He added that the challenge for many advisors and wealth firms is to understand why there might be some advisors who are still reluctant to use digital tools and what can be done to get them familiar with the technology close.
“We all know that change is often difficult for people, even when it’s in their own interests,” said Atkinson. “There is a fear of the unknown; It’s easier to stick with the status quo. But the most successful people overcome this fear. “
He highlighted a MacKenzie report that concluded that companies adopting and adapting digital technologies have a strong competitive advantage. However, a recent study of Canadian financial advisors conducted by Environomics found that 35% were known as “fearful traditionalists” and another 17% as “reserve skeptics”.
“As an industry, we need to do more to calm the fearful traditionalists and show the reserve skeptics that digital will stay here and only grow in importance,” said Atkinson. “For the fearful traditionalist, we have to show them that digital really makes their lives easier. Modern first-class user experiences make digital easy to use and extremely intuitive. For some, working on the cloud is still unknown. We need to better explain the auditing and industry standards for cloud security. “
Ensuring that all of their technologies are compatible and working smoothly is critical for wealth management companies to overcome naysayers. Legacy technology can be clunky, fragmented, and difficult to use. Innovative new solutions are comparatively fast, but they must be able to connect with each other. If this is not the case and a consultant has to sign up on four different platforms, it is not only a shutdown, but also inefficient and expensive.