Wealth management in the new world
The digital nomad has reached the ultra-high net wealth world. As family offices become more comfortable with digital business transactions, advisers are utilising new technology to provide advice quicker and more profitably than ever before. Wealth platforms that were forced to upgrade allow for increased mobility for those providing advice to families, who can use this infrastructure as part of a new breed of family office services.

What you need to know

  • UHNW and Family Offices are adapting to digital advice and their advisers are taking advantage of this to create fully mobile firms, unconstrained by geography and booking platform locations
  • Firms that don’t adapt to this “refreshing” of the wealth management model will struggle to attract talented relationship managers and the clients that seek them out
  • Digital nomads are no longer just in tech, financial advisers are taking a “go anywhere” mentality that values lifestyle as well as remuneration
  • Web3 (or whatever you call it) will greatly impact advice delivery as the next generation of ultra-wealthy have their say
  • Curation will be key as advice firms take advantage of new technology platforms to deliver an ecosystem that communicates, rather than bolts on to legacy structures
  • Old school fee structures are in decline as new advice models seek to add value (and compensation) via unique offerings, especially in hard to reach asset classes
  • Private equity and other specialist firms are starting to back these new models as banks struggle to maintain the status quo
Digital Updated on June 29, 2022

In the recent BCG report “Navigating Wealth Management in a Post COVID World”, the authors note the subsequent year has actually been a productive time for wealth managers – in terms of client retention and acquisition as well as improved margins. How was this achieved? Outside of a surging equity market, it was done by adapting to new ways of working and facilitating a client base that suddenly adjusted to a new normal of virtual and remote interactions. Traditional services, after years of pushback from executives and clients alike, were forced to give way fully to digital financial services.

In the family office space, where we see specialist firms that target the UHNW sector, uncertainty was particularly heightened on how their service offering would survive in a world where connectivity and client interaction are paramount. From the same BCG report:

“there is a sense of necessary change for a wealth manager model that needed refreshing. And firms that have thrived are those that have taken this opportunity to “modernize, adapt and realise competitive gains.”

About the Authors

Shaun Parkin

Shaun Parkin

Investment operations & technology

My central philosophy is that of a Sherpa. I believe in acting as interpreter, educator, assessor, and advocate for family offices – whilst still being independent.

Connect with Shaun Parkin

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