The document discusses the accelerating digital disruption in wealth management, highlighting the differences in performance between high and low performers in the industry. High performers invest more in technology and outsourcing, realizing greater business efficiency and growth, while also adapting to new fintech innovations. Key questions for wealth managers focus on client expectations, learning from digital upstarts, and leveraging new fintech ecosystems.

1. Digital disruption in
wealth management
Accelerating the transformation
of wealth management through
digital technology
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High performers Low performers
Spend more on
front-office initiatives
Outsource more and get
more value through business
efficiency and growth
Have less discretionary
IT spend and extract
more value
% of total IT spend
39%
39%
54%
24%
29%
60%
How to win in wealth management
higher IT share of cost
when platform older
than 10 years
1.4x
% of business functionality provided
Total cost of ownership
Top performers also use fit-for-purpose IT platforms
5.9%
8.3%
Best-of-breed
IT platform
Off-the-shelf
IT platform
Best-of-breed
IT platform
Off-the-shelf
IT platform
What do my clients expect in terms of digital capabilities?
What can I learn from new digital upstarts?
How can I benefit from emerging ecosystems of FinTech providers?
Top performers take actions and make investments in areas
with the most impact.
60.4%
79.1%
Key questions wealth managers must ask themselves
Read the full report: ey.com/wealthITsurvey
Why incumbent wealth managers must act
Emergence of
FinTechs as
Assets under management
growth by robo-advisors every
few months
of high net-worth
clients would value
robo-advice
70%2x
New competition
Source of innovation
Collaborators
in new business
models