New Solution Helps Broker/Dealer Firms Comply With FINRA Rule 4530 and Protect Their Investors
Wolters Kluwer Datacert|TyMetrix, the global leader in Enterprise Legal Management software and services, announced today the release of its FINRA 4530 Module, an extension of Passport® GRC the company's comprehensive, platform-based framework for managing broad governance, risk, and compliance programs. The new module provides the tools and automation to allow broker/dealer firms to more efficiently and effectively comply with FINRA Rule 4530, which requires these firms to compile information and to report to FINRA on customer complaints that allege theft, misappropriation of funds or securities, or forgery.
"Broker/dealer firms face significant challenges to ensure compliance with FINRA Rule 4530 in order to avoid penalties. For example, firms' legal and compliance staff need to be able to collect and sort through any customer complaints they receive through a myriad of channels that may allege illegal activity and then determine which, if any, of these complaints they need to report on to FINRA. They also then need to prepare and to submit reports on the customer complaints to FINRA in a defined format and on a very specific timeline." said Daniel de Juan, Director of Product Management, Datacert|TyMetrix. "With our experience and product offerings in both the legal and compliance arenas, Datacert|TyMetrix is in a unique position to provide solutions to meet these challenges and to support broker/dealers in maintaining business integrity while protecting their investors."
The module streamlines the intake, triage, and tracking of customer complaints and expedites the reporting and filing of these complaints as required by FINRA. In addition, the solution empowers firms to efficiently manage investigations related to customer complaints and facilitates communication and information sharing between legal, compliance, and any other staff who are involved in these processes. Key features of the new module include:
Intake and Triage of Customer Complaints: The module integrates with both internal and external customer complaint intake sources to consolidate all of the complaints that a broker/dealer firm receives (e.g., via mail, hotline, email, social media, etc.) into a single triage queue. The solution also streamlines and automates the process of categorizing, validating, and prioritizing complaints for follow-up, which helps legal, compliance, and other involved staff to determine whether the FINRA requirements related to customer complaint reporting have been met.
Tracking and Management of Customer Complaints: The module's interface ensures that all FINRA-required data is captured for each customer complaint. The solution also has the ability to integrate with internal systems containing customer account records and information about advisors involved in complaints, which facilitates more accurate data capture on advisors and customers. Auto-generated tasks and due dates create efficiencies and help ensure that filings related to each complaint are followed up on within required timelines.
Reporting and Submission to FINRA: The module facilitates automated data validation, which ensures accuracy prior to the submission of the data to FINRA. A report can then be automatically generated in the FINRA-required format and be submitted electronically via FINRA's Firm Gateway. In addition, the solution has the ability to be integrated with FINRA's Gateway, which further automates and expedites reporting by enabling direct submission to the Gateway from within the module.
Investigation Management: The module enables firms to centrally manage investigations related to customer complaints, which promotes more efficient and consistent handling of incidents and losses. The module can also be integrated with the Passport Legal Matter and Spend Management applications, which allows firms to easily track the legal workflow and the legal spend associated with the arbitration and litigation of customer complaint incidents.
The FINRA 4530 Module is part of the comprehensive Passport GRC solution, which is comprised of five integrated components: Compliance Management, Policy Management, Risk Management, Internal Controls and Audit Management, and Incident and Inquiry Management, as well as an additional module for Third-Party Risk Management. Passport GRC provides companies with a comprehensive framework to support sustainable, proactive, and defensible management of their broad governance, risk, and compliance programs. All of the Passport GRC components can be consolidated on a single platform where they share a common database, workflow engine, and business intelligence engine. This allows information to be easily shared across functional areas and provides critical visibility across all aspects of companies' GRC initiatives. Passport GRC also integrates seamlessly with Passport Legal Matter Management and Passport Legal Spend Management, creating a closed-loop process between companies' legal and GRC functions.
About Datacert | TyMetrix
Datacert|TyMetrix, formed in 2014 by the merging of the two Enterprise Legal Management (ELM) leaders, is a global technology innovator and the premier provider of software and services that empower corporate legal, compliance, risk, and insurance claims departments, as well as law firms to operate with greater efficiency, collaborate more effectively, and gain the insight required to meet their strategic objectives. The company's core offerings include Passport® its patented ELM technology platform, TyMetrix® 360°, the leading SaaS-based ELM software solution, and LegalVIEW® the world's largest permission-based, contributory data warehouse of legal performance data, with over $55B-worth of legal spend data. These solutions are used by Fortune® 500 and Fortune Global 500 corporations and over 10,000 law firms and legal service providers around the world, including 100 percent of both the AmLaw 200 and AmLaw Global 100 firms. Datacert|TyMetrix, which is a business of Wolters Kluwer, has offices throughout North America, EMEA, and Asia Pacific, clients in over 190 countries, and more than 33,000 legal service provider connections to its e-billing network. Wolters Kluwer, a market-leading global information services company, had 2013 annual revenues of EUR 3.6 billion ($4.7 billion), employs approximately 19,000 people worldwide, and maintains operations in over 40 countries across Europe, North America, Asia Pacific, and Latin America. Wolters Kluwer is headquartered in Alphen aan den Rijn, the Netherlands. Its shares are quoted on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).