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Alexandra Gray
Transformation Leader in Financial Services
By providing a clear and structured view of their data, wealth management firms can enhance the customer experience and make it easier for clients to understand their financial situation.
It's intriguing to consider how client behaviours have changed over the years. Could you elaborate on the shifts you have observed and share your thoughts on how these behaviours might evolve in the next few years?
Certainly. Over the past few years, there has been a notable shift in client behaviours. Previously, I worked in an organisation where clients still relied on faxes just five years ago. However, attitudes towards paper-based processes vary across different regions. Currently, I am observing a trend towards hyperlocalisation, where clients increasingly value human interaction. This is particularly evident in wealth management, where clients appreciate the personal touch and expertise of a relationship manager. Looking ahead, as technologies like artificial intelligence continue to emerge, there may be an even greater appreciation for the human element in wealth management.
What would you say are the key client processes that need to be moved online or digitally transformed?
One area that requires attention in client processes, especially in the international wealth management sector, is client onboarding. While there have been some improvements, there are still challenges for clients living in multiple countries or jurisdictions, with significant amounts of paperwork to fill in. Albeit physical paperwork is still the norm in some jurisdictions. Whether done electronically or not, this process can be overwhelming for clients. In practice, accessing relevant wealth management data can be complex and confusing. To address these issues, there is a need for standardised data analysis and filtering that simplifies the navigation of information for clients. By providing a clear and structured view of their data, wealth management firms can enhance the customer experience and make it easier for clients to understand their financial situation. However, having a combined view of a client's data across wealth managers requires a standardised approach to integration across the industry.
The integration of banking and wealth management services is gaining traction, and partnerships between organisations are seen as a way to meet the diverse needs of clients. What are your thoughts on the demand for this coverage, and how can organisations effectively capitalise on this opportunity?
The demand for coverage that integrates banking and wealth management services is certainly present. To fully capitalise on this opportunity, organisations should embrace partnerships that foster collaboration and provide a seamless customer experience. From the customer's perspective, they should have one unified experience with one firm, while behind the scenes, that organisation can work with various partners to fulfil specific needs. Interconnectivity within the industry is key, but it also increases systemic risk due to the need for integration with multiple parties. By forming strategic alliances and leveraging the strengths of different organisations, wealth management firms can effectively meet the diverse needs of their clients and deliver comprehensive financial solutions.
Fintechs are disrupting traditional banking and wealth management by offering innovative, integrated solutions. How would you quantify the competitive threat from these fintechs, and how can established organisations like yours respond to this challenge?
The competitive threat posed by fintechs is significant, particularly in the high-net-worth client segment. Fintechs often excel at delivering user-friendly digital experiences and leveraging cutting-edge technologies. Established organisations need to find a balance between agility and customer perception. They should embrace technological advancements and invest in digital transformation initiatives to stay relevant. This can involve building or acquiring fintech capabilities, partnering with innovative startups, or leveraging their existing brand recognition and customer base. Additionally, established organisations should leverage their core strengths, such as trust, expertise, and a deep understanding of the regulatory landscape, to differentiate themselves from fintechs. The key is to combine the best of both worlds: the agility and innovation of fintechs with the credibility and resources of established institutions.
The key is to combine the best of both worlds: the agility and innovation of fintechs with the credibility and resources of established institutions.
There is no single ultimate idea when it comes to vendor selection. The industry experiences different trends and developments, leading to varying approaches.
There has been a shift in the approach to software and digitisation in the wealth management industry. Initially, the focus was on minimising software vendors and databases, but then APIs emerged as the way forward. However, integrating different data formats became a challenge. What are your thoughts on this?
The approach to software and digitisation in wealth management is constantly evolving. There is no single ultimate idea when it comes to vendor selection. The industry experiences different trends and developments, leading to varying approaches. Sometimes there is a shift towards minimising vendors, while other times there is a preference for more specialised vendors. As for integration, it can work well if properly managed, but it requires both sides to stay updated and communicate effectively. We often see partnership arrangements between companies, which can bring benefits such as shared responsibilities and avoiding the risk of relying too heavily on a single vendor. However, it is important to consider the potential challenges and complexities that may arise from such arrangements with particular emphasis on the dependencies of the chosen vendor.
About Alexandra Gray
Alexandra Gray is a vital part of the technology department in a leading financial services organisation. She supports the company by working closely with prominent industry players, both big and small. Alexandra's primary responsibility revolves around assessing and integrating organisations that the firm acquires. Her expertise spans from the initial transaction idea to execution and the subsequent operational processes.
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