Wealth & Brokerage

Wealth

Despite the emergence of a number of large and profitable players, the asset management and private client industry remains fragmented; open to both new competitors and new forms of value creation for clients. Client wealth continues to grow faster than the solutions for it, with the result that most investors have neither the results nor the services they want and need. Although it is clear from recent events that clients are prepared to pay for both, most firms in both businesses chronically undercharge for the value they bring, thereby impairing their ability to invest in innovation. Novantas believes further capital — both financial and human — will be needed by most market participants to get this right.

We assist global asset management and private client firms improve revenue growth and value creation by aligning products, pricing, and servicing to specific customer segments. We also help our clients identify niche markets to enter and strategies for them to win. We continue to invest in developing programs around the three key drivers of change in the asset management and private client businesses: outsourcing, risk diversification and transference and improving retirement solutions.

Brokerage

The brokerage industry is emerging out of a decade of some of the most significant transformations the industry has ever seen. Online brokers have broken the traditional pricing structures, decimalization has squeezed bid / ask margins, self-service customers have disintermediated traders, and open investment platforms are now a commodity. As a consequence, brokers are having a difficult time determining how to compete. Novantas believes further consolidation is necessary to continue to leverage operational scale. The servicing model needs to be able to support a more segmented approach to customers with an expanded array of investment options for both self-service and advised accounts.

We assist online and traditional brokerages develop unique product and servicing propositions for each customer segment they serve. This includes understanding behavioral and attitudinal segmentation schemes, designing products and services and associated pricing and developing segmented servicing models.