SEARCH
Adapt or die, financial advisers warned
Adapt or die, financial advisers warned
Reforms like FOFA represent 'evolutionary' changes to financial advice, but wealth management is now facing a 'revolutionary' digital transformation, says a new white paper.
Pharos Financial Group and Madison Financial Group have released a joint white paper entitled Adapt or Die: the Impending Digital Tsunami.
The paper argues the advice industry is "consumed in matters that will give rise to evoultionary change" while failing to acknowledge the revolutionary technological changes that are taking place.
"[These] changes that will likely, in the fullness of time, prove to be game changing to many and/or all of our current dominant industries - including financial services," the paper said.
Fending off accusations of being 'melodramatic', the paper points to changes in the music industry, the publishing industry and to 'disruptive' operations like Uber and Airbnb.
"In financial services we need only look to Thomas Peterffy's launch of his machine-based stock trading engine in 1987," the paper said.
"These 'algotrading' engines had [a huge effect] on stockbroker numbers - over 75 per cent of US trades are currently performed by them," it said.
Superficially, it may be easy to argue the advice industry is vastly different from music, books and travel.
"But much of the financial services offer is intangible, standardisable and consequently - digitisable," the paper said.
Therefore, to assume that advice will be immune from the digital threat is naïve, it said.
Subscribe to our Newsletter
We Translate Complicated Financial Jargon Into Easy-To-Understand Information For Australians
Your email address will be shared with nestegg and subject to our Privacy Policy
most viewed
‘Doing things in paper is no longer efficient’ for advisers
How the great resignation can create opportunities for advice practices
New ‘first of its kind’ tool claims to cut SOA production time in half
New offering aims to make sourcing alternative investments easier for advisers
latest event
Adviser Innovation Summit 2020
latest articles
OUR PLATFORMS AND BRANDS
- Accountants Daily
- Adviser Innovation
- Australian Aviation
- Cyber Security Connect
- Defence Connect
- Fintech Business
- HR Leader
- Independent Financial Adviser
- Investor Daily
- Lawyers Weekly
- Mortgage Business
- Nestegg
- Real Estate Business
- Smart Property Investment
- SMSF Adviser
- Space Connect
- The Adviser
- Wellness Daily
- Which Investment Property
- World of Aviation
EVENTS AND STREAMING
- Accountants Daily 30 Under 30 Awards
- Accountants Daily Strategy Week
- Adviser Innovation Summit
- Australian Accounting Awards
- Australian Broking Awards
- Australian Defence Industry Awards
- Australian Law Awards
- Australian Space Awards
- Better Business Awards
- Better Business Summit
- Boutique Law Summit
- Business Accelerator Program
- Corporate Counsel Awards
- Corporate Counsel Summit
- Defence Connect Budget Lunch
- ifa Business Strategy Day
- ifa Client Experience Workshop
- ifa Excellence Awards
- Lawyers Weekly 30 Under 30 Awards
- Lawyers Weekly Masterclass Series
- New Broker Academy
- Partner of the Year Awards
- REB Awards
- SME Broker Bootcamp
- SMSF Adviser Technical Masterclass
- The Adviser Study Tour
- Women in Finance Awards
- Women in Law Awards
- Women in Real Estate Awards
- Wraps, Platforms and Masterfunds
