Difference and Differentiation: What next for investment platforms? - Paper - Page 14
Who is he?
(and what is he to you)?
That’s a wrap…
In the wrap segment we might see the application
of technology to streamline client-adviser-provider
interactions and facilitate the value of financial advice
by delivering wrapper, cash, and custody services
with the flexibility that meets the varying needs of the
adviser/client relationship. Something the proponents
of the ‘adviser-as-platform’ model are actively backing
and progressing through open APIs and integration
options. It will require an attitudinal shift on the role
they play in the value chain and for advice firms to
walk the regulatory walk for permissions, governance,
and oversight, and how these same firms will improve
price and value considerations for consumers.
We could then see a distillation of the platform
market where the independent wrap platforms
support advised clients as we currently define them,
and asset manager / life company backed platforms
push further into the customer segments open to
advice; often with a more vertically integrated offering
including digital/hybrid advice as well as their own
investment solutions and unique product features.
We need to talk…
The desire for better integration is a key expectation of
platform users. An FE Fundinfo survey suggested 90%
of advisers3 felt integrations were important to the
planning process. Recent Altus Consulting research
carried out with adviser firms identified some clear
priorities (Figure 9):
• Minimise rekeying between the adviser back office
system & the platform and remove/consolidate
paper from the onboarding process.
• Supply timely, accurate data for valuations and
transaction history.
• Advisers want to own client communications.
Adviser Integration Priorities
Servicing
Communication
Direct
Top-ups
Minimise rekeying
Notifications &
Events Pushed
to Client Portal
Switching /
Re-balance
Consolidated
Documents
Charges
Calculation
Transfer Updates
Illustrations
& Application
Customer
Details
Updates
Data Provision
Paperless
Onboarding
Fewer Comms
Chanels
Bulk
Valuations
Transaction
History
Model
Portfolio
Rebalance
Size indicates popularity across adviser population
Figure 9 - Relative priority for integration, independent Altus Consulting research with Advisers
3
https://www.ftadviser.com/your-industry/2023/04/17/under-a-third-of-advisers-have-active-system-integration/
14
