by Olivier Grandjean
Senior Manager, Technology Services
April 30, 2018
“According to 13% of Orbium C-Level survey participants, developing strategic partnerships with financial intermediaries is among the top three priorities to drive revenue growth and unlock further B2B client segments”
When a bank undertakes a core banking transformation project, one easily overlooked group are the external asset managers (EAM). Trust managers, insurers and other intermediaries, whether they are single users or large corporations, all need great services. They want real-time reporting and adapted investment services, just as bank staff do.
However, by their nature, external stakeholders are remote from the team running transformation projects and so are not always consulted. Perceived as external relationship managers, transformation teams also tend to assume all EAM’s needs will be covered by a set of existing relationship manager’s capabilities.
This means that when the dust settles on a transformation project, EAMs are often left out in the cold.
They are expected to use the same e-banking front end as the bank’s customers, which does not offer the depth and flexibility they need, together with some bolted-on external tools. Worse, they are sometimes given access to the bank’s back-end systems, which are far too complicated for them and require a lot of support.
The result is that EAMs lose satisfaction with the bank and, in some cases, make less of use of their accounts. In turn, the bank sees a drop in income or a rise in support costs – sometimes both.
It doesn’t need to be this way. One of the key products in the market differentiates itself by offering front workplace technology with a flexible real-time web platform to meet the growing needs of a bank’s intermediaries. Avaloq meets client needs by providing a user-experience design framework that can be easily customised for specific types of external user.
Implementing the EAM workplace as part of a digital transformation project or as a complement to a core transformation project doesn’t just mean a better partner experience compared to the alternatives. The workplace framework offers granular features that can be customised to deliver something truly personal for the various intermediaries and can become a differentiating proposition versus other banks.
Avaloq’s multi-user, browser-based solution is secure and fast, but uses minimal bandwidth and has lower costs than many of the leading contenders.
Its flexibility makes it easy to add only those features each client needs, from standard ones such as financial-situation overviews, trading and client group management, to investments, electronic documents and, in a forthcoming update, advisory offerings, employee entitlements, corporate-action administration or chat services.
More complex features can be offered through targeted marketing, allowing for the possibility of different pricing models for different services.
Implementing a strong initial solution can take as little as six months, depending on agreed scope.
But many bank IT departments will not have the experience of running a project like this, which is why partnering with an external expert such as Orbium can help. As an official Premium Implementation Partner for Avaloq, Orbium is actively supporting banks to provide effective tools for EAMs.
Orbium’s team of Avaloq-certified consultants have worked from the inception of Avaloq web technology in pilot programmes and are strongly involved in customising the first EAM workplaces. As the only Avaloq Training Partner, we successfully lead EAM training for, and on behalf of, banks.
Orbium has structured its Avaloq digital services to deliver a complete final product:
subject- matter experts with strong expertise in front-office, customer and financial-intermediary needs to support product owners and CX design; managers using agile development methodologies to deliver maximum business value in the short term and drive remote teams effectively; and fully-owned near-shore and offshore centres delivering complex projects at the company’s high standards.
The result of a well-implemented platform for EAMs is that they will be more active and independent, meaning lower support costs and more income for banks. It’s an opportunity that too many banks are missing.