Closing the gap
We take all of these for granted today and they are an integral part of our life. If we look forward to 2030 and the world of digital advice there will be similar levels of innovation, which are already in train.
Now consider the enormous investment in Fintech, over $55bn in 2018 alone (Forbes) there is an avalanche of innovation hitting this space. Financial advisors around the world driven by ever increasing regulation are moving up the value chain and one of the unintended consequences of this is that it is creating a gap in the advice market which will need to served digitally.
Banks and insurance companies seek to close this gap and digital advice providers are helping them to develop the tools to play in this space before one of the FANGS turns its attention to financial advice. the fear is real, This would be game changing.
New benchmark for customer experience
Consider the Apple ecosystem, it is conceivable that Siri will for no fee, direct consumers to an Apple financial planning or wealth management solution.
Tools where you use your fingerprint and ApplePay to complete the life cover transactions. All in a customer experience that would set a new benchmark for all who want to continue to compete in this market.
Discovering more potential
More potential is created by the aging demographic of advisors in mature markets and many of these plan to be retired by 2030 leaving a big gap. Many banks and insurance companies have been active in this space but there has been an element of if it ain’t broke don’t fix it and this has worked as many of their competitors have also been late adopters.
But it is like boiling a frog and by the time the frog realises that the water is boiling it is too late to jump out of the saucepan. We are in Simmering times. I encourage you to look forward to 2030 and to envisage what the world and in particular the advice space might look like.
Consider the expectations of a growing demographic of digital natives and how big data and machine learning will transform digital advice. Now is the time to prepare for this world.
Intersection between finance and technology
It is fantastic to be working at the intersection between finance and technology at this exciting time. But it requires patience, as professionals operating in these fields have different skill sets and speak different languages.
This is a truly global digital transformation of the financial world as we know it.
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