“How did you go bankrupt?”
“Two ways. Gradually, then suddenly”.
Foreword
I don’t know how else to say this…
But much of the technology that drives our market is losing its relevance. It’s
scarcely automated, poorly architected and badly connected. And it costs
planning professionals, forward-thinking technology firms and customers a
fortune – whether indirectly in lost productivity, or directly in client fees.
Worse than that, it’s misaligned. Some of the most important vendors in our market are driven by the wrong incentives. Rather than working to make life better for customers, they seem to be making it more difficult. Feels like a feature, not a bug.
I’d go so far as to say that the infrastructure of our market falls drastically behind that of nearly any other. Even banking makes us look bad. It’s getting awkward.
So why are we so behind the curve? Well, ours is a long-term industry, with a complex series of interdependencies between market participants. And at the heart of it all are financial planning professionals themselves, cleaning up the mess.
One of the unintended consequences of planners being generally excellent at what they do – building and maintaining great client relationships – is that the providers they rely on are shielded from rising customer expectations.
Advisers bear the brunt of customer interactions. They soften the blow of poor technology – explaining, excusing and generally covering for the failings of others. They act as the valve in a creaking pressure cooker that’s well overdue its service.
But it can only go on like this for so long. Like all things interconnected, our market is only as strong as its weakest link. Sooner or later, one of them will break. (Hint: we think it’s sooner.)
That’s the argument we’ll be putting forward in this paper. I hope you find it an interesting read and that it provokes some new thinking…
We’d love to know your view. If you have any comments, feedback or questions, get in touch with me or one of the team (you’ll find our details on the back page).
Enjoy!
David Ferguson, CEO of Seccl
