How Wealth Managers Are Using Technology To Understand Their Clients Better

How Wealth Managers Are Using Technology To Understand Their Clients Better 1

The dynamic playing out across the banking landscape—from retail to non-public wealth management—is one where generation-driven offerings and systems increasingly define the brand and the non-public relationships underlying the commercial enterprise. Services had been changing because of the advent of digital structures and technology deployment like artificial intelligence. Now wealth managers must heed clients’ needs and prospects for platforms and insights that replicate their lifestyle and dreams.

How will financial products and services alternate because of AI? To answer that question and others for a brand new report titled “The Next-Generation Wealth Manager,” Temenos and Forbes Insights surveyed over three hundred wealth control executives and over 100 high-net-worth people (HNWIs) about their perspectives on the era.
Almost half (forty-five %) of wealth managers stated that financial steering from information analysis—and insights from using AI—will assist them in refining the advice they give to clients. And 36% stated customers would be capable of seeing their investments with more readability due to AI.

Customer Data

Mobile systems are converting with the generation, and the amount of statistics coming out of the platforms that wealth managers can use is growing. A service supplied to clients of U.S. Bank that aggregates external economic money owed lets the institution get a broader attitude of a client’s situation. “This lets in our advisors to peer all the one’s debts via our CRM, and it refreshes on a normal basis,” said Gailyn Johnson, the chief working officer of U.S. Bank Wealth Management. “It also seamlessly feeds into our financial planning software. So our customers can see their complete monetary existence—and we use some of AI gear around the statistics we’re collecting to gain insights into our clients’ economic needs.”


Johnson additionally factors to what-if situations that HNWIs can run at the bank’s cellular app to peer the impact or feasibility of spending right away, without consultation. “What if they want to buy a 2nd home or a brand new vehicle? They can go browsing and fast determine how a brand new buy could impact their typical monetary image,” she explained. “It’s interactive, and it’s additionally related to their marketing consultant, who will get an alert that a client is inquiring concerning their plan.”

Prospective Clients

Eight in 10 wealth control executives in the survey noticed era as a good-sized or especially significant thing in whether a wealth manager can advantage marketplace proportion, considerably amongst younger investors, who are rising in importance. Openbank is an amazing example of a wealth supervisor putting in place a scalable and customizable virtual platform that makes the firm an “all-in-one save,” stated Gonzalo Pradas, head of wealth management at the enterprise, an online local formed in 1995 by way of Santander that approaches its enterprise via segmenting and grouping its clients by way of desires and behaviors—not internet worth.

“They count on carrier tailor-made to their lives, and we do it thru era and partnerships,” Pradas said. “We do no longer want to do the entirety with the aid of ourselves; we’re now not right in the entirety. We need to be exact in client engagement. We should be excellent in placing the quality merchandise and first-class services in front of our clients. And for that, we can also associate up with the great around the sector.” Openbank’s customers have to get entry to a provider-managed in partnership with BlackRock, for example.

Almost 60% of executives surveyed said that expertise with technology would be crucial for wealth managers to prevail. That’s because era experts recognize how generation could make ordinary approaches, including onboarding, extra efficient. “Technologies are releasing advisors from the one’s repetitive responsibilities,” Johnson said. “Now they’re capable of spending extra time offering unique insights based totally on what each customer wants to do. It’s truly approximately being more proactive and turning into lifestyles educate who thinks ahead and offers answers for them to satisfy their goals.”

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