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
latest articles
OUR PLATFORMS AND BRANDS
- Accountants Daily
- Accounting Times
- Adviser Innovation
- Australian Aviation
- Broker Daily
- Cyber Daily
- Defence Connect
- Fintech Business
- HR Leader
- Independent Financial Adviser
- Investment Centre
- Investor Daily
- Lawyers Weekly
- Money Management
- Nestegg
- Property Buzz
- Real Estate Business
- Smart Property Investment
- SMSF Adviser
- Space Connect
- Super Review
- The Adviser
- Wellness Daily
- World of Aviation
EVENTS AND SUMMITS
- Accountants Daily 30 Under 30 Awards
- Adviser Innovation Summit
- Australian Accounting Awards
- Australian Aviation Awards
- Australian Broking Awards
- Australian Defence Industry Awards
- Australian Law Awards
- Australian Space Awards
- Australian Space Summit
- Better Business Summit & Awards
- Broker Daily Business Awards
- Corporate Counsel Summit & Awards
- Cyber Security Summit & Awards
- Defence Connect Budget Lunch
- Defence Connect DSR Summit
- Fund Manager of the Year Awards
- ifa Excellence Awards
- ifa Future Forum
- Investor Daily ESG Summit
- Lawyers Weekly 30 Under 30 Awards
- Lawyers Weekly Women in Law Forum
- New Broker Academy
- Partner of the Year Awards
- REB Awards
- Reinnovate
- SME Broker Bootcamp
- SMSF Adviser Technical Day
- Super Fund of the Year Awards
- Women in Finance Awards
- Women in Law Awards
- Accountants Daily Podcast Network
- Australian Aviation Podcast Network
- Broker Daily Podcast Network
- Defence Connect Podcast Network
- HR Leader Podcast Network
- REB Podcast Network
- Relative Return
- Space Connect Podcast
- The Adviser Podcast Network
- The ifa Show
- The Lawyers Weekly Show
- The Smart Property Investment Show
PODCASTS
LEARNING AND EDUCATION
MOMENTUM MARKETS NETWORK
LINKS
STAY CONNECTED
Subscribe to the Adviser Innovation eNewsletter.
