As the advice gap grows, so does the opportunity to provide digital advice. As advisers focus on serving high net worth clients, the need for digital advice is becoming more pressing in those segments they find cost prohibitive to serve. 

We work with financial institutions to help them capture the digital advice opportunity. Our maturity roadmap identifies key investment opportunities to incrementally build the right capabilities to enable the delivery of personalised retail advice at scale. We help define journeys, capabilities, target operating models, stories and business cases.  

Consolidation across financial advice and wealth management is accelerating, with private equity backed consolidators and product providers most active. As most acquired entities are integrated, the quality of the customer experience becomes a determinant of future value. 

Operating a simplified and modern technology architecture provides the ability to deliver efficient, scalable operations that also supports market leading customer experience. At Capco, we help to accelerate integration and platform migration across pensions and investment platforms. 

Regulation is empowering consumers and creating opportunities for firms to review their approach to the client experience – and define what these changes might mean for product design and advice journeys. The opportunity applies across all segments from mass market to ultra-high net worth clients.

Technology plays a key role with customers seeking efficiency increasingly supported by hybrid advice and easy access to real-time information and tools where and when they choose. We collaborate with firms to help them define and implement appropriate technology solutions. 

Regulators continue to focus on the need for providers and distributors to fully understand their customers, and to meet their needs by delivering products and services that will not result in harm. Having published guidance in early 2021, the regulator set out a framework defining firms’ obligations to protect vulnerable customers in six  key areas.

Capco can assist by undertaking a gap analysis to identify key areas to be addressed, developing the framework and standards required to achieve compliance, developing a dashboard and KPIs, and a strategy maintain compliance. 

The Pensions Dashboard launches in 2023 and is expected to create higher levels of consumer engagement in pensions, leading to increased demand for pre-retirement advice across direct, intermediated and workplace channels. 

Through our Innovation & Design and data practices, Capco is helping providers prepare. By undertaking customer research, we are defining and developing dashboard channel and segment specific propositions. This involves customer research to determine needs. At the back end we assist with data and architecture to meet the required standards. 

The importance of ESG has grown due to increasing client demand for ESG and sustainable investment options. However, mis-selling fears continue to grow due to the inconsistent application of data. 

Depending on only classifications and indices to identify suitable funds introduces risk. Intermediaries must go beyond by seeking greater transparency on ESG issues to mitigate risk.

Capco offers services through our four proposition pillars that can support intermediaries in delivering the desired ESG end-state: strategy and governance, ESG data, risk management and reporting and disclosure.