wealth management solution

Wealth Industry Evolution

In recent years, the entire banking & financial services sector has undergone a sea change. With a multi-dimensional change in the landscape of the industry, identifying and addressing the dynamics has become vital. At Intellect, we have classified and bucketed the changes across 3 key dimensions which cut across the customer, industry and regulatory parameters.

Delivering superior, differentiated and personalised investment advice is crucial for wealth management firms, now more than ever, with a firm eye on reducing the cost to serve.

Customer Demographics

Customer Demographics

Millennials moving to Wealth segment
Expecting differentiated advisory & convenient service

Strong Economic Performance

Strong Economic Performance

Global investible wealth growing at CAGR of 6%
Asia, Africa and Latin Americas to grow at 9%

*between 2018 – 2023 and Asia; as per BCG’s Global Wealth 2019 report on Reigniting Radical Growth

Changing Regulatory Requirements

Changing Regulatory Requirements

Complex geo-wise and cross-border compliance Greater impetus to protect customer privacy, prevent mis selling and tax evasions

The changing dynamics in the wealth industry have created a much larger pool of wealth customers to serve; who are demanding and are looking for a differentiated and personalized service at their convenience. The emergence of this new yet very discerning segment of wealth customers has led to the AUMs becoming smaller, placing a larger demand on the wealth managers’ time. At the same time greater competitiveness in the industry has led to a greater churn in wealth managers. With customers ready to migrate to wealth managers who provide intuitive and quick advisory, there exists a big opportunity for the fleeted RMs who are able to effectively and efficiently serve the customers.

So, how does one curb the shrinking margins?

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Wealth Qube – The 2020 Advantage

Intellect recognises these changing dynamics in Wealth Management and focuses on reconditioning its offering to meet the continuous changes. The rise in customer awareness, and hence expectations has to be matched with an equally dynamic wealth frontline.

Intellect offers Wealth Qube as a relationship-centric, one-stop Digital Wealth Management solution with STP processing spanning front, mid to back office. Wealth Qube enables Private and Retail Banks, Wealth and Asset Management firms, Advisory firms, Broker-Dealers, Trusts and IFAs to service various client segments from UHNI to Mass Market, Households and Institutions.

Wealth Qube, a Design Thinking led solution has been modelled around the Relationship Managers’ day-to-day tasks, to significantly reduce the time spent on unproductive administrative jobs. The multi-functional solution aids in creating an ‘Empowered RM’ – one who is aware and armed with the right set of tools and information to serve the customer’s needs – both stated and unstated.

The solution is an API-based, scalable omni-channel platform comprising of 6 Offices (Functional Units) and 23 Desks (Functions) with a full spectrum of 136 Tools. The 6 offices that form a part of Wealth Qube are:

  • Relationship Manager Office
  • Operations Office
  • Customer Personal Office
  • Risk and Compliance Office
  • Fund Managers Office
  • Trust Office

Wealth Qube serves as an extended arm for businesses, enabling it to deliver 2020 Advantage. The 2020 Advantage signifies Wealth Qube’s capability to deliver 20% increase in RM productivity and 20% reduction in business operating costs, thereby fuelling an increase in market and wallet share with reduced cost to service per client.

One-Stop Digital Wealth Management Suite

Wealth Management is a high-touch business in which Relationship Managers (RMs) perform a diverse range of activities. Wealth customers expect superior. on-demand advisory and empowering RMs to improve the frontline experience is the need of the hour.

To cater to the increasing need for effective conversations and service continuity for the wealth customers, Wealth Qube equips businesses with an easily configurable platform – the RM Office. With its ability to assign targets to RMs, monitor their performance, manage the RMs’ transition and induction of new RMs, the RM Office ensures that the relationship managers are truly aware and empowered.

To ensure that the RMs are primed to provide accurate advisory, the solution has an in-built Financial Wellness Spectrum Card – a unique tool which offers access to all client information and easy navigability of client data at a single source.

Further, empowering RMs with intuitive and proactive client interactions is the Unified Communication Channel (UCC) – a feature which aggregates customer and market notifications from multiple sources for RM to take appropriate actions. UCC, along with the Financial Wellness Spectrum Card incites RMs to proffer an on-demand advisory for the customers, backed by real-time updates and in-depth analytics, enabling them to make sound Investment decisions.

RM office is equipped with 6 desks and 57 tools.

The desks provide the functionalities that help RMs to deliver a superlative customer experience.

New Business Generation through an increase in end-client base, driving increased mind share and wallet share

Outcome driven Customer Engagement by enabling effective conversations between RM and clients with a Unified Communication Channel

Planning and Advisory through goal-based planning with the help of Financial Wellness Spectrum Card

Execution for 40 plus Asset and product types with the added advantage of STP integration with market place platforms

Monitoring and Performance of client’s portfolios and goals anytime, anywhere

Better Supervision of business performance through revenue insights for faster actions

Managing operational risks with a systematic oversight model for supporting risk-prone back-office functions is the key market need in the wealth industry. Operations Office delivers features to support Straight Through Processing (STP) and enterprise-wide processing of back-office functions in the wealth value chain. It allows clients to reduce cost, increase efficiency and maintain control over the entire life-cycle of managing and administering Wealth, powered by full digitisation and STP capabilities.

Operations Office is equipped with 6 desks and 36 tools.

The desks are the functions that help in quick processing of back-office operations in wealth value chain.

Verify customer identity and profile them to determine the appropriate risk profile and asset allocation

Financial product information, entity information, and pricing information maintenance is done

Automated trade management workflows with minimal errors due to manual interventions

Connectivity Maintenance provides ease of integration with other applications, as banks could integrate either WealthQube or its components onto their existing landscape

Flexible setup of fees and charges are possible under revenue management

Real-time and daily Mark-to-Market (MTM) revaluation for margin lending and leverage system to monitor the margin of credit products.

The Customer Personal Office further strengthens the RM Office value proposition by offering a single point of access for clients to obtain a complete picture of their wealth, and track their account performance to financial goals. It delivers an improved method of communicating with the relationship managers through interactive charts to summarised financials. This holistic financial picture enables RMs and clients to engage in higher level discussions that can lead to well-informed investment decisions and better outcomes.

CBX-W is equipped with 4 desks and 24 tools.

The desks provide the capabilities that aid the customer-RM interface for effective control on the advisory and portfolio.

DIY capability for customer engagement and to track clients’ financial and non-financial needs through integration with Social Media and personalised insights

Financial planning and advisory help the clients with the task of planning goals, assessing their risks and building a portfolio to start investing

Execution of 40-plus Asset classes for both omnibus and non-omnibus modes

Real-time portfolio monitoring and performance tracking to take quick decisions at the right time

The Wealth Management industry has grown at a higher rate post the Global Financial Crisis. Yet, the industry also continues to face several key regulatory reforms. There are often quick upgrades to the changing compliance & regulatory framework. Thus, the rising regulatory pressures and a rise in digital-leveraging competitors have created a market demand for systematically meeting the regulatory needs while also maintaining a lower operating cost. The Risk and Compliance Office, with its improved data management, data extraction and analytical capabilities reduces operating cost and makes it much easier for RMs and the back-end teams to be compliant and error-free with greater efficiency.

Risk and Compliance Office is equipped with 4 desks and 10 tools.

The desks help deliver the functionalities for the risk and compliance teams ensuring control over deviations.

Administers customer compliance norms to be met by the relationship managers

Integrated and real-time tracking of organisational compliance breaches

Configurable market regulatory compliance validators

Compliance monitoring and reporting is readily available for all compliance functions

In the wealth industry, the funds are indirectly subject to risks depending on the underlying securities. It is crucial to empower the fund manager with the right set of tools to generate returns and maintain the effectiveness and performance of funds.

Fund Manager Office provides end-to-end management and monitoring capabilities that enable fund managers to oversee a portfolio of mutual funds and make effective decisions. It employs impactful data insights for improved decision making and to generate a better alpha for actively managing client’s fund portfolios.

Fund Manager Office is equipped with 2 desks and 5 tools.

The desks provide the functionalities to aid fund managers to keep track of pricing and portfolio performance.

Fund Manufacturing provides maintenance of various prices from multiple exchanges without manual intervention

Fund performance monitoring and analysis of portfolio

To keep pace with the rapidly evolving regulatory and operational needs, firms continue to bolt on new systems and applications to transform their existing legacy infrastructures. While maintaining disparate systems with disconnected technology can cause reputational risks in functions such as trust operations small operational inefficiencies can also add up to greater risk, obstruct growth, and ultimately, impact client satisfaction.

Wealth Qube’s Trust Office enables trust companies to gain the advantages of an enterprise-based comprehensive solution to deliver business and operational efficiency in managing trusts. It provides cost-efficient management and risk-free administration of Trust Accounts and Products.

Trust office with the help of its 5 desks and 21 tools.

The desks provide the capabilities that aid to efficiently manage the trust business.

Provides trust product and services to achieve business excellence by removing operational inefficiencies

Business requirements like IMA, Pre Need, Employee Benefit Trusts, etc are catered by agency services

Other fiduciary services like escrow, Safekeeping, Life Insurance Trust, Court Trust, etc are catered to.

Investor Services helps institutional investors and broker-dealers optimise efficiency, mitigate risk and reduce costs

Fund Administration manages the end-to-end functions of funds

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