4 Strategies To Optimize Wealth Management With Data
Strategies from PSFK’s Digital Banking Playbook with Microsoft highlight how AI and data solutions enable wealth managers to offer better client services
While clients may sometimes seek advice from wealth managers for the human element, wealth managers can still implement technology to help things run more smoothly. PSFK’s Digital Banking Playbook, developed in collaboration with Microsoft, recommends the four strategies below to assist wealth managers in providing better service.
Offer Machine-Augmented Management
Using machine learning systems to support advisory services enables a higher quality of advice at a significantly lower cost to the firm. Wealth and asset managers who offload routine tasks, such as preliminary data collection, research and compliance adherence, to robo-advisors can focus on preparing more premium strategies and packages for each high net worth client. AI services also allow firms to offer a broader range of financial services for audiences in different income brackets.
Automate Portfolio Optimization
The pace of portfolio optimization used to rely on human effort; now, digital and algorithmic programs allow firms to respond more quickly to economic, global and market trends and optimize returns for clients. Intelligent money management systems that track contextual indicators and automatically adjust portfolios offer a more responsive level of service to clients without straining staff.
Implement Predictive Analytics
A portfolio’s performance is subject to a variety of market factors. AI services, together with predictive analytics, can track multiple macro- and micro-economic indicators, regulatory trends and social sentiments to produce insights and timely advice, which managers can leverage to make portfolio recommendations or help customers build the right financial management solutions for their lifestyle.
Promote Progressive Transparency
In order to retain top clients and gain new customer loyalty, wealth managers must reevaluate their internal operations and messaging to give customers more insight and control over their financial management. Firms should consider incorporating clearer messaging, preemptive communication, transparent fee structures and even channels for customer feedback on product development. By addressing client concerns and incorporating their ideas, firms can efficiently appropriate spending toward products and services that meet client needs.
The Digital Banking Playbook, presented in partnership with Microsoft, highlights how digital tools can augment a financial institution’s ability to optimize operations and reinvigorate the client experience. Download the free report here.
PSFK’s CXI 2018 conference brings to life key trends in customer experience through talks and activations by pioneers at well known and new companies.
Steven Dean is a designer, educator and entrepreneur focused on consumer health and wellness innovation. At his design consultancy, G51 Studio, he is involved in a broad range of projects that span business strategy, interaction and experience design, service design, and brand experience. He has designed and developed integrated user experiences for health and wellness platforms including mobile devices, networked applications and websites.