Multiple surveys report that 80% of modern investors prefer using mobile applications to monitor their investments and connect with advisors, and 40% of investors now demand digital access to their accounts. Moreover, while massive regulatory requirements pressure drives up expenses, customers today expect transparency in fees and equal skin in the game.
What that has done to the wealth management industry is that the competition has risen considerably. Individualized and compelling digital experiences that meet shifting customer expectations are becoming the standard. Partnering with Maveric Systems helps the leading FIs grasp the subtle shifts in the wealth management industry and how embracing advanced analytics brings a game-changing effect.
Technology, the modern-day services multiplier
Technology fosters new capabilities through mobile interaction, analytics, and service delivery. Wealth managers acknowledge that it provides a consistent context for interactions that may be automated across channels, improving access to data sources that aren’t readily available for everyday process decisions.
In 2023, what will be the strategy for Technology-enabled wealth management services?
Wealth managers realize that the client’s needs and expectations will be significant in a world made more unpredictable and uncertain by the pandemic. The customer journey comprises the difficulties they encounter and the long-term solutions they want, which helps to enhance the user experience at each touch-point.
Advanced analytics, AI, and machine learning tools: Whether learning about investing habits or analyzing sentiments, the wealth management sector is in the midst of a technology revolution that elevates efficiency and productivity and creates greater values. Today leading asset management firms to boost their business operations and increase profitability by making their processes more effective and automated.
Hybrid or omnichannel business model: This incorporates the best features of both traditional face-to-face and digital touch-points. The hybrid method proves essential in extreme situations like pandemic disruptions.
Cultivating Brand advocates: Every wealth management firm looks for early adopters who offer high-quality and precise feedback that helps wealth managers fine-tune their offerings and approach and purge friction from their systems. Wealth management companies can earn their trust with greater confidence by interacting with power users and digitally native customers.
Business Impact of Digitalization on Wealth Management: By creating paperless clients that use next-generation digitalization infrastructure, firms are assisted in account on-boarding in seamless ways. Delays drop, and vital human resources are freed up for higher intelligence activities. These best practices are then leveraged across the organization. An additional gain from automation is the improvement in accuracy rates of 90% to 95% after implementing RPA, which also cuts costs by 50%.
Enhanced Communication Protocols: By 2023, more than 80% of wealth management companies will replace their client reporting and communications systems. Expect a more significant deployment of robotic assistants, chatbots, and the actual arrival of the digitally enhanced financial advisor! By lowering the need for support workers and offering an immediate resolution to problems, chat-bots can reduce customer service costs by up to 30%1
Conclusion
While the wealth management sector has been sluggish to embrace digital transformation in large part because of the nature of the work they undertake, there is a significant change, where advisors are now making progress for multiple reasons of digital adoption like purposeful investments in ESG, democratization in open market instruments, and increasing quality and transparency standards.
About Maveric
Starting in 2000, Maveric Systems is a niche, domain-led Banking Tech specialist partnering with global banks to solve business challenges through emerging technology. 3000+ tech experts use proven frameworks to empower our customers to navigate a rapidly changing environment, enabling sharper definitions of their goals and measures to achieve them.
Across retail, corporate & wealth management, Maveric Systems accelerates digital transformation through native banking domain expertise, a customer-intimacy-led delivery model, and a vibrant leadership supported by a culture of ownership.
With centers of excellence for Data, Digital, Core Banking, and Quality Engineering, Maveric Systems teams work in 15 countries with regional delivery capabilities in Bangalore, Chennai, Dubai, London, Poland, Riyadh, and Singapore.
