8 Wealth Management Lessons Learned From Arizent’s Latest Tech Research

As technology continues to transform the financial services industry at breakneck speed, wealth managers are striving to not only keep pace, but to stay ahead of the pack.

Future-proofing your business requires a concerted effort and a solid technology strategy designed with an eye on the future. Experts say it’s about recognizing the kind of technology your business needs and leveraging those tools to craft a digital transformation plan that won’t need to be torn apart or redesigned six months later.

“Having a plan is essential. Technology has this way of sneaking up on you in the sense that it’s not a problem until you’re like, ‘Oh my God. I have a problem,” said Kyle Wiggs, founder of UX Wealth Partners, a turnkey AI-powered asset management platform for financial advisors. He added that his company recently polled independent advisers to ask if they felt having a chief investment officer or a chief technology officer was more critical in the current climate.

“The vast majority and by a landslide was having a CTO, which tells us a lot,” Wiggs said. “First, it tells us that (advisors) are less confident in technology than in investments. And I think it also speaks to the importance of the place of technology at the same time… the world is changing so fast. How do you keep up with the times unless you have infinite resources? »

But just having the desire to improve isn’t enough to be successful, as there are a number of challenges to consider when adding new tools to your stack. Chief among them are integration issues and knowledge limitations among clients or staff.

“There are traditional businesses we work with that are still doing things like invoicing by hand and not maximizing their business efficiency, so it’s vitally important now, more than ever, to be able to put in a situation where you are proactive about your tech stack,” said Brad Roth, co-founder and chief investment officer of THOR Financial Technologies, an AI-powered model wallet provider with $1.2 billion in assets under deliberation. “We’ve seen this emerge in the fintech space, and there are so many options. So being able to create a network of all these different products on your own and really understand how they work together and how they’re going to work for you is a challenge.

“There’s a lot of really great new technology out there that’s a lot lighter, a lot faster, a lot more open source to allow for more integration. But if you’re not proactive with some of these things and don’t look at them not really, it can be hard to keep up.

The formula for developing a technology strategy that both meets your business needs today and withstands the uncertainties of tomorrow is tricky to find and far from unique. Getting it right means advancing innovation, driving business growth, and preventing your organization from being left behind.

But what do you stand to lose if you are wrong?

New research conducted by Arizent, the parent company of Financial Planning, explores the state of digital transformation in various industries to identify the factors essential to developing a future-ready technology strategy. Insights from management professionals and decision makers provide a framework to help organizations understand if they are implementing best practices and using technology effectively to achieve the best results.

Here are eight takeaways from the search results. The full report can be found here.