Client Reporting Tools Update 2012: An Overview of the North American Market

by Alexander Camargo, October 3, 2012
Industry Trends
North America

Abstract

Over the past 18 months, wealth managers have increased their budgets for client reporting tools. Going forward, Celent expects spending on client reporting tools to increase between 7% and 13% over the next year.

In the report, Client Reporting Tools Update 2012, Celent explores the major business and technology trends and developments in the client reporting tools space over the past 18-24 months. Celent also identifies prominent vendors and describes major strategic initiatives and functionality enhancements.

Despite several vendor acquisitions, the client reporting tools vendor landscape remains very crowded. The market has been highly fragmented over the past two years, largely because there are still a number of wealth managers that are using manual processes. A number of niche providers have differentiated themselves by offering specific functional support and targeting a specific customer segment.

“Wealth managers’ adoption of client reporting tools varies, depending on type and size of firm. However, industry consolidation is likely to accelerate as the market matures,” says Alexander Camargo, Analyst with Celent’s Securities & Investments Group and author of the report. “As new players try to enter the client reporting space, larger vendors will look at acquisition strategy as opposed to building a solution. Vendors looking to corner a specific market are likely to buy some of the specialty niche players.”

This report begins with a definition of client reporting and looks at extended areas of development. The study provides a market update of client reporting from both a business and technology perspective. The following section provides an outline of the adoption patterns and challenges among different types of wealth managers over the past two years.

The report continues by identifying major client reporting tools vendors and their target markets. It also provides a summary of each vendor’s sales, partnerships, and enhancement activities over the past 18-24 months. The providers covered in this report are: Advent, Assette, BI-SAM Technologies, Black Diamond, DST Technologies, EnvestNet, Equipos, First Rate, InvestEdge, Investment Metrics, Private Client Resources, SS&C, Tamarac, Thomson Reuters, Vermilion, VistaOne Solutions, and WealthTouch.

Celent’s considerations regarding where the client reporting tools market is headed conclude the report.

This 38-page report contains three figures and 14 tables.

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned subsidiary of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

Executive Summary

1

Introduction

2

 

Defining Client Reporting

2

 

Categorizing Vendors

4

 

Criteria for Vendor Inclusion

4

Recent Developments

6

 

Business Developments

6

 

Technology Developments

7

 

Stage of Adoption

9

Vendor Overview

13

 

Vendor Landscape

13

 

Target Markets

20

 

Sales and Partnerships

22

 

Vendor Functionality Enhancements

25

Differentiators

29

What’s Next?

31

 

Business Trends

31

 

Technology Trends

31

Leveraging Celent’s Expertise

33

 

Support for Financial Institutions

33

 

Support for Vendors

33

Related Celent Research

34

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