Tech companies enter asset management?

survey amongst asset managers has shown, that they combine a generally positive market outlook with a fear about new competitors entering the market from other industries. While just a year before, leaders in financial industry had seen – for example at the World Economic Forum in Davos – regulation as a key factor, financial professionals obviously have a certain respect now about becoming a victim of a disruptive technology. In the media however, commentators wouldn’t put tech giants like Apple, Google and Amazon past them in successfully entering the asset management arena.

While it’s not clear whether or how exactly the mentioned companies will enter the market, China’s internet giant Alibaba has proved that, at least in China, a tech giant might enter the market and rapidly gain a significant market share: The money market fund Yu’e Bao as part of Alipay of the Alibaba Group has had 185 million clients investing USD 93 billion in 2014; which means they’re China’s number one in asset management. Whether this might be a model for the rest of the financial world or not – it shows that digital expertise is so relevant that a non-industry member might gain a significant share in the market.

Embracing change – supporting digital transformation

Wealth managers also accept the internet with its rapid evolution today as an opportunity to tap or venture into an exciting new future for the company and for wealthy clients. Kaiser Partner as a globally active boutique wealth advisory group has considered digitalization since many years as a key driver of the world and the wealth management industry in special and is seriously investing into “going digital”. With the new group’s affiliated company 21iLAB with offices in Vaduz, Zürich and Milan they are developing smart digital solutions for mobile devices. Wealth advisors and clients can already and will soon experience the new digital experience with more interaction using the internet, and with this digital magazine “perspectives”, with the wealth.tv and with many other exciting feature in the making. Wealth managers are joining the 4th industrial revolution as Klaus Schwab from the World Economic Forum would put it.

For further information and contact, please visit 21ilab.com.

Editorial Team

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