Economy
THE Financial services and advisory is going to be “radically different” within five years with fundamental changes being fuelled by four keys drivers, affirms the CEO and founder of one of the world’s largest independent financial advisory, asset management and fintech organisations.
The comments from Nigel Green of deVere Group come as a growing number of people are seeking financial advice as the global cost of living crisis continues to impact households and businesses.
“As financial pressures intensify for more and more people, understandably, they’re seeking to find solutions and a path to financial security and freedom through our industry,” he says.
“Money issues are now front and centre and are providing a catalyst for investors to ask professionals for ways to help them create, grow and safeguard long-term wealth.
“It is also making those of us in financial services think about the sector and how it can and must improve to be of service now and in the future to clients.”
There will be four drivers of change, says the deVere CEO.
“First, client expectations will continue to evolve. They will demand that financial services become significantly more personalised, more holistic in terms of approach, and more environmentally and socially responsible.
“Second, technology will play an ever-greater role in the delivery of financial services. Beyond pioneering fintech apps, blockchain, artificial intelligence and data aggregation tools, amongst other innovations, will enable the industry to help better understand and serve clients.
“Third, there will be greater regulatory divergence between different jurisdictions due to higher levels of protectionism. This will mean that financial services providers will be forced to learn complex foreign regulatory systems to work with internationally-mobile clients and businesses.
“And fourth, business models will evolve in order to be able to provide clients with all-encompassing ‘one-stop shop’ ecosystems that can offer everything from insurance to investments, pensions to mortgages and banking.”
The industry is relied upon by an increasing amount of individuals, firms and organisations and will be “radically different within five years” due to these seismic forces of change,” says Nigel Green.
“Those financial service companies that move early to meet and respond to the fundamental shifts will be best-positioned to serve their customer’s changing wants, needs and behaviours, to create new revenue streams, and have the competitive edge.”
He concludes: “A robust and future-focused financial services sector will benefit households and companies and lead to economic growth, while a failing, backward-looking sector will have the reverse effect.”
A.I
Tags: deVere Group Nigel Green the future of financial services
