North American Wealth Management Survey 2004: The State of Current Initiatives

June 30, 2004

Abstract

Boston, MA, USA June 30, 2004

North American Wealth Management Survey 2004 -  The State of Current Initiatives

According to a new survey conducted by Celent, spending on wealth management technology will increase on average 5-10% in 2004 as financial institutions seek to build out their wealth management capabilities.

In a new 38-page report, North American Wealth Management Survey 2004裕he State of Current Initiatives, Celent Communications provides financial institutions, consultants, and technology vendors with insights into the business strategies, technology issues, and challenges facing firms building out their wealth management capabilities. The report is based on a survey of 30 leading US and Canadian firms including brokerages, banks, insurance companies, and trusts conducted during March-May 2004.

"The battle lines for serving wealthy individuals have been drawn," states Celent senior analyst Pamela Brewster, author of the report. "Financial institutions realize that to win they need to arm their advisors with technology and tools to effectively meet the demands of the wealthy." Forty-two percent of participants in Celent痴 survey said they already had spent between US$1-US$5 million on wealth management technology and planned further increases in the coming year.

Anticipated Increase in Wealth Management Technology Spending

The survey also highlights the organizational approach firms are taking to offer wealth management services, key features/functionalities available on the advisor desktop, use of third-party wealth management vendors, channel importance, and products offered, among other areas. The report concludes with three key recommendations for firms building wealth management capabilities.

"Though headway has been made in building out wealth management services, firms would be wise to take heed of the obstacles that continue to loom large including: integration issues, advisor adoption of technology, and internal coordination among divisions," said Brewster.

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Table of contents is available online.

of Celent Communications' Retail Banking, Retail Securities & Investments, and Life/Health Insurance research services can download the report electronically by clicking on the icon to the left.  Non-members should contact info@celent.com for more information.

        

Send mail to info@celent.com with questions or comments about this Web site.

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned subsidiary of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

 

Boston, MA, USA June 30, 2004

North American Wealth Management Survey 2004

Return to report Abstract

 

EXECUTIVE SUMMARY 3
SURVEY OVERVIEW 4
  The Survey Participants 4
  Participants Who Have Not Initiated a Wealth Management Program 7
PARTICIPANTS WITH WEALTH MANAGEMENT PROGRAMS 10
  Market Segments Targeted 11
  Organizational Approach 13
  Product Mix 14
  Channel Importance 15
TECHNOLOGY APPLICATIONS AND DEPLOYMENT 17
  Key Features/Functionalities 17
  Application Development and Deployment 22
  Technology Spending 26
METRICS ON WEALTH MANAGEMENT INITIATIVES 29
CONCLUSIONS 35
OBJECTIVITY & METHODOLOGY 37

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