Expert: Anton Padmasiri, Founder CEO, WealthOS and Shri Krishnansen, CCO, WealthOS Facilitator: Rod Bryson, Tata Consultancy Services
Headlines:
- Customer experiences shaped by brands like Uber, Netflix, and Amazon are driving demand for seamless, personalised financial services that meet customers across various channels and devices
- The potential in wealth management’s mass affluent and aging population segments, including an expected 50% growth in the SIPP industry over five years and the increasing share of retirement flows directed toward SIPPs
- The need for a holistic, data-driven retirement experience that offers actionable insights, real-time management of income drawdown, and technology-enabled innovations for a cohesive customer journey
- Obstacles faced by advisers in providing efficient retirement solutions, including pension consolidation, tax management, regulatory concerns, integration requirements, and the cost of adopting new technologies
Discussion points:
Customer Expectations and Retirement Propositions
Customer expectations are influenced by smooth, one-click experiences from tech giants like Netflix, Uber, and Amazon.
It was argued that retirement propositions should meet customers on their preferred channels and devices, providing seamless and intuitive interactions, similar to streaming services available across multiple platforms.
Growth Segments and SIPP Industry Boom
The two key segments are the mass affluent, who control a significant portion of investible wealth in the UK, and the maturing population, with a growing proportion at pensionable age.
The SIPP industry is expected to experience substantial growth, with retirement flows increasingly directed toward SIPPs as a preferred option for pension savings.
Optimal Retirement Experience
The holistic approach to retirement, where customers can gain actionable insights and manage their finances in real time and the importance of technology in enabling these experiences and integrating various financial products into a cohesive retirement solution.
Challenges and Barriers
The discussion highlighted advisers' challenges in consolidating pensions, managing income drawdown, ensuring tax efficiency, and combining multiple products.
Barriers such as regulatory compliance, high costs, and the need for customiable, integrative tools are identified as obstacles to adopting new technologies effectively.
Key takeaways:
- Retirement propositions need to evolve from traditional, product-centric models to digital, customer-focused solutions that engage users across their preferred channels
- Opportunities lie in catering to the mass affluent and aging population segments, with a strong focus on SIPPs to meet growing retirement planning needs
- Delivering a comprehensive, actionable retirement experience with real-time insights and effective management of income drawdown is essential for meeting modern customer expectations
- Addressing regulatory, cost, and integration challenges is critical to enabling the efficient adoption of new technology solutions
- Successful technology adoption will depend on the ability to integrate new tools with existing systems and customise solutions to align with specific business and client needs
