Fiduciary Services
Automate Compensation Billing and Collection
The DOL fiduciary rule has dramatically changed the game for commission-based advisors. For the financial professional who wants to continue to provide retirement services while being compensated through commissions, American Trust Custody will support assessment of a level platform fee in concert with the plan recordkeeper. This fee will include the compensation to be paid to the advisor for a specific set of services pursuant to an instruction from the outside dealer’s home office to facilitate the implementation of each dealer’s program guidelines, recognizing that various dealers may interpret the rule differently. Any available commissions (i.e., 12b-1s, Finders’ Fees, etc.) will be collected by American Trust Custody. American Trust Custody, along with its recordkeeping partners, will then further calculate and collect the total platform fee based on the plan sponsor’s election for plan service payment (through participant accounts, an ERISA recapture account, billed directly sponsor, etc.). Once the platform fee is collected, the advisor’s total compensation will then be paid to the home office through a check, electronic funds transfer, or via the NSCC’s Payment axis® service.
For Fee-Based Compensation
While not as dramatically affected by the fiduciary rule, many firms have indicated that the current process of collecting fees for fee-based advisors is a very manual process, wrought with errors and delays. Many industry experts expect a monumental shift from commission to fee–based services, which will only exacerbate these problems. By utilizing FiduciaryxChange®, financial firms can choose to allow American Trust Custody to handle the invoicing and collection process for any plan on the American Trust Custody platform. Firms utilizing these services will more easily be able to track revenue earned, actual revenue collected, and any outstanding receivables through a more automated and centralized environment.
Receive Detailed Plan Information
For many firms, tracking plans held away can become a resource drain on both advisors and their compliance departments. The complexity of gathering that information grows exponentially as the number of recordkeepers used by a single firm increases. By leveraging American Trust Custody, your firm can access data on plans held at any recordkeeper in the American Trust Custody network through a single, efficient interface.
Data Feeds
For firms that already have custom reporting systems in place, American Trust Custody can easily provide the necessary data feeds one needs to populate these systems. American Trust Custody can also supply a myriad of data elements through the NSCC Retirement Plan Reporting service to NSCC member firms. Many dealers are also pleased to learn that American Trust Custody has existing interfaces to many third party performance and account aggregation systems, allowing seamless consumption of plan data within their existing systems.
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