Wealth Adviser Newsletter

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NEWSLETTER | 27 Aug 2020

Remote control: How working from home is creating challenges and opportunities for financial advisory firms

Adjusting to the 'new normal' is the focus of this week's newsletter with a new poll by Intelliflo suggesting that remote working – for at least part of the week – is set to become a long-term reality for more than half (53 per cent) of employees at financial advisory firms. And clients should benefit as a result with less time spent commuting meaning that advisers have more time to spend on relationship building.

Technology too, is playing a big part in the new adviser-client relationship with Intelliflo reporting a huge 383 per cent increase in log-ins to its Personal Finance Portal between February and June this year.

New research from CoreDate meanwhile, also focuses on the increased importance of technology in the financial advice and wealth management sector, with 100 per cent of the almost 1,000 advisers surveyed saying they use online platforms to conduct business – 68 per cent of them on a daily basis.

“Our findings suggest that platforms have not only weathered the Covid-19 crisis but have managed to build closer partnerships with advisers,” says Craig Phillips, head of International, CoreData Research. “The shift to digital-first offerings amid the crisis, coupled with the heightened need to support clients, has seen advisers gravitate toward platforms.”

In a comment piece this week, Achi Lewis, EMEA Director at mobile working software specialist NetMotion, looks at some of the challenges firms face in safeguarding client data, making it secure, and maintaining compliance while staff are working from home.

UK investors meanwhile, are seeking a safe haven in cash savings despite government attempts to encourage spending and investment, according to new research commissioned by HYCM. The survey of 900 UK-based investors reveals that cash savings (78 per cent), stocks and shares (40 per cent), and property (38 per cent) are the most favoured asset classes at present.

Upcoming MiFID II measures, which will require advisers to ask clients specifically about ESG matters, are the focus of the final study this week, with new research commissioned by Rathbones revealing that some firms are more prepared than others. While more than three quarters of advisers say they are comfortable with the terms 'ESG', 'socially responsible', and 'ethical', in relation to investing, 60 per cent describe their understanding of 'impact investing' as either 'weak' or 'very weak'.

And finally, in a guest article, Nedgroup Investments Ian Beattie sets out six reasons why, despite the general market uncertainty caused by the coronavirus pandemic, the firm is optimistic about the outlook for emerging markets equities.

Wealth Adviser

Thu | 27 Aug 2020, 14:20

Financial advisers have gravitated toward platforms in the wake of the Covid-19 crisis, new research shows.

Are advisers even remotely compliant?

Thu | 27 Aug 2020, 14:20

By Achi Lewis, EMEA Director, NetMotion – We have all become painfully familiar with the notion of working from home (WFH) or remote working because of Coronavirus restrictions. The professional services sector has not been immune to this ‘new normal’ either and firms/advisers have had to quickly alter their day-to-day working practices.

Thu | 27 Aug 2020, 14:20

Investors are still retreating to cash savings despite the Government’s attempts to encourage spending and investment, new research commissioned by HYCM has found.

Thu | 27 Aug 2020, 14:20

Voting is now underway for the ETF Express US Awards 2020, which will be unveiled and celebrated at an exclusive virtual ceremony and industry networking event to be held on 24 September.

CAST YOUR VOTE >

New research reveals differences in preparedness as advisers brace for ESG demands

Thu | 27 Aug 2020, 14:20

With upcoming MiFID II measures set to compel advisers to ask clients about ESG, recent research commissioned by Rathbones looks at how advisers are preparing for a more ESG-focused future.

Thu | 27 Aug 2020, 14:20

By Ian Beattie (pictured), Nedgroup Investments Global Emerging Markets Fund Manager – Excess liquidity in the world economy is at the highest level since the end of the Global Financial Crisis. This is expected to drive a strong economic rebound as pandemic containment measures are eased, suggesting outperformance of cyclical assets, including emerging market equities.

Global ETF launches 20-27.08.20

Thu | 27 Aug 2020, 14:20

The big news in terms of launches this week is T Rowe Price’s entry into the ETF space with the launch of four semi-transparent, active funds that largely mirror existing mutual fund offerings. The week’s other notable newcomers include a Connected Consumer fund from Direxion based on a Solactive index, a junior biotech ETF from Defiance ETFs, plus thee new iShares bond ETFs.