Account Aggregation Would Help Financial Advisors Provide Better Advice, Reveals Fiserv Survey
95 percent of clients ask financial advisors for advice on 401(k)
retirement accounts and other held-away assets
78 percent of advisors lack access to their clients' complete
82 percent of financial advisors are interested in evaluating
providing advice on held-away assets as a value-added service
BROOKFIELD, Wis.--(BUSINESS WIRE)--
Inc. (NASDAQ: FISV), a leading global provider of financial services
technology solutions, today announced the results of its annual
financial advisor survey. The survey revealed that financial advisors
currently lack access to the aggregated account data needed to provide
them with a complete view of their clients' finances, which could impact
advisors' ability to provide holistic guidance.
Almost all financial advisors surveyed (95 percent) report that clients
are asking them for advice on held-away assets, which are defined as
accounts not actively managed by an advisor or custodian affiliated with
the advisor's financial institution. Held-away assets include
self-directed investment and retirement accounts such as 401(k)s.
Nearly four out of five advisors polled (78 percent) said they do not
have access to an aggregated view of their clients' overall financial
picture that includes held-away assets. Despite this, 73 percent said
they are advising clients on their held-away assets. Of that group, just
20 percent charge for this counsel. Many also report they rely on
time-intensive, manual methods to identify these held-away assets. Of
those financial advisors who do not provide advice on held away assets,
nearly half (46 percent) said they believe it takes too much time to
collate all of this information.
"With the fee-based advice model becoming the new industry standard,
there is a significant opportunity for financial advisors to leverage
account aggregation as a method of providing holistic, strategic advice
to investors," said Rhonda Bassett-Spiers, chief operating officer,
CashEdge Division, Fiserv. "The survey results demonstrate that data
aggregation is no longer just ‘nice to have,' it has become a necessity."
The majority of survey respondents (82 percent) said they were
interested in evaluating providing advice on held-away assets as a
value-added service for new and existing clients.
With the ability to aggregate account data from more than 12,000
sources, AllData Advisor® from Fiserv automates
the aggregation process, offering advisors deep and broad insight into a
client's full financial picture, including assets and liabilities. This
insight enables advisors to identify new opportunities to grow their
clients' wealth. AllData Advisor eliminates the need for time intensive
processes, and minimizes the errors inherent in a system that relies on
manual data entry. In today's volatile market, data aggregation offers
advisors a competitive advantage: the ability to provide better, more
personalized advice and greater transparency into the investment process.
The survey is based on responses from 603 financial advisors with more
than ten years of experience as RIA, wirehouse, independent
broker-dealer and insurance broker-dealer representatives.
Fiserv technology supports all functions of a wealth management business
from planning, trading, post-trade processing and investor reporting to
fee billing and revenue management. With more than 3.7 million accounts
and over one million UMA sleeves on its Unified Wealth Management
Platform, Fiserv is the leader in wealth management technology and the
only provider to offer an end-to-end solution.
Fiserv, Inc. (NASDAQ: FISV) is a leading global technology provider
serving the financial services industry. Fiserv is driving innovation in
payments, processing services, risk and compliance, customer and channel
management, and business insights and optimization. For six of the past
eight years, Fiserv ranked No. 1 on the FinTech 100, an annual
international listing of the top technology providers to the financial
services industry. For more information, visit www.fiserv.com.
Senior PR Manager
Director, Public Relations
Source: Fiserv, Inc.
News Provided by Acquire Media
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