visimoney
TL;DR
92% of advisors would consider leaving their current firm due to bad technology, while 44% have already done so, according to a survey by wealth management tech firm Advisor360. The study also found that 65% of respondents believe their technology setup needs improvement, with bad data and a lack of automation and AI-enabled tools being the most pressing problems. Advisors are increasingly dissatisfied with the tools they have for working with clients and winning new business, with 58% saying they lost business in the last year due to bad technology. However, those who ranked their technology as state-of-the-art reported gaining new clients due to competitors’ bad technology. The research also highlighted the importance of technology in the client experience, with more than half of respondents considering their end client capabilities to be a weakness.
Key Elements:
- 92% of advisors would consider leaving their firm due to bad technology, while 44% have already done so.
- 65% of advisors believe their technology setup needs improvement, with bad data and a lack of automation and AI-enabled tools being the most pressing problems.
- 58% of advisors lost business in the past year due to bad technology, while 92% lost business in the past two years.
- Advisors recognize the importance of technology in the client experience, with more than half considering their end client capabilities to be a weakness.
The survey, conducted by wealth management tech firm Advisor360, found that 92% of advisors would consider leaving their current firm due to bad technology, while 44% have already done so. This demonstrates that advisors have high expectations for their tech stack and are willing to switch firms if their technology does not meet their needs. The research also showed that 65% of advisors believe their technology setup needs improvement, with bad data and a lack of automation and AI-enabled tools being the most pressing problems.
The study also revealed that advisors are increasingly dissatisfied with the tools they have for working with clients and winning new business. 58% of respondents said they lost business in the last year due to bad technology, while 92% have lost business in the past two years. On the other hand, 93% of respondents who rated their technology as state-of-the-art reported gaining new clients due to a competitor’s bad technology.
The research highlighted the importance of technology in the client experience, with more than half of respondents considering their end client capabilities to be a weakness. The report found that new client onboarding is an area of high priority for improved efficiency. Advisors’ approach to technology is driven by a desire to connect and communicate with clients of all ages, with 61% of respondents saying that video conference calls are more effective than in-person meetings with younger clients, and 85% saying that in-person meetings work better for older clients.
Access to social media tools at work is considered “non-negotiable” by all advisors, but there is disagreement over which applications are must-haves. Six out of 10 want access to either LinkedIn or Twitter, while more than half consider Facebook important. Surprisingly, only 48% of respondents want work access to YouTube, despite investors giving YouTube high marks for advisor usage in a previous survey.
Overall, the research highlights the importance of technology in attracting and retaining advisors. Providing an integrated, automated platform experience is essential for enterprises that prioritize attracting and retaining advisors. The right technology choices, together with clean data, can unleash productivity and revenue growth. Technology partners that are forward-thinking and able to satisfy multiple generations of investors and advisors are crucial for firms to tap into the full potential of technology.
