Scottish Widows Platform has integrated with end-to-end investment suitability software tool Oxford Risk Investor Compass.
The integration will help advisers match their clients to tailored investment options.
Built on behavioural finance technology from Oxford Risk’s team of experts, the tool assesses customers’ financial circumstances and risk capacity; preferences for responsible investing; and investment knowledge and experience.
It can determine an investor’s ‘financial personality’ through psychometric testing, which measures willingness and ability to take investment risk and tracks investors’ emotional resilience throughout the investing journey.
An advanced algorithm establishes risk tolerance and capacity, allowing advisers to better understand client behaviours and attitudes towards responsible investing.
The assessments are brought together in a suitability report, which enables advisers to steer their clients towards the most appropriate investments, Scottish Widows said.
The tool also provides data and management information for behavioural client segmentation and targeted sales.
Ross Easton, head of intermediary platform propositions at Scottish Widows, said: “Addressing the advice gap is a top priority for us, and integrating such a well-regarded and pioneering tool as Oxford Risk’s Investor Compass will help advisers improve investor engagement and demonstrate how they can add value for clients.
“This is the latest integration into the Scottish Widows Platform, part of our broader strategy and commitment to invest in the best technology for our advisers. All our platform integrations and tools support advisers with advanced solutions to make their lives easier, increase productivity, and lead to better client outcomes.”
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