Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Front End
iress.com
Andrew Foster
Head of Private Wealth Management
September 2016
What can we do to improve the
customer ...
Current state Influences
Improving
customer
experience
Discussion themes
iress.com 3
Current state
iress.com 4
Conflicting expectations?
Regulator:
Information
Visibility
Expertise
Consistency
Documentation / evidence
Cli...
iress.com 5
Change is a constant
• Digitalisation
• New entrants and
business models
• Client focus and
retention
• Talent...
iress.com 6
£10m+
£1m -10m
£250k - 1m
£50k - £250k
• Cash
• Group pensions
• Personal
pensions
• ISAs
• UK equities
• Unit...
iress.com 7
Influences
iress.com 8
69% Baby Boomers Retiring
Every day in the US.
Changing market
10,000
More likely to feel
confident that they
...
iress.com 9
7.6bn
Online advice
Consumers seek
financial advice online
Digital
Banking
transactions
Online
Mobile phones
A...
iress.com 10
Changes to advice model
• Handles high
complexity and
inter-dependent
strategy decisions
• Comprehensive
feat...
iress.com 11
• Advisory Services
• Investment Services
• Research
• Portfolio Management
• Market Data
• Trading
• Order M...
iress.com 12
Complex operating models
Business models have evolved through regulatory censure and reform, market
structure...
iress.com 13
Putting it all together
Regulator:
Information
Visibility
Expertise
Consistency
Documentation / evidence
Clie...
iress.com 14
Improving the
customer
experience
iress.com 15
Client centred architecture
Connectivity
Account
opening STP
Trade mgmt
Mortgage
tracking
Forms
Advice
Produc...
iress.com 16
Servicing multiple channels
Compliance & Risk Management
ONLINE
Know your client / Attitude to Risk / Capacit...
iress.com 17
Digital – it’s not just about the advice
iress.com 18
Video and call enabling
iress.com 19
Starting out in self-directed
James, 26
Just got a new job with a big pay rise. He’s decided to get serious a...
iress.com 20
Digital Advice Delivery
iress.com 21
Same solution, different skin
Unified financial
services technology
iress.com
@iressuk #wemakeithappen iress.com
From the smallest independents to the l...
Upcoming SlideShare
Loading in …5
×

Front End: What can we do to improve the customer experience?

906 views

Published on

How can Wealth Managers improve the front end customer experience for their clients?

Published in: Economy & Finance
  • Be the first to comment

Front End: What can we do to improve the customer experience?

  1. 1. Front End iress.com Andrew Foster Head of Private Wealth Management September 2016 What can we do to improve the customer experience?
  2. 2. Current state Influences Improving customer experience Discussion themes
  3. 3. iress.com 3 Current state
  4. 4. iress.com 4 Conflicting expectations? Regulator: Information Visibility Expertise Consistency Documentation / evidence Clients: Information Attention Access The ‘right’ outcome Reasonable cost Performance Wealth Managers: Profitability Efficiency Lower costs Increased revenue Managed risks Predictability
  5. 5. iress.com 5 Change is a constant • Digitalisation • New entrants and business models • Client focus and retention • Talent scarcity • Platform rationalisation • Market consolidation Market disturbance • Re-entry of banks • Vertical integration • Automation • Advice consistency • Cost and revenue pressure • Regulator encouragement • Changing demographics • Digital expectation • Trust and security • Channel preferences • Advice v. guidance • Omni-channel experience • Differentiation by segment • Restoration of Trust • Suitability • Price / cost transparency • Flexibility Client expectations • Increased intrusion • MIFID II • FAMR • CRS (Common Reporting Standards) • SMR (Senior Managers Regime) Regulation change • Pensions Freedoms • FATCA • CRD IV • RDR – fee transparency and sunset clause • Data protection regulation • Innovation • Greater use of data e.g. pension dashboard / banking APIs • Entry of tech players to market Technology driven • Ageing and complex legacy systems • Under investment • Consolidation • Info sec • New models • Insource v outsource
  6. 6. iress.com 6 £10m+ £1m -10m £250k - 1m £50k - £250k • Cash • Group pensions • Personal pensions • ISAs • UK equities • Unit trusts / OEICS • Large Cap • Balanced • Passives • Annuities • Protection / Insurance • SIPPs • Unit Trusts/OEICS • Small-mid cap sectors • Emerging Mkts • On-shore bonds • Off-shore bonds • Income drawdown • FX • Established market equities • ETF’s • Structured products • Hedge Funds • Derivatives • Property funds /collectives • Private placement • Global equities • Trust planning • Fiduciary services • SME: value extraction • Specialist tax advice • Cross border strategies • “Team of experts” (legal etc) • Comprehensive financial planning (Ongoing) • Pension consolidation • Tax advice • IHT / Estate planning • Financial planning (One off) • Simplified / Focussed advice • Guidance and information • Retirement planning • Post-retirement planning (50+) • Child savings MassAffluent Product needs Financial advice needsAssets HighNetWealth (HNW) Ultra- HNW Participants are typically found to operate across client segments and therefore client needs. This requires flexibility and capability across product and service propositions, frequently a challenge with legacy technology. Complex business models
  7. 7. iress.com 7 Influences
  8. 8. iress.com 8 69% Baby Boomers Retiring Every day in the US. Changing market 10,000 More likely to feel confident that they can achieve their life goals if they have a written plan in place, compared to no plan. 3x Consumers Seek financial advice from sources other than a financial adviser. More in retirement savings of the advised to the non advised.173%
  9. 9. iress.com 9 7.6bn Online advice Consumers seek financial advice online Digital Banking transactions Online Mobile phones Across the world, exceeding the number of people in the world Expect customer facing staff to have a single view of them in real time70% 41% 85%
  10. 10. iress.com 10 Changes to advice model • Handles high complexity and inter-dependent strategy decisions • Comprehensive feature set • Advice provided with adviser and client together, facilitated by technology • Engaging experience, less complex • Fast & highly repeatable, but less flexible • Non-advice • Highly brand-able and configurable • Integration to Product Manufacturer • Highly brand-able, consistent language and presentation with brand • Simple advice problems and options • Built for scale, so want to ensure limited need for human help • Very simple calculations & problem solving – easy to understand • Tightly linked to human support channel who have same view (screen share) Holistic Advice Guided Advice: Face to Face Execution only Self-directed “Robo” advice Guided Advice: Phone / Online Full Service No service Advice models have evolved and increasingly cover a breadth of different propositions, often with multiple forms in the same organisation.
  11. 11. iress.com 11 • Advisory Services • Investment Services • Research • Portfolio Management • Market Data • Trading • Order Management • Analytics • Client Management • Research • Business Automation • Financial Planning • Goals based planning • Access to investment products • Digital access • Robo Integrated wealth management Integrated Wealth Client Management Advisory Services Discretionary Management Execution Only Financial Planning Consolidated reporting Access to specialist services - e.g. Tax Digital servicing Robo Broking Advice A large and growing number of participants now provide a range of services. These span execution only, private asset management, advice, digital servicing… and usually span multiple legacy systems.
  12. 12. iress.com 12 Complex operating models Business models have evolved through regulatory censure and reform, market structure, client expectation, and revenue pressure. The operational demands of an integrated wealth model are complex and increasingly evident. Outsourced Service Provider Robo AdviceExecution Only Lombard Lending Discretionary Investments Tax Specialist Digital Servicing Consolidated Client Reporting Retail platforms Discretionary Management Estate Planning Advisory Fiduciary Financial planning Legacy manufacturers Integrated Wealth Manager
  13. 13. iress.com 13 Putting it all together Regulator: Information Visibility Expertise Consistency Documentation / evidence Clients: Information Attention Access The ‘right’ outcome Reasonable cost Performance Wealth Managers: Profitability Efficiency Lower costs Increased revenue Managed risks Predictability
  14. 14. iress.com 14 Improving the customer experience
  15. 15. iress.com 15 Client centred architecture Connectivity Account opening STP Trade mgmt Mortgage tracking Forms Advice Production Modelling Strategy engine Documentation Disclosure Wealth Management Reporting Modelling / Rec’s Aggregated holdings & history Tracking Professional Research Insurance Retirement savings Mortgage Investment Qualitative & Quantitative Client Digital Secure Fact find Self-discovery Portfolio & progress checking Online reporting Compliance Management Alerts & checks Audit & history Consistency Revenue Management Disclosure Business mgmt. Fee collection & Payments Client & CRM
  16. 16. iress.com 16 Servicing multiple channels Compliance & Risk Management ONLINE Know your client / Attitude to Risk / Capacity for Loss / Fact Find / Gap Analysis Advice Preparation Advice / Investment Recommendations CLIENT DIGITAL FACE TO FACEPHONE Automated Advice Servicing
  17. 17. iress.com 17 Digital – it’s not just about the advice
  18. 18. iress.com 18 Video and call enabling
  19. 19. iress.com 19 Starting out in self-directed James, 26 Just got a new job with a big pay rise. He’s decided to get serious about saving for a house deposit with his girlfriend as they moved in together and the rent is expensive. How much do I need to save? Where should I be investing my money? Is this the right investment mix? What’s the right investment option for me That looks good. Can you set it up for me? DOMYSELF IRESS XPLAN CLIENT ONLINE DOWITHANADVISOR SELF DIRECTED Instant message Would you like to speak to someone? Phone or face to face Email prompt Set up an investment account online How am I tracking towards my goal? Email out Advice docs + link to portfolio
  20. 20. iress.com 20 Digital Advice Delivery
  21. 21. iress.com 21 Same solution, different skin
  22. 22. Unified financial services technology iress.com @iressuk #wemakeithappen iress.com From the smallest independents to the largest multi-national players, we’re enabling advice firms to achieve their ambitions.

×