s Peer Ratings functionality, visit https://investorcom.com/demo.

 

About InvestorCOM Inc.

Since 1992, InvestorCOM has been providing regulatory compliance software and communications solutions to wealth managers, asset managers, and insurers. Our high value, intuitive solutions eliminate compliance risk for our clients.  For more information, visit www.InvestorCOM.com, email info@investorcom.com or call 1-800-361-9494.

 

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For more information:

Karen Makedon
VP, Marketing
InvestorCOM Inc.
Tel: 1-800-361-9494
Email: media@investorcom.com