4 Ways Digital Transformation Will Improve Your Financial Services

The writing has been on the wall for some time now, digital transformation should be an essential part of any wealth management firm’s development strategy. Not just a software upgrade to provide a quick fix, but the creation of entirely new operational processes to revolutionise business culture and customer experience. Within the financial sector, this means everything from asset management platforms and analytical tools to self-service portals and payment solutions that will reshape how customers interact with their investments. 

Some key areas that wealth management firms should consider investing in digital transformation include:

Fintech Applications

As clients become more tech-savvy and accustomed to handling every aspect of their daily life themselves via their smartphone, increasingly this also includes their finances. Personal banking apps are already an essential offering for all individual clients, enabling them to handle all their daily banking needs, including transfers, currency exchanges, bill payments and loan applications and management, without any direct consultation with their bank.

Similarly, wealth management and investment apps allow investors to monitor their portfolios, as well as provide recommendations and guidance based on previous activity. Insurance and lending platforms all provide similar secure access to individuals, enabling them to manage payments, trades, and submit applications at their own convenience.

AI Tools

Advancements in artificial intelligence technology are impacting all areas of the industry. Using intuitive technology, firms are changing how they interact with clients in several ways. More and more daily client interactions are now handled by predictive chatbots, with AI used to monitor customers’ financial habits, predict and recommend investment opportunities, and suggest specific products and services based on behaviour.

This approach reduces the scenarios that require person-to-person interactions, while ensuring that the meetings that do take place are more efficient and productive. AI can help advisors know who to talk to, source and tailor relevant supporting documents and data, all to create an overall more client-friendly experience that will save time for all parties.

Internal Operational Processes

As the cost of setting up and running cloud-based platforms drops significantly, digital infrastructure has become a viable and attractive option for financial services companies large and small to completely transform how they operate internally and in the marketplace. The stable and secure setup provides faster, safer access to the same real-time information across every department, improving company efficiency and accuracy across the board. More menial tasks can be automated and cross-checked instantly, client account information will be at the fingertips of every department, as will the latest information, updates, and authoritative insights for advisors to apply and impart.

Under this system, operations teams will benefit immediately, streamlining many of their most time-consuming and labour-intensive processes. By automating everything from advice documentation checks to statement reconciliation, they will have more time to provide value-added support to their advisors, and ultimately, the clients themselves.

Next Gen Technologies

Investors will always favour firms with the latest, most accurate information on attractive opportunities that provide the best return with the minimum amount of risk. Advanced data analysis and visualisation is key to this success. Tools providing the best investment platforms, identifying the most attractive opportunities, reporting the most accurate information, assessing risk, and relaying that information to investors as quickly as possible will also be attractive.

Similarly, as criminal entities now have access to the same fintech developments as their potential targets, cybersecurity is more crucial than ever for protecting investors’ personal data and assets, providing them with the confidence and peace of mind to entrust your firm with their finances.  

Speed of transaction, accuracy of information, ease of use, and enhanced security are all pivotal areas in which digital transformation can help firms improve the way they do business and interact with clients of all ages, ensuring that you remain competitive and dependable in today's fast-evolving marketplace.

At Buchanan Technology we are committed to helping wealth management firms navigate this ever-changing landscape of technology. Through the development and implementation of bespoke digital solutions, we help our clients modernise their internal systems, streamline communication channels, and create fast, intuitive, easy-to-use experiences for advisors, employees, and clients alike.