EY - Global IT in Wealth Management Survey 2014

Digital disruption and the game-changing role of technology in global wealth management

IT in Wealth Management 2015

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Wealth management is changing. Multiple forces such as tighter regulation, fast-paced customer demands, market shifts, unconventional foes and disruptive technologies are creating a new playing field for wealth managers.
 

Within this new playing field, the role of technology is shifting. Technology has always been at the heart of how wealth managers do business. In the past, wealth managers have targeted their investments at the back- office, driving efficiencies and cost reductions. The emergence of digital technologies for delivering services is forcing wealth managers to invest in their front-office digital capabilities or run the risk of falling behind.

This much is certain: Wealth managers are left with no choice but to strategically invest in their IT. These IT investments are needed to modernize core banking platforms built around legacy technology and to improve the client experience through digital capabilities. The multiplication of channels for doing business will require larger outlays on technology than in the past.

The smart application of technology is turning into a source of competitive advantage, providing ample opportunity to level the playing field and to leap-frog the competition, for those that are prepared. IT will take on a much more leading role in driving business change towards digitization.
 




Digital channels can offer a very compelling client proposition at a much lower cost than traditional face-to-face interactions. As clients are increasingly tech-savvy and willing to engage on digital channels, wealth managers are left with no choice but to invest into their digital channel capabilities to win and retain customers.