Last week, the Portfolio Managment Association of Canada held their National Conference. This year’s slogan was “Rebooting and Rebuilding. A Path Forward”. This yearly conference is one of the must-attend event in the space of the Canadian Wealth Management, as it gathers a significant number of relevant stakeholders from the Canadian wealth industry.
ESG is top of mind
One of the main topics that was discussed was – how could it be different – ESG. Europe is probably most advanced in the ESG debate; other territories are following. But are we going to save the world by this change in capital flows? The answer is that this, alone, will not go to change the world. On the one hand, investors are looking for returns, on the other hand we need to cut the carbon emissions. Bringing both the sides of the coin together in ‘Green Growth’ is something that, according to the event panel, is still in its early stages, and that probably will reach its full potential in 10-15 years. Investors that decide to shift a part of their capital flow to the green economy, and accurate ESG reporting that shows investors the impact of their portfolio on carbon emmissions are examples of first steps in this change process.
A choice to be explained
Hence, it is important that Wealth Managers can clearly explain to investors the impact of their portfolio and the impact of new additional and more sustainable investment decisions. A crucial role is with data providers and fund managers to provide the right data analytics and transparency. Software vendors need to translate all this into understandable models that can explain to the investors the impact of sustainable choices on their portfolios.
A step further
Another important point emerged during the discussion was that, overall, big and small financial institutions are continuously looking to make the necessary changes in their processes and tools to reduce redundant costs by increasing the flexibility to communicate with clients. In the last years, a lot of effort has been put in the ‘How’. Wealth and Investment firms are communicating to clients via different media. Nowadays, the majority of firms have portals and Apps in place, to replace paper-based communications and documents addressed to their investors. The next challenges, today, are in the ‘When’ and ‘What’ Wealth Managers communicate to their clients: the focus will be put on hyper-personalization of the client relationship, ensuring that selected and relevant information will be presented at the right moment.
About Objectway
Founded in 1990, Objectway Group is a leading provider of investment management and digital software solutions to the worldwide financial services industry. Our omni-channel, omni-device software platform supports the rapidly advancing digital revolution within the wealth and investment management segment.
Under the direction of CEO and founder Luigi Marciano, Objectway has seen steady growth since its inception, both organically and through strategic acquisitions, with revenues topping 60 million euros in fiscal year 2015. Our awarding-winning platform is the trusted choice of leading wealth and investment firms across the globe from EMEA to Canada to Central America.
From offices in Italy, Belgium, the UK, Ireland and South Africa, Objectway's roughly 500 employees support more than 100,000 investment professionals in 15 countries, who manage more than one trillion euros in wealth. For more than 25 years, we've kept our focus on a single vision: combining advanced technology with a deep understanding of business needs to help our clients reshape their wealth management services.
