Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Fido's Mirchandani Sees Five Winds of Change Buffeting Advisors Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, December 08, 2015

Fido's Mirchandani Sees Five Winds of Change Buffeting Advisors

News summary by MFWire's editors

A giant RIA custodian sees five forces of change bearing down on advisors.

Sanjiv Mirchandani
Fidelity Investments
President, Fidelity Clearing and Custody
Speaking this morning at the Fontainebleau hotel in Miami Beach at the eighth annual MarketCounsel Summit, Fidelity Clearing and Custody president Sanjiv Mirchandani present his vision of the future of investment advice. Force one, he says, is the big demographic shift coming, as boomers retire and millennials rise.

"If you can do a good job with these demographic changes, you should feel very good about the future of your practices," Mirchandani says.

At the same time, Mirchandani sees a "looming advisor transformation" as the number of advisors in the business has declined for years. He predicts an "advisor gap" of 10,000 by 2020. And he sees a productivity gap, too, in what he describes as "a cottage industry, a group of artisans."

Roboadvisors are just one piece of force three, the "rise of the digital-human interface."

"All of your customers are going to demand a digital interface," Mirchandani says, and you'll have to combine that with human interaction, too.

For force four, Mirchandani sees an up-ending of the importance of advisors' traditional value propositions, with old-school services like alpha generation and manager selection taking the back seat to financial planning and behavioral finance.

And finally, Mirchandani echoes others' warnings of more consolidation coming. RIAs and other advisors, Mirchandani says, "face three stark choices": be consolidators, sell their practices, or focus and differentiate what they do. 

Edited by: Neil Anderson, Managing Editor


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2018
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use