Perspectives / Think / Sorting through the noise...
Latest report reveals what APAC HNWIs would like to see in a more digitised wealth advisory model.
The wealth management industry is also embracing the digital revolution. Many private banks already offer mobile-based apps for their clients in addition to robo-advisory services, which use algorithms to deliver investment ideas allowing relationship managers to spend more time on strengthening other critical elements of the advisory process.
The wealth sector is also becoming more diversified, with an increasing number of nimble, fintech
"New players are entering the space, younger, more tech-savvy individuals are becoming an increasingly important demographic in the wealth management space in Asia Pacific."
At the same time as new players are entering the space, younger, more tech-savvy individuals are becoming an increasingly important demographic in the wealth management space in Asia Pacific. The terms 'millennials' and 'next-gen-clients' are fast becoming common buzzwords in consulting reports on the industry, putting pressure on traditional private banks to ramp-up their digital transformation agendas.
The Empowered Investor Part II: Delivering on Digital - Building a Future-Proofed Advisory Model
The second part of the Empowered Investor report, written by Scorpio Partnership in collaboration with BNP Paribas Corporate & Institutional Banking (CIB), details the changes that private banks could make to develop robust, long-term digital transformation plans. The report surveyed 1,020 high-net-worth individuals across Asia Pacific with an average net worth of USD8.5 million. In Part I, the findings showed that a new investor profile is visible across the region – the Empowered Investors – who are characterised by their advanced interest in execution-only services and sophisticated platforms. Part II continues the conversation by showing that digital delivery must be a strategic priority if the wealth sector is to change with the times and meet the expectations of this new investor profile. Amongst the findings, three key statistics stand-out:- 82%
of HNWIs believe the gap between human and robo-capabilities has already
closed, or is likely to in the future.
- 47%
want to engage in a digital forum in which they can exchange ideas with
institutions and individuals (like the LinkedIn model).
- 38%
would be comfortable paying more to an institution capable of integrating both
financial and social impact goals.

[1] Reuters, "China's Lufax seeks $60 billion valuation with April Hong Kong IPO: SCMP", 15 January, 2018
[2] HKMA, "Guideline on Authorization of Virtual Banks", 6 February, 2018