Convergence and simplicity
The possibility of increasing investor engagement in this way illustrates the importance of the two key themes highlighted in my last blog: the power of convergence and the need for simplicity.
First, bringing together behavioral insight and financial advice is a perfect example of how the power of convergence is reshaping wealth and asset management.
Second, acquiring behavioral insights from external providers will help investment firms avoid spending heavily on trying to emulate the technology specialists. Instead firms can concentrate on the areas in which they truly excel.
This would be a win-win situation for investment firms and technology companies alike. And it would be hugely positive for investors across the globe.
But above all, it would show that technological disruption is not something for the investment industry to fear, but something to get excited about.
This blog is part of a series from Mike Lee on convergence in wealth and asset management.
Rather than fearing tech’s power, wealth and asset managers should collaborate with tech firms to seize new opportunities.