Hi @newtoclm !
Thanks for your question on Community!
In CLM.DS, if your folder has an explicit security level, i.e., manually set folder permissions and override inheritance (breaking the relationship with the parent), the security settings will also be moved along with the folder, remaining exactly as defined.
However, if your folder has an inherited security level (default setting), i.e., is a "child folder" of another folder with a defined security level, when moving this child folder only, the security level will not be moved, applying the new security level to the new destination parent folder.
In short, if you need to move folders and maintain their security level, my recommendation is that you manually apply the security level to them before moving. Let me share two articles to provide you more information about this topic:
I hope that answered your question!