A Wealth of Information: Advantages of Choosing the Right Wealth Management Solution

The volatile nature of investments and variation across client goals are leading more and more wealth management professionals to adopt digital solutions to effectively manage their client relationships across their entire book of business.

Wealth management IT spending reached $5.7 billion in 2016, and is expected to reach approximately $7.5 billion by 2020. New technologies are changing the way wealth managers operate. At the same time, the most successful wealth managers are taking note of the changing needs of their clients. Modern clients want to play more than a passive role in their own finances, with 63% of clients stating that they would like better collaboration with financial advisors, and 76% of clients would appreciate the ability to get a holistic view of all of their accounts.  

Technology is making it possible for wealth managers to address these needs, and CRM-based wealth management software is providing the greatest advantage.

CRM enhances modern wealth management.

For many investment clients, up-to-date technology is a must. According to Forbes Insights, 31% of clients under 50 would leave their wealth manager if the technology used was inadequate. Likewise, 67% of clients prefer advisors who offer mobile apps and other interactive tools.

Traditionally, the tools associated with wealth management were peripheral at best — multiple databases, siloed information, spreadsheet programs, and so forth. Modern wealth management software programs need to be able to provide advisors with a 360-degree view of their clients, and to do so in a way that is reliable and accessible. To achieve this goal, the top wealth management firms rely on CRM technology, and take advantage of the benefits associated with a cloud-based platform.

CRM technology can help wealth managers stay focused on the needs of their clients. It provides a single, unified pane of glass through which client and prospect contact information, financial account details, and other vital household and goals data can be stored and analyzed. At its heart, CRM is about client relationships and data. And given that wealth management professionals are generally tasked with interpreting data and providing personalized advice to their clients, CRM software for wealth management is an obvious match.

CRM wealth management software reduces costs associated with data capture and analysis, increases advisor productivity, and frees up time to focus on strengthening client relationships. With a CRM tool in place, advisors can collaborate across departments and teams to effectively grow their book of business. Additionally, superior CRM solutions give wealth management professionals the insights they need to deliver personalized advice at scale, locking in client trust across broader household and relationship networks in the process. Altogether, these advantages give firms a competitive edge over others that have yet to embrace a high-touch relationship platform that showcases a full 360-degree view of each and every client — including their financial account data and relationship networks.

Given that approximately half of advisors don’t use any form of account aggregation software at all, those who commit to an effective wealth asset management software will find themselves remaining competitive in an industry with multiple new entrants. That said, there are still a large number of wealth management technology options from which to choose, and selecting the right one can be a difficult prospect.

What should you consider when comparing wealth management software?

In wealth management, the stakes are always high, which means that committing to an individual wealth management software option carries significant risk. While researching possible solutions, wealth management professionals should consider these important factors:

  • Robust Partner Ecosystem
    The right web-based wealth management software offers direct integrations to a robust partner ecosystem. By operating completely through the cloud, without any need for local hardware or software, a CRM platform avoids many of the compatibility issues associated with standard wealth management technology.

    Firms can bring in extended client information such as held-away data all within a single platform, so wealth managers can have a complete view of every client across their entire book of business.

  • Advisor Collaboration
    Cloud-based CRM allows multiple users to access and manage the same data in real time. This is possible because the data itself is being stored off-site, with users connecting to the same information, regardless of channel or device. Real-time data processing ensures that wealth management professionals are always working with the most up-to-date client information, and that every person who works with a client has access to the same vital data.

    The result is a highly efficient, unified client service, which is particularly beneficial with regard to wealth management accounting software, where lack of coordination between users could result in a dissatisfied client base and a loss of loyalty across a client’s relationship and family networks.

  • Flexibility
    Wealth management is a broad term and the advising landscape is changing drastically to meet the changing needs of its clients. Wealth management software should be flexible enough to be able to meet any and all wealth management needs, and should also be capable of being customized and configured with minimal effort, so that advisors can work the way that is most effective for them.

Effective CRM also provides the flexibility to manage regulatory compliance with confidence. As the unpredictable regulatory landscape continues to shift, advisors and firms need platforms that can help them remain compliant as changes occur across the industry.

Salesforce Financial Services Cloud for Advanced Wealth Management

Of course, none of these factors will make much difference if the wealth management software doesn’t feature the right tools to get the job done. Financial Services Cloud is built on the Salesforce platform and includes an enhanced set of features created specifically for client engagement, and designed with advisor’s needs in mind

Financial Services Cloud offers the ability to personalize client relationships at scale with rich client and household profiles that include a client’s financial life goals, relationship networks, financial accounts, and more. Plus, with key partner integrations, wealth managers can extend Financial Services Cloud to pull in held-away asset data, custodian data, and more. They can also connect their financial planning, portfolio management, and compliance systems to Financial Services Cloud to provide solution that drives productivity and helps wealth managers deepen and grow their book of business.

But the things that really distinguish Financial Services Cloud from other wealth management solutions are its data model and its commitment to innovation. With objects designed to model financial accounts, assets, liabilities, and financial life goals for both individual clients and entire households, wealth managers won’t have to spend the time or money to build custom objects from scratch.

And, with three Financial Services Cloud releases per year, users stand at the forefront of wealth management innovation. This means ongoing access to new features and enhancements designed to help advisors grow their business and remain competitive against emerging FinTechs.

Financial Services Cloud changes the game.

Wealth management is changing as an industry, and the tools that drive it are changing too. Basic wealth management reporting software is making way for advanced, CRM cloud-based technologies. As such, superior investment software must be capable of taking advantage of new technological innovations. According to “Six Ways to Grow AUM with Financial Services Cloud,” “With Salesforce Financial Services Cloud, you will identify and engage many more qualified leads and manage them through the sales cycle in repeatable, scalable, automated fashion.”

Simply put, Financial Services Cloud changes the client engagement game, and, when it comes to the wealth management industry, it’s definitely a change for the better.   



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