the rise of new wealth - amazon s3...favor primarily digital media such as email, webex, texting,...
TRANSCRIPT
THE RISE OF BIONIC WEALTHTEMENOS COMMUNITY FORUM
MAY 2016
INTRODUCTIONS
Bruce RogersChief Insights Officer and Head of the CMO Practice, Forbes Media
BACKGROUND & OBJECTIVE
WHO WE SURVEYED
66%
34%
Wealth Manager vs. Individual Investor
Wealth Manager Individual Investor
75%
25%
Age
Under 50 50+
CHANGES IMPACTING THE INDUSTRY
CHANGES IMPACTING THE INDUSTRY
CHANGES IMPACTING THE INDUSTRY
Assets under management by robo-advisors are estimated to increase 68 percent annually to about $2.2 trillion in five years, according to a forecast by A.T. Kearney
CURRENT STATE OF COMMUNICATION
12%
4%
39%
10%
34%
Primarily face-to-face meetings
Primarily phone calls
A mix of face-to-face and call-based meetings
Primarily through digital media such as email, WebEx,texting, screenshare, video conference, etc.
A mix of digital interaction, face-to-face meetings andphone calls
How do you communicate with your clients?
CURRENT STATE OF COMMUNICATION
9%
6%
51%
14%
20%
Primarily face-to-face meetings
Primarily phone calls
A mix of face-to-face and call-based meetings
Primarily through digital media such as email,WebEx, texting, screenshare, video conference, etc.
A mix of digital interaction, face-to-face meetingsand phone calls
How do you communicate with your wealth manager?
IMPORTANCE OF THE HUMAN ELEMENT
Discussions related to portfolio strategies and asset allocations strategies are almost all virtual communication at this point. Where we still see the desire for in-person interaction even in the younger generation is on the planning level. When clients are ready to sit down and talk about three-, five- and 10-year time horizons, the face-to-face meeting is still often very valued.”
- Gregory F. Gatesman, COO, Julius Baer Group
IMPORTANCE OF THE HUMAN ELEMENTof clients surveyed say that the digitization of wealth management services is good overall, but they still want to meet often with my advisor.
say that digitization is essential and that they want 24/7 access and a real-time view of investments.
feel that a mix of digital interaction with face-to-face meetings and phones calls is the ideal way for them to communicate with their advisors
favor primarily digital media such as email, WebEx, texting, screenshare, and video.
62%
1/5
21%
14%
The Future of Robo-Advisors
21% 30% 34%
are unaware of robo-advisors
believe robo-advisors are “essential because
technology is the best way to manage a portfolio.”
say that robo-advisors are good overall, but that some
human involvement is important in investing
WHAT’S THE LESSON WITH CHANGING TECHNOLOGY?
Channel and Services
Diversification
WHAT DO CLIENTS VALUE?
31%
23%
29%
31%
11%
20%
Level of experience
Digital communications platform
Ability to have a global perspective
Insights on financial markets and solutions
Ability to educate me on financial matters
Social media presence of wealth manager
How important are the characteristics in a wealth manager?
AND WHAT PROMPTS THEM TO LEAVE?
11%
26%
34%
31%
17%
63%
46%
34%
11%
I don’t need wealth management servicesFriends and peers recommending other wealth managers
My investment approach is differentThe technology used by the wealth manager is inadequate
Limited servicePoor investment performance
The departure of key wealth management staffLack of transparency and limited control
I can’t think of a reason to leave
What would prompt you to leave your wealth manager?
KEY TAKEAWAYS
Clients will not select or leave their wealth manager based on communication platform
Clients want performance, insight, and education
Firms must invest in technology to enhance communication, but it cannot replace the trust formed through human relationships
QUESTIONS?TEMENOS COMMUNITY FORUM
MAY 2016