Boosting advisor productivity with better technology

We all have only 168 hours a week. Today’s busy advisors have the same, no more. The 2024 edition of our award-winning  Connected Wealth Report  highlights the need for efficient technology that boosts advisor productivity and allows them to focus on serving clients and growing their business.

Saving time and enhancing efficiency using technology

Perhaps the most sobering statistic in our latest Connected Wealth Report is that 65% of advisors believe their tech needs improvement. Of those advisors, 20% described it as very outdated. Consider that last year only 39% of advisors felt their tech suite was lacking and you start to see a troubling trend. Moreover, there was a 26% plunge in the number of respondents describing their firm’s tech as modern or state-of-the-art.

Clients are following suit

It’s not only advisors on the move, but today’s clients are also voting with their feet. Most respondents report having lost clients and prospects due to bad technology. Stated plainly, neglecting quality onboarding solutions, marketing and prospecting tools, client portals, and communication prowess has its consequences. The time is now to devote resources to innovative platforms, tools, and solutions.

This downshift in satisfaction reflects hours lost due to inefficient systems. It also points to a dangerous risk coming to the forefront: firms that fail to invest in technology solutions that increase advisor productivity will be left behind as competitors pass them by.

Why are advisors less satisfied with their tech today? Advisors have high expectations for their technology. At the same time, some point solutions (i.e. those that are built to solve a single problem) have under-delivered on the sought-after integrated wealth experience.

Advisors are calling for game-ready solutions that not only increase efficiency but also take wealth planning to the next level. Incorporating artificial intelligence (AI), data-driven capabilities, and user-friendly workflows is essential.

Bad data is the primary issue

Over half of survey respondents cited bad data as the top challenge they face with their existing technology. It is the crux of the issue—advisors need clean, consistent, and comprehensive data to craft a useful and practical financial plan. Maintaining that plan while building personal client connections also requires accurate data. When the information presented during a client’s annual review is incorrect or out of date, it leads to lost trust and lower confidence.

If not addressed, bad data eventually drives away business. It also causes talent attrition when advisors walk away in search of firms that invest in better tech. Good data, on the other hand, empowers wealth managers to execute robust plans and create better financial roadmaps for their clients.

Clients want to take part

A majority of survey respondents cited a lack of end investor or client capabilities as a third key challenge. Advisors understand that clients are eager to engage with technology. They are looking for a holistic view across their financial lives—portfolio insights, insurance analysis, physical asset tracking, statement gathering, and tax integrations. The more transparency clients have into their financial plan, the more they can collaborate with their advisor to achieve their financial goals.

The bottom line

Investing in tech solutions that can alleviate bad data, leverage accurate information, and deliver what today’s wealth management clients seek is mission critical. Consistent data is paramount, and leveraging AI capabilities is just one-way routine tasks can be offloaded or automated. In the end, it’s about providing clients with an accessible digital experience—one that provides practical solutions and offers a single, holistic lens into their financial lives.

Read the 2024 edition of our award-winning  Connected Wealth Report  for more insights on how firms can help boost advisor productivity.

Jeff Schwantz is CRO at Advisor360°, responsible for leading the Sales and Marketing teams and guiding the company’s revenue generation strategy/execution and go-to-market approach.