The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

Broadridge and Newriver Deliver Summary Prospectus Solutions to the Mutual Fund Industry

Broadridge Financial Solutions and NewRiver today announced a solution to the Securities and Exchange Commission’s (SEC) newly enacted summary prospectus rule that combines Broadridge’s inventory, print, fulfilment and householding capabilities with NewRiver’s patented electronic database. Broadridge is a global provider of technology-based solutions to the financial services industry. NewRiver is the creator of a central repository of mutual fund documents and data for financial services firms.

Broadridge’s Summary Prospectus solution offers mutual funds the ability to reduce costs while simplifying their prospectus printing and distribution process and assisting them with meeting the requirements of the new SEC Summary Prospectus rule. In light of the increase in the number of catalogues that mutual funds need to produce and the lower summary prospectus page count, Broadridge’s solution, and the flexibility it provides to clients to selectively print-on-demand, offers mutual funds a cost effective alternative to full prospectus distribution.

“Our consistent delivery of innovative solutions has made Broadridge a leader in the financial services industry. Our service offerings enable our clients to focus on core business activities, while we handle the time-consuming, labour intensive aspects of regulatory investor communications. By combining the advanced technology solutions of Broadridge and NewRiver, we can provide a comprehensive summary prospectus solution that will require mutual fund companies only to file their summary prospectuses with the SEC’s EDGAR system, and Broadridge will manage the rest of the process,” says Gerard Scavelli, president, Mutual Funds Solutions, Broadridge. “By managing this business critical process for mutual fund companies, Broadridge’s Summary Prospectus solution allows our clients to dedicate their resources more effectively to grow their businesses,” he added.

The layered disclosure website with EDGAR supplied documents uses the mutual fund company’s URL, provides 24/7 hosting and monitoring, and includes a compliance envelope of all required documents. Alternatively, for mutual funds that want to use a universal URL, we created SummaryProspectus.com.

SummaryProspectus.com offers additional features to enhance investor communications and minimize costs for mutual funds. For instance, distributors and mutual fund companies alike will be able to eliminate many of the steps involved in today’s traditional fulfillment methods. “The fact that a prospectus is now a two page document showing four impressions on both sides means that the manufacturing and delivery process will change dramatically, as well as the cost structure. Mutual Fund companies and their distribution partners are poised to reap the benefits and we’re pleased to make the transition seamless for them,” said NewRiver’s CEO, Russ Planitzer.

NewRiver has partnered with Broadridge since 1999 using this same technology for digital display and delivery of mutual fund prospectuses for fund distributors. Together they provide a range of disclosure and delivery solutions to a wide range of investors, investment companies and brokers.

Related content

WEBINAR

Recorded Webinar: Developing operational resilience

Financial institutions’ operational resilience – essentially the ability to prevent, adapt and respond to, and recover and learn from operational disruptions – has come under extreme pressure during the coronavirus pandemic, with last year’s March lockdown creating unprecedented circumstances for financial firms. Employees working from home raised the stakes, as they still do, adding to...

BLOG

Alveo Extends ESG Data Management Capability

Alveo (formerly Asset Control) has expanded its ESG data management capability by extending its standard industry data model and user interface to help clients understand ESG data quality, data lineage and divergence between third-party ratings. Driven by regulations such as the EU’s Sustainable Finance Disclosure Regulation (SFDR), the Alveo data model now incorporates the data...

EVENT

RegTech Summit Virtual

The RegTech Summit Virtual is a global online event that brings together an exceptional guest speaker line up of RegTech practitioners, regulators, start-ups and solution providers to collaborate and discuss innovative and effective approaches for building a better regulatory environment.

GUIDE

Entity Data Management Handbook – Seventh Edition

Sourcing entity data and ensuring efficient and effective entity data management is a challenge for many financial institutions as volumes of data rise, more regulations require entity data in reporting, and the fight again financial crime is escalated by bad actors using increasingly sophisticated techniques to attack processes and systems. That said, based on best...