Understanding The Unique Needs Of Financial Advisor Software

It’s difficult to envisage any industry operating efficiently without some level of technology, and with the complicated numbers that financial advisors handle – why would they be any different? That being said, financial advisors have unique needs that financial advisor software must meet.

Why It’s Important

Financial advisors manage a broad assortment of tasks. They aren’t just offering financial advice and guidance, they’re also holding meetings, expanding their clients, and handling investment management and administrative duties. With so much on their plates, it is no wonder more are relying on automation tools to ease their burden.

Automation can improve productivity, by digitising, providing detailed analysis and insight, as well as improving communication. Automation handling administrative duties, such as data entry creates more time for customer service and catering to clients. Those are jobs that increase revenue versus busy work that often leads to human error. It’s also key in terms of client data collection, which can be a time-consuming, error-laden project. Likewise, automation can also aid with compliance.

The Different Types of Automation

With all different types of automation, the simplest way to break them down is into three specific categories. In the first category, you have the software that comes with all of the bells and whistles. They are as detailed as you can possibly get, which means that for some they are far more complicated than most businesses need. The second category focused almost entirely on providing ease of use as a result of pushback on the first category. And the third is what professionals refer to as a light touch system. It’s quick, easy to use, and offers simple analysis.

With this variety of options, many choose to find individual solutions from different providers. The risk with this is integration and compatibility, as well as rising costs. For the most part, you should be able to find a single solution that covers all of your bases.

One of the most common programs financial advisors rely on is a tool that facilitates both financial planning and strategies. They also rely on tools that provide assistance with portfolio management, risk tolerance, investment analytics, customer relationship management, document management, as well as trading and rebalancing solutions. So, finding an automation tool that can do all of the important tasks is key. And, while companies will likely use different software to handle many of the jobs discussed, some of those needs are particularly important to financial advisors.

Selecting Your Automation Tool

There is no one answer to which software is best for financial advisors because everyone operates differently and has different needs. While some are perfectly suited to using a simple solution to manage their business, others require a robust management tool with all the bells and whistles. It ultimately comes down to needs and budget.

Whatever the size of your business, there will be a solution that meets your need. The key is knowing what issues you are trying to solve with the software. As it’s a large investment and can be a time-consuming implementation, this is something that will impact your business for years to come. So, getting it right the first time is imperative. Set your objectives, look for a solution that meets those objectives, and ensure your team is fully trained on how to utilise the system.