IFAs coming together:
· Importance of networking within IFAs
· Increasing knowledge about the industry and its evolution
· What IFAs need to evolve.
What IFAs need to do to adapt to their surroundings and remain relevant?
This is 2020, with technology reigning the financial domain what do IFAs need to do to adapt to their surroundings and remain relevant?
I came across a recent article in Café Mutual[1] that shared news of an upcoming event of IFAs’ gathering to share their knowledge. This event sprung up from a group created on Telegram specifically as a networking platform to share information and keep abreast of the latest trends in the financial industry. What is interesting is the advisory clan understands that an upgrade is paramount to withstand this technological boom.
The financial industry is growing at a fast pace in terms of technology and recently has been extremely volatile. To stay relevant and to strengthen their operations it is essential for IFAs to network, upgrade and collaborate to survive.
Millennials and Digitized Platforms
Millennials are now the early entrants in the mutual fund markets and prefer digitized platforms that give them complete access and control over their investments. This digital trend is giving IFAs a tough time in new client acquisition. In this scenario, the volatility of markets has been a boon to some extent, millennials and other tech-savvy clients are now turning to financial advisors for expert advice on how to stay invested and diversify to safeguard their investments.
I believe moving forward, the current trend of robo-advisory would further advance making strides in the way advisory functions today. This transformation could enhance market forecasts and predictions, in-turn reducing the cost of advisory in the long-run. In comparison to other developed countries, India is still at a nascent stage to expect every user to adapt to trending financial technology. Needless to say, we are still heavily dependent, trust and prefer humans as intermediaries in comparison to Robos, especially in financial matters. Advisors can take advantage of this to retain clients and increase their bouquet of services to ensure they are servicing every financial need of the investor based on his financial goals.
The 2020 Trajectory
2020 will be an interesting year, the economic slowdown is causing investors to dodge investments in these volatile conditions. IFAs will need to find innovative ways to acquire new clients. From leveraging social media to collaborating with organizations for intelligence, back-end support and cost reduction maybe some of the avenues we could expect.
Conclusion
So, if you are planning to invest in mutual funds, do not hesitate to use the best mutual funds app for android. And if you are willing to upgrade with technological advancements, do not forget to avail the services of the best Robo Advisory in India.
[1] https://cafemutual.com/news/industry/18105-ifas-will-increase-offerings-in-2020-to-grow
By Rajan Pathak, Co-Founder & MD, Fintso
Rajan is known for his in-depth insight into the financial entrepreneur’s venture with 25+ years of establishing various B2B businesses, which gives him the edge and adeptness to scale the advisory business.
As the CEO of IFAN Finserv (formerly ING), Rajan managed a team of 40+ people, created a wide network serving 1300+ Independent Financial Advisors managing assets over $500 million.
Find out more on our website or Rajan's LinkedIn