Too many technology systems are confusing wealth managers, according to new research from Avaloq.
The study of over 400 wealth managers globally found that one in three (33%) wealth managers in the UK use 10 or more different technology systems to perform their day-to-day tasks, while 86% rely on four or more.
However, a third (33%) of UK wealth managers said they struggle to find the information they need from their current technology systems, while 44% view their systems as outdated.
Avaloq said UK wealth managers have more fragmented tech set-ups than their global counterparts, with around a quarter (24%) of wealth managers worldwide using 10 or more systems.
When asked to identify their biggest technology pain points, wealth managers across the UK and worldwide highlighted issues linked to the use of too many systems, including technology taking too long to learn (38% UK; 38% global), problems with inconsistent availability of data across platforms (53% UK; 47% global), and the need to use too many systems to complete a single task (53% UK; 48% global).
Unnecessary functionalities were also cited (49% UK; 41% global) as well as unclear or unintuitive navigation (53% UK; 50% global).
Suman Rao, managing director for the UK and Ireland at Avaloq, said: “Wealth managers in the UK and around the world are relying on too many different, outdated technology systems and that is creating a lot of extra work.
“These inefficiencies impact wealth managers’ ability to serve clients efficiently. They need to adopt a more unified approach focused on one integrated system that can streamline processes, improve data access and support them in their day-to-day roles.”
Rao says that by consolidating technology into a single platform, wealth managers can reduce complexity and gain a clearer view of client data.
“This will not only improve efficiency and accuracy but also free up valuable time to focus on building stronger relationships and delivering a better client experience,” Rao added.
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