Reg BI and IPS Automation: Best Practices for Compliant and Efficient Advisory Workflows in 2025

Regulation Best Interest (Reg BI) and Investment Policy Statement (IPS) requirements are now front and center for every financial advisor serious about future-proofing their practice. In 2025, the pressure to automate and standardize compliance—without slowing down client onboarding or sacrificing personalization—has never been higher. Advisors, RIAs, and firm owners must find solutions that deliver bulletproof documentation, reduce manual work, and allow them to scale high-touch service.

The Challenge: Compliance, Efficiency, and Personalization

Fragmented onboarding, manual proposal generation, siloed compliance checks, and inconsistent IPS creation still bog down many advisory teams. The pain points are clear:

• Administrative drag: Hours wasted on data gathering and document prep.
• Compliance risk: Manual workflows increase the odds of unintentional Reg BI or IPS breaches.
• Fragmented tech: Switching between disconnected tools slows down onboarding and frustrates clients.
• Personalization bottlenecks: Scaling individualized portfolios and proposals becomes impossible without automation.

Advisors are demanding a new way—one that streamlines these processes from initial client touchpoint to compliance check, without sacrificing depth or diligence.

Pillars of Effective Reg BI & IPS Automation

We believe the solution is a unified, AI-powered workflow that covers four critical stages:

• Seamless onboarding & data intake
• Compliant proposal generation & documentation
• Personalized portfolio construction and monitoring
• Continuous, automated compliance tracking

Let's break down how each of these stages can be automated effectively—and how Investipal supercharges each step for modern advisory firms.

1. Seamless Onboarding & Data Intake

Manual onboarding is one of the biggest blockers for firms looking to grow. Too many hours are lost to chasing down paperwork, re-keying data, and piecing together fragmented account information.

• Investipal’s AI-powered brokerage statement scanner instantly ingests PDFs, images, parses holdings, and creates a structured portfolio - no manual entry needed.
• Upload statements in any format - our OCR & AI extract every position, cost basis, and asset detail with precision.
• Processed data flows directly into your proposal engine and compliance tools, saving 3–5 hours per account and avoiding costly errors.

This automated intake isn’t just a convenience—it’s your compliance foundation. Clean, complete data means accurate proposals, risk profiles, and Reg BI documentation from the start.

2. Automatic Risk Assessment and Custom Form Workflows

Reg BI makes documenting a client’s goals, risk capacity, and behavioral traits non-negotiable. Manual questionnaires are slow, hard to customize, and prone to error.

• Use a customizable, embeddable 3-factor risk assessment (capacity, behavior, portfolio) to build a complete client profile in five minutes or less.
• Create custom onboarding forms and agreements—either by uploading your template or building from scratch—to match your firm’s unique compliance needs.
• Automate e-signature workflows, ensuring no step is missed and every document is securely signed.

This ensures a compliant start for every new relationship, with all risk and KYC data feeding directly into the rest of your workflow.

3. Effortless Compliance Documentation: Reg BI & IPS

Reg BI requires advisors not just to act in the client’s best interest, but to prove that they did so. Documentation is king—and it needs to be standardized, fast, and bulletproof.

• With Investipal’s Reg BI documentation generator, create personalized, fully-compliant Reg BI disclosures in seconds—based on each client’s data and proposed solution.
• Instantly generate Investment Policy Statements (IPS) customized for each household and account, documenting objectives, asset allocation, risk, and ongoing monitoring—no manual assembly required.
• Everything is logged—automated AML checks, best interest analysis, drift monitoring, and KYP (Know Your Product) comparisons—to ensure you always have an audit trail ready at your fingertips.

This is not just about compliance for its own sake: automated, standardized documentation demonstrates value to clients and gives firms the confidence to scale.

4. Personalization at Scale: AI-Powered Portfolio Construction

In 2025, personalization goes beyond just picking tickers. Advisors are expected to account for public and private assets, optimize for costs, tax, and monitor alignment over time.

• Model portfolios using both public markets and alternatives—upload your own investment universe and let AI generate client-specific solutions in seconds.
• Compare proposed allocations side-by-side with existing portfolios, highlighting risks, concentration, cost, and performance differences with over 20 risk indicators.
• Run advanced future-state and Monte Carlo scenarios to illustrate the real impact of every recommendation.

All recommendations and allocation decisions are explained, every model is transparent, and every output supports your compliance documentation—not a black box in sight.

5. Continuous Monitoring & Proactive Compliance Alerts

If your compliance process is only reactive, you’re already behind. IPS expectations now extend to ongoing household and account-level monitoring.

• Track every portfolio for drift and receive automated alerts whenever allocations stray beyond IPS-mandated guardrails.
• Always stay audit-ready—monitor for evolving risk, regulatory changes, and respond instantly with compliance documents that reflect the current state of every portfolio.
• Automated monitoring allows you to shift from compliance bottleneck to compliance edge—scaling up without the risk of oversight or inconsistency.

Delivering Real-World Value: Quantifiable Gains

Based on feedback from our clients and industry data, the shift to a unified, automated workflow delivers:

• 90%+ reduction in time spent on onboarding, proposal generation, and compliance documentation.
• Significant decrease in manual errors, data gaps, and NIGOs (not-in-good-order submissions) that waste hours and risk compliance.
• 95%+ time savings in compliance management, freeing up advisors and staff for client-facing engagements.
• Improved client experience, with fast turnaround, professional proposals, and a seamless onboarding journey.

Best Practices for Implementing Reg BI and IPS Automation in 2025

If you want to make the leap, our recommendations are:

• Choose an end-to-end solution that covers intake, risk profiling, proposal, portfolio, and ongoing monitoring—manual, piecemeal fixes won’t scale.
• Standardize your document templates across the firm. Consistency lowers risk and makes onboarding easier for new team members.
• Automate e-signatures and data capture to reduce friction and error.
• Make compliance real-time—not just at onboarding, but every time account circumstances or regulations change.
• Train advisors on technology workflows to maximize adoption and ensure best practices become firm habits, not break-glass exceptions.

What Makes Investipal Different?

We designed Investipal with one goal: eliminate the admin and compliance bottlenecks that hold modern advisory teams back, while enabling scalable, client-centric service and audit-ready compliance—all in one platform. Here’s how we deliver on that promise:

• Instant statement scanning, risk assessment, and proposal generation—no manual entry, no duplicate work.
• 1-click IPS and Reg BI documentation, always standardized, always up-to-date.
• Multi-asset, truly personalized portfolio construction, including alternative assets, with explainable, transparent models.
• Automated drift, risk, and compliance monitoring—proactively keeping you aligned and audit-ready.
• Bank-level security, SOC2 Type II compliance, full encryption and role-based access by default.

Book a demo with us to see how we can cut your onboarding and compliance time by 90%—and help your team consistently deliver a better, stronger client experience.

Ready to Automate Compliance and Scale Your Practice?

If you’re still juggling fragmented tools, manual forms, or slow compliance reviews, you're already falling behind. Investipal is purpose-built for advisors and firms ready to adopt Reg BI and IPS automation best practices in 2025 and beyond. See Investipal in action—book your personalized demo today and discover how the right workflow can transform your growth.