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Fintech Firms Aiming for Amazon-Like User Experience

December 20, 2016

Next year, technology providers serving the financial advice industry are set on improving the client experience while helping advisors comply with the Department of Labor’s fiduciary rule, InvestmentNews writes.

Fintech companies are revamping their offerings to make them faster and more integrated because today’s consumers want the ease of use of Amazon or Netflix, according to the publication.

Redtail Technology, for example, plans a spring release of real-time text messaging between advisors, staff and clients as part of its client relationship management platform, all tied into an audit trail, the firm’s chief executive tells InvestmentNews.

AdvisoryWorld, meanwhile, plans to integrate a client’s risk characteristics with their financial goals on its proposal generating platform, according to the publication. Clients would be able to see portfolios generated in real time, the company’s president tells InvestmentNews.

Meanwhile, to help advisors comply with the DOL’s fiduciary rule, which requires advisors to put clients’ interests first, Orion plans to release a fee benchmarking component, according to the publication. Advisors will also be able to use the new tool to demonstrate to a client what they’re paying compared to a million other accounts, its chief executive tells InvestmentNews.

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But advisors can also expect to see more competition from robo-advisors.

That’s because fintech firms are getting ready for the evolution of the robo-advice space, according to the publication.

The founder of Foliofn, which offers both client-facing and advisor-facing robo-advisor platforms, tells InvestmentNews that short questionnaires aren’t capable of truly serving the next generation of more sophisticated clients.

By Alex Padalka
  • To read the InvestmentNews article cited in this story, click here.