+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

High-net-worth wealth managers can't survive the digital age on just 'their name and wood paneling'

Aug 26, 2024, 06:56 IST
DeloitteGauthier Vincent, principal at Deloitte.Brands can be powerful.

Everyone knows that one person who drinks Starbucks' coffee just so they can be seen holding a white cup with a green mermaid on it.

On Wall Street, brands can carry similar weight. Many high-net-worth investors give their money to old legacy money managers just because of the brand of prestige and elitism associated with such firms.

But these firms' reputations will only go so far as the Street continues to digitize, according to Gauthier Vincent, a fintech expert and consultant at Deloitte.

Advertisement

Vincent sees a lot of complacency among the old guard high-net-worth money mangers. He delivered a presentation on Thursday about the future of the wealth management industry at this year's Exponential Finance conference, a financial technology conference hosted by Singularity University, a global network of tech thought leaders.

After his presentation he told Business Insider that the majority of high-net-worth money managers are ignoring Wall Street's wave of digitalization.

"The majority of firms think they can ignore digital, but they can't just survive on their name and wood paneling," Vincent said."They're being complacent because their assets are going up with the markets."

But this won't last forever. Vincent said many firms are seeing their customers run off to firms with more digital offerings. And that run-off will continue to increase as wealth transfers from older generations to younger ones.

"If they don't act know then they are going to lose a whole generation," Vincent said.

Advertisement

High-net-worth money managers, you've been warned.

NOW WATCH: Buying Tesla stock is like buying a call option on Elon Musk

Please enable Javascript to watch this video
You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article