Digital Transformation is Slow
This study published by Broadridge contains some interesting and fun statistics on the state of digital transformation within financial services in Canada. The poll of 100 senior financial services players highlights the slow pace of digital transformation. One of the most telling stats is that only 17% of executives have given themselves an “A” in terms of digital transformation with over 50% ranking themselves a “C” or worse. There is a major misalignment between strategy and reality as financial services CEO’s rank digital transformation as one of 3 top strategic priorities according to Gartner. What is causing this misalignment? The study uncovers one of the biggest obstacles – legacy technology. Most traditional wealth managers are making investments in their digital future – introducing new technology to improve client experience or offer new services. But their legacy business (recently referred to as an anchor by one of our clients) remains a huge challenge – and one that new robo advisers and other fintech’s do not have to grapple with. At InvestorCOM we are laser focused on this challenge – while our clients invest in their digital future, we are investing in digitizing their legacy business, specifically client communications and compliance functions. Our goal is that these partners will move from a “C” or worse to an “A” in the not too distant future.