Maintaining momentum in wealth


In 2012, global wealth rebounded, finally surpassing the asset levels that were reached before the financial crisis. Capgemini and RBC Wealth Management’s latest annual World Wealth Report confirmed that last year global investable wealth growth was led by high net worth individuals (HNWIs), which expanded in wealth and number by approximately ten per cent, amassing total assets of US$46.2 trillion.

Wealth management firms must focus on building trust with their clients to sustain the record wealth levels that were achieved in 2012. Rebecca Lambert speaks to Microsoft’s Rupesh Khendry about how Dynamics CRM can help.
In the report, Capgemini and RBC Wealth Management largely attributed this renewed growth to a global recovery in the equity and real estate markets, but they also highlighted that HNWI confidence in the wealth management industry has improved. Over 60 per cent of HNWIs claimed that they had a high degree of trust in both wealth managers and their firms in early 2013, up four and three percentage points respectively from the year before.
Although the World Wealth Report predicts that we are unlikely to see wealth levels continue to rise at the same rate again this year, M. George Lewis, group head of RBC wealth management and RBC insurance, claims that “further growth lies ahead if trust and confidence in the market increases.”
So how can firms continue to build trust with their clients and maintain the overall momentum that the industry realised in 2012? According to Rupesh Khendry, Microsoft’s head of worldwide capital markets industry solutions, the answer lies in better understanding the needs of today’s wealth management clientele.
Khendry explains that clients demand a very different level of service that they were used to even just a few years ago. “Technology developments around mobility, social media and data are changing the way clients expect to interact with their wealth managers,” he says. “Clients are now used to having access to information wherever they go. Using social media sites they can share their experiences and gain advice. This means that clients are generally more aware of the investment choices they can make on their own. So they expect their wealth manager to be able to provide deep insight and add value by offering customised solutions as opposed to selling them standard products.”
Ultimately, this means that wealth advisors need access to the same types of tools their customers are using. But even more importantly, these tools need to be linked to the enterprise to give them all the information they need – particularly when it comes to gaining a comprehensive view of client preferences, life changes, as well as investment holdings – to provide the best customer service possible.
In an era of information overload, firms need to be able to leverage technology to analyse market and customer data, detect patterns and offer compelling client experiences that improve advisor productivity and client loyalty. According to research from TowerGroup, during the course of this year, wealth management firms have been focusing on improving the advisory experience. As part of this, they are looking to enhance data aggregation for client reporting, enable advisors with social media strategies and content, and optimise the use of tablets for onboarding and client presentation delivery.
Microsoft has just recently launched the latest version of its customer relationship management (CRM) solution Dynamics CRM 2013. First and foremost, this tool is designed to deliver a holistic view of the customer and customer service functions. Along with providing advisors easy access to centralised customer information, Microsoft Dynamics CRM enables firms to measure the effectiveness of marketing programmes and business development activities. What’s more is that it works as a natural extension of Microsoft Office Outlook and other Office system applications that people commonly use every day.
Updates to Microsoft Dynamics CRM 2013 include a refreshed interface, which presents all customer information on one screen, and an outcome-driven user experience with processes that can be tailored to accommodate particular business requirements. Microsoft has also embedded Social Insights capabilities into Microsoft Dynamics CRM Online on the back of its new alliance with social intelligence provider InsideView. Social Insights puts real-time company and contact information from 30,000 sources into the CRM solution, providing professionals with all the information they need to be able to meaningfully interact with their customers and prospects.
When Microsoft Dynamics CRM is used in conjunction with a host of other Microsoft technologies, wealth managers really stand to benefit. “Working with Microsoft Dynamics CRM on their Windows 8 devices, advisors can take advantage of intuitive touch-based capabilities and see live updates about what’s going on in their portfolio,” says Khendry. “Business intelligence solutions can be used on top of it, enabling advisors to generate multiple investment scenarios and propose alternative investment vehicles to their clients. Collaboration tools such as SharePoint and Yammer can also be used to connect remote advisors for specialist meetings with clients or allow them to review material and communicate with colleagues and clients when they’re away from the office. At the same time they can run their own self- service analytics, which can be on-premise, in the cloud or a hybrid of the two.
Using this solution, advisors can gain a 360-degree view of client information and efficiently extract data. “This gives them a better understanding of a client’s historical activities and interests to help create deeper customer relationships while increasing the likelihood of referrals,” says Khendry. “Ultimately, advisors spend less time entering data and more time with clients to deliver an improved service, build better client relationships and ultimately gain a competitive advantage.”
On Windows.