Tech-Savvy Financial Advisors Do More Business

The finance services industry, like many other industries, is quickly embracing the use of modern technology. Why? The answer is in the numbers. A study conducted by Fidelity Investments Inc. shows that financial advisors who make use of modern technology in their businesses to serve their clients have on average of 40% more assets under management than those who do not. This study was based on 933 financial advisors who manage at least $10 million in individual or household assets.

This is a staggering and eye-opening statistic that makes a powerful case for the use of technology in this industry. But what makes the tech-savvy financial advisors, now known as eAdvisors, different from traditional advisors? Simple—they are using modern technology to keep up with an ever-changing business landscape and are therefore staying relevant.

Here are some more statistics that will help to drive this point home. According to the same study mentioned previously, approximately 69% of younger, tech-savvy investors expect modern technology to be used in managing their finances. Furthermore, 41% stated that they would leave an advisor who did not employ technology to bolster their services. This is not surprising, since we exist in an era where terms like millennials and online startups are becoming more and more commonplace.

As we are dealing with statistics, here are a few more that were taken directly from the study that shows the difference technology offers to eAdvisors when compared to traditional advisors.

eAdvisors:

  • Generally possess approximately 7% more millionaire clients than “tech-indifferent” advisors
  • Enjoy a 55% bigger client base
  • Have more generation X and Y clients (approximately 6% more than traditional advisors)
  • Are more satisfied with their careers (82% vs 77%)
  • On average can earn up to $10,000 more than others
  • Manage 14% more assets per client

In general, this research shows that overall, technology helps investors increase assets, attract new clients, and grow their geographic reach. In addition, the study also suggests that eAdvisors are happier with their jobs!

So what are eAdvisors doing that puts them at such an advantage? According to the research conducted by Financial Investments Inc. the key behaviors exhibited by eAdvisors that set them apart are:

  • Using tablets in meetings and using them to execute transactions
  • Offering a collaborative client platform
  • Using data aggregation to provide clients with a total picture of their assets
  • Ability to develop interactive client reports
  • Ability to provide clients with automated email alerts and track client interactions via customer; relationship management systems
  • Using social media to communicate with clients and promote their practice
  • Workflow automation
  • Use of online risk and compliance tools

Using eFileCabinet Document Management Software to Do More Business

So you may be wondering at this point, “How can I become an eAdvisor and increase my business profitability?”  The answer is simple; digital document management.  eFileCabinet’s document management software (DMS) allows advisors to leverage modern technology by providing a multitude of functions and features that can help you on your way to becoming a profitable eAdvisor.

Increase Productivity—Professionals spend 5 – 15% of their time reading information, but an astounding 50% of their time searching for it. One of the key features of DMS technology is the ability to locate information at the click of a mouse. Imagine being able to retrieve information on demand while clients are on the phone, rather than putting them on hold and physically having to search for documents. With eFileCabinet’s DMS, eAdvisors can locate documents almost instantaneously, using powerful built-in search functions. Furthermore, eFileCabinet has been built from the ground up with systematic approaches to organizing documents, so users need not worry about messy duplicate files. In the end, eFileCabinet allows eAdvisors to spend less time looking for documents and more time productively using the information and attending to clients.

Reclaim Office Space—In the finance services industry paper multiplies at a rapid rate. PriceWaterhouseCoopers estimates that there are an estimated 4 trillion paper documents in the United States alone, and this number is growing at a rate of 22% annually. This comprises 250 million documents created daily with an additional 3.4 billion copies and printouts made each day. It is not difficult to see that paper storage is quickly filling available office space. With eFileCabinet’s DMS solutions, your information is stored digitally on unalterable media, bringing your organization one step closer to becoming totally paperless. Going paperless helps save money on overhead and other office-related costs like photocopying, office supplies, and rent for both on-site and off-site filing storage.

Streamline Workflow—Workflow provides the ability to automatically route documents and provide email notifications to staff as required when predetermined actions are taken. eFileCabinet possesses a powerful workflow module with an intuitive user interface that helps advisors successfully define workflows and eliminate the physical moving of documents from one place to another. With eFileCabinet’s workflow capabilities, documents are automatically routed to appropriate persons who can remain productive and more effective at the desk. No more figuring out where documents are supposed to go; no more transporting physical documents before action is taken. Ultimately, eFileCabinet’s workflow allows staff to make more efficient and productive use of their time, resulting in a more profitable and responsive organization.

There are many other benefits eFileCabinet’s digital document management software can offer to finance professional. These include increased return on investment, improved communication with clients, enhancing business continuity planning, and added value to existing technology investments. To discover these and many other benefits, fill out the form provided for a free 15 minute demo.

By | 2016-12-15T11:59:08+00:00 December 11th, 2015|
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