Team Coverage of Wealth Advisory Clients
Wealth advisory is a core business in banking. Besides creating customer value, banks must fulfill their due diligence. According to the example of a Swiss bank, the paper is working out an efficient setup for providing centralized wealth advisory to retail clients.
Matthias Burkard, 2023
Bachelor Thesis, Schweizer Finanzinstitut
Betreuende Dozierende: Jacqueline Haverals
Keywords: banking, wealth management, advisory, team coverage, remote advisory
The centralized setup poses the challenge of less interpersonal knowledge and a high number of clients per advisor. Currently, the workload conntected to the advisory mandates' service promise is not value-enhancing. One of the reasons is, that much effort is spent on monitoring duties such as client notifications and regulatory-required documentation that are not directly value-creating. The goal is to reduce this effort and work out measures to reach an efficient operating model that creates client value while fulfilling all regulatory requirements.
By applying the Business Process Management Lifecycle the relevant processes and their environments were identified, discovered, internally analyzed, and redesigned. The latter is the centerpiece that contains a literature review, a competitor analysis, and a public survey to design a target image for central wealth advisory. Based on this, a catalog of improvement measures was developed, their utility was assessed by experts within the bank, and an action plan was worked out and proposed.
The target picture enhances efficiency through automated processes for client communication in portfolio monitoring. Future efforts can also be reduced by only covering collective investments within central advisory and cleaning up all legacy cases connected to regulatory requirements. The saved time should be used in a more sophisticated client interaction in advisory situations. Also, data analytics can add client value through personalized, preference-based communication.
The action plan contains quick wins optimizing efficiency through client onboarding on digital channels. Regulatory cleansing campaigns and regular client interaction will foster compliance, but resources must be provided to tackle that. Removing individual securities is a large-scope project that must be initiated immediately to achieve future efficiency optimization. Furthermore, already-ongoing strategic efforts can be joined to enhance the automation of communication processes and online features for clients leading to added client value. An efficient operating model will be achieved through consistent implementation of the plan through a change leader with top-level support.
Studiengang: Business Administration International Management (Bachelor)
Fachbereich der Arbeit: