3 Ways Wealth Managers can Unleash the Power of Their Data

In an article for ThinkAdvisor, I discussed how the role of the traditional financial advisor is undergoing a profound transformation centered on data and technology. Still, many advisors are unprepared to meet the rapidly emerging digital expectations of their clients. In a new survey from Broadridge and ESI Thoughtlab, The Next-Generation Wealth Advisor, financial advisors admitted to several critical shortcomings:

• 43% stated they couldn’t offer more life-event, holistic planning services
• 74% didn’t know how to use data or analytics to qualify client preferences
• 90% weren’t equipped to use artificial intelligence (AI) to help deliver a client service or message

Advisors are already experiencing data’s dominance firsthand as they consider portfolio performance, volatility, fee calculations and other metrics. Offering them a data-driven path to acquiring and managing successful relationships can accelerate their tech transformation and, at the same time, enhance recruitment and retention efforts.

Here are three ways to unleash the power of your data right now:

1. Data aggregation. Advisors can’t work without comprehensive, reliable data. By consolidating information from thousands of sources, advisors and clients gain a comprehensive view of assets across custodians. The result: improved decision-making and better selections. A data aggregation, reporting and analytics solution can provide this type of holistic view of holdings and activity.
2. Data access. Inaccessible data detracts from the client experience and makes the advisor’s task more difficult. A centralized, integrated platform for sales data, commissions, earnings, news and alerts provides a complete picture. Advisor Desktop Solutions improve productivity through better tracking of sales data, commissions and portfolio adjustments right from the advisor’s desktop.
3. Data insights. Wealth advisors can grow their base of clients faster by tapping into the power of proprietary data, advanced analytics and AI to help identify, engage, nurture and close prospects. A cognitive marketing platform provides advisors with the insights they need to deliver the personalized customer experience investors demand.

Count on data

To meet clients on their own terms, advisors must know virtually everything about their portfolios and personalities. The payback can be significant, but getting there requires accessing data both internal and external to your firm – and putting it to work.

Machines alone are no match for a data-enabled, next-gen advisor who blends personal and professional experience with digital intelligence to win not only the hearts and minds of their clients, but also their own personal “race against the machine.”