A new report released by Kidbrooke has revealed the potential of wealth planning software to help insurance companies adhere to regulations, as well as monetise dormant customer segments in their existing books. The challenge of monetising these dormant customers is compounded by the issue of ‘orphans’ – customers who have lost contact with their IFA and no longer have access to advice. In order to effectively monetise these segments, Kidbrooke suggested firms should use customer data that is limited to the specific portfolio, and create an execution filter for when customers make changes to their investments.
Utilising Limited Customer Data
In order to effectively monetise dormant customer segments in existing books, firms should utilise customer data that is limited to the specific portfolio. This data is important in order to accurately target and engage with customers who are suitable for the firm’s products and services. Furthermore, this limited data can also be used to create an execution filter, which can be used to restrict customers from making any changes to their investments without consulting a financial advisor.
Creating an Execution Filter
An execution filter is a tool used by financial advisors to restrict customers from making changes to their investments without consulting a financial advisor. This helps ensure that any changes made to the portfolio are in line with the customer’s overall financial situation, and also helps protect the customer from making any costly mistakes. The filter can also be used to identify any red flags in the customer’s portfolio and alert the customer before they make any changes.
The Challenge of Orphans
The challenge of monetising dormant customer segments in existing books is compounded by the issue of ‘orphans’ – customers who have lost contact with their IFA and no longer have access to advice. These customers can become stuck in an ongoing cycle of inaction, as they are unable to make any changes to their investments without consulting a financial advisor. As such, it is essential for firms to find ways to engage with these customers and provide them with the advice they need in order for them to make informed decisions about their investments.
What is an Orphan?
An orphan is a customer who has lost contact with their IFA and no longer has access to advice. These customers are unable to make any changes to their investments without consulting a financial advisor, and as such, can become stuck in an ongoing cycle of inaction. In addition, many of these customers may not even be aware that they have become ‘orphans’, as they may not have received any communication from their IFA in a long time.
Compounding the Challenge
The challenge of monetising dormant customer segments in existing books is further compounded by the issue of orphans. Not only do these customers lack access to advice, but they also may not even be aware that they are no longer being serviced by their IFA. As such, it can be difficult for firms to effectively target and engage with these customers in order to monetise them.
Regulators and Consumer Protection
Regulators are cognizant of the need for consumer protection when it comes to self-service options and financial advice. As such, firms must ensure that they adhere to regulations when it comes to providing advice and creating wealth planning software for their customers. This includes ensuring that customers are provided with clear and concise information about any changes made to their investments, as well as ensuring that any self-service options are secure and easy-to-use for customers.
Financial Advice and Self-Service Options
When it comes to providing financial advice or offering self-service options, firms must ensure that they adhere to regulations set by regulators. This includes ensuring that customers are provided with clear and concise information about any changes made to their investments, as well as ensuring that any self-service options are secure and easy-to-use for customers. Furthermore, firms must also ensure that any changes made are in line with the customer’s overall financial situation and are not detrimental to their long-term goals or objectives. Additionally, firms should also educate their customers about best practices when it comes to managing their investments so that they are better equipped to make informed decisions about their finances.
Kidbrooke Report on Wealth Planning Software
In order to help insurance companies adhere to regulations and monetise dormant customer segments in existing books, Kidbrooke released a report highlighting the potential of wealth planning software. This software can be used by firms to create customised plans for each customer based on their individual needs and goals. Furthermore, this software can also be used by firms to ensure that any changes made to a customer’s portfolio are in line with the customer’s overall financial situation and are not detrimental to their long-term goals or objectives. Additionally, this software can also provide firms with insights into customer behaviour so that they can better understand each individual customer’s needs and preferences.
Adhering to Regulations
The use of wealth planning software can help insurance companies adhere to regulations set by regulators regarding self-service options and financial advice. This software can be used by firms to create customised plans for each customer based on their individual needs and goals, as well as provide them with clear and concise information about any changes made to their investments. Furthermore, this software can also be used by firms to ensure that any changes made are in line with the customer’s overall financial situation and are not detrimental to their long-term goals or objectives. Additionally, this software can provide firms with insights into customer behaviour so that they can better understand each individual customer’s needs and preferences when it comes to managing their investments.
Potential Applications
The potential applications of wealth planning software go beyond helping firms adhere to regulations set by regulators. This software can also be used by firms as a way of engaging with customers who have become ‘orphans’ – customers who have lost contact with their IFA and no longer have access to advice – and providing them with the advice they need in order for them to make informed decisions about their investments. Furthermore, this software can also be used by firms as a way of engaging with dormant customer segments in existing books, as well as creating an execution filter which can be used to restrict customers from making any changes without consulting a financial advisor first. Additionally, this software can help firms understand each individual customer’s needs and preferences when it comes to managing their investments so that they can better target them with products and services that suit them best.
In conclusion, Kidbrooke’s report has highlighted the potential of wealth planning software when it comes to helping insurance companies adhere to regulations set by regulators regarding self-service options and financial advice, as well as monetise dormant customer segments in existing books – including those who have become ‘orphans’. By utilising limited customer data and creating an execution filter which restricts customers from making changes without consulting a financial advisor first, firms can ensure that any changes made are in line with the customer’s overall financial situation and are not detrimental to their long-term goals or objectives. Additionally, this software can help firms better understand each individual customer’s needs and preferences when it comes to managing their investments so that they can better target them with products and services that suit them best. Ultimately, through the use of wealth planning software, insurance companies will be able to provide consumers with more secure self-service options while still adhering to regulations set forth by regulators – all while monetising dormant customer segments in existing books.
