Advisers caught in fintech 'crossfire'

As the advice technology market heats up and providers of CRMs and investment platforms battle for dominance, one advice technology consultant has warned that a lack of focus on integration is hampering advice practices.

Enzumo head of strategic relationships Peter Worn addressed a webinar as part of the IMAP InvestTech series, and spoke of the “shifting sands” in the advice technology market. While the fintech ecosystem is improving, Worn said, integration between major customer relationship management tools is “still too hard”.

“In Australia in particular we have a very dominant [software] player in Iress with 65 per cent share… and a whole other bunch of support player and new entrants,” Worn described. “That can be a real challenge…”

While having a dominant player in the CRM market is problematic, the consultant believes the real issue is that while other players are focused on gaining a foothold into the market and Iress is intent on retaining its market share, not enough attention is being paid to integrated advice software.

“What I’m concerned about as this battle for control plays out… does advice get caught in the crossfire a little bit here? Because we’re not getting that seamless of integration of data between businesses,” Worn said.

Licensees are being forced to come up with their own solutions to counter the issue, he warns, when they should be focused on other value propositions.

To read more, please click on the link below…

Source: Advisers caught in fintech ‘crossfire’ | Professional Planner