How Digitalisation Transforms the Wealth Management Industry

Transcription

1 How Digitalisation Transforms the Wealth Management Industry Yuri Willyono Market Development Manager, Wealth Refinitiv 1

2 Digitalization in other industries Supermarket 2

3 Today s users expect the same customer experience from financial institutions as they do from all their other digital applications.

4 Disruption in Wealth Management Industry Presenting opportunities for Wealth Managers to transform their business Clients EVOLVING CLIENT NEEDS Advisers CHANGING ADVISORY TRENDS Robots EMERGING TECH DISRUPTION Sources: Acceture, Deloitte, Capgemini 4

5 Evolving Client Needs the Re-Wired Investor New Generation of Investors Mentalities of Re-Wired Investor Just me Stay in control Bespoke Implications for WM Firms Investment advice and products perceived to be tailored to individuals one at a time Do it yourself Digital & Personal Skeptical of Authority Anywhere, anytime Wisdom of my tribe Not a Second Class Investor Multi-Channel Access to multiple channels and several advisory models at the same time Multiple sources of advice Not just from advisor, but from other advisors, peers, experts, social media Rich digital front end Expectations form interacting with non FIs, must be simple, intuitive, selfdirected Democratization of Investments Access to same high yield assets & strategies once available only to wealthier investors Source: Deloitte 5

6 New Entrants New Generation of Wealth Management Providers 6

7 In Asia Pacific Customers are independent and expect digitally-enabled advice... 90% OF APAC CUSTOMERS ARE WILLING TO USE DIGITAL WEALTH MANAGEMENT 87% CONSIDER THEIR INVESTMENT ACTIVITY TO BE SELF-DIRECTED while still valuing the human touch APAC CUSTOMERS WANT ADVICE-DRIVEN PRODUCTS & SERVICES AND CONSIDER THEIR PERSONAL RELATIONSHIP A TOP LOYALTY FACTOR Source: Accenture 7

8 Nature of Advice Changing Advisory Trends the Winning Model More complex needs (eg. Tax & Estate, Multi- Currency, Assets/Liabilities, Esoteric Investments) Human Advice The winning model is a hybrid model (except at the 2 ends of the client wealth spectrum) More simple needs (eg. Asset allocations, Stock Selection) Automated Advice Client Wealth Spectrum Source: Deloitte 8

9 Emerging Tech Analytics & Big Data Putting the AI in wealth management data Data Connections The first step towards integrating AI in wealth management involves firms leveraging the data they have. Intelligent Tagging TRIT used NLP, text analytics and data-mining technologies to filter and classify volumes of data. Knowledge Graph The Knowledge Graph feed helps with data relationships, discovery, and exploration needs across a range of business requirements.. 9

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11 Going Digital A Case Study

12 Case Study DBS Journey of going Digital The Wealth Industry is transforming When asked who he sees as DBS s main competitors, CEO Piyush Gupta replied Google and Alibaba 12

13 Case Study DBS Empowering End Clients DBS iwealth App Clients can conduct their banking transactions, manage wealth and trade on a single platform First in Singapore Today, 92% of equity transactions are done digitally DBS has leveraged on data analytics to reach out to customers with relevant messages at the most suitable time and place Powered by Refinitiv Data Empowering clients with quick and intuitive access to services, product information and research Timely notifications and price alerts for clients to keep track of their portfolio 13

14 Case Study DBS Journey of going Digital DBS Goal is to be the D in... D L 14

15 Global Wealth Growth One clear trend: Wealth is growing Global Investable Assets held by affluent individuals ($trillion) Asia Investable Assets held by affluent individuals ($trillion) +7.4% % Number of affluent individuals (1,000s) Number of affluent individuals (1,000s) 71, ,831 8,386 17,581 Source: The Boston Consulting Group 15

16 Thank you Yuri Willyono Market Development Manager - Wealth ASEAN Phone: Mobile: yuri.willyono@refinitiv.comfinitiv