European Wealth Management Technology Vendors

Evaluating Core Banking Technology for Wealth Management
by Ashley Globerman,  Isabella Fonseca, January 23, 2014
Vendor Reviews
Global

Abstract

The European wealth management industry continues to evolve in the face of increasing regulatory burdens, volatile markets, and low margins. Wealth managers also face a demanding client base, new service channels, and growing competition. These challenges are driving firms to find ways to reduce costs by decreasing vendor relationships while increasing their technology investments.

Wealth management firms are focused on implementing strategies that will help them retain clients and high-value advisors. The report European Wealth Management Technology Vendors: Evaluating Core Banking Technology for Wealth Management is the third report examining the European vendor landscape. This study examines the leading European vendors of core banking platforms for wealth management.

The European technology market is a crowded one. Celent breaks vendors into three distinct categories: front office platform providers, front-to-back office providers, and core banking providers. This report features vendors that focus on providing core banking platforms for wealth management.

“Differentiation and flexibility will be critical to those vendors operating in the wealth management industry due to market competitiveness,” says Ashley Globerman, Analyst with Celent’s Securities & Investments Group and author of the report. “Firms capable of adjusting their business models, customer segmentation strategies, and service propositions will fare better in terms of client retention and accessing new clients.”

This report features a detailed profile for each wealth management platform vendor, identifying its strengths and weaknesses. Also included is a comparison section that evaluates each solution’s features and functionalities and further compares vendors based on various functionalities. Celent provides an ABCD Vendor View, which shows at a glance the relative position of vendors in the following categories: Advanced Technology, Breadth of Functionality, Customer Base (number of clients), and Depth of Client Services on two separate X/Y scales. The last section includes Celent’s considerations of where the market is headed. The following vendors are included in this report: Avaloq, ERI Bancaire, Infosys, Sopra Group, SunGard, and Temenos (T24).

The other two reports in this series are European Wealth Management Technology Vendors: Evaluating Front Office Platform Vendors and European Wealth Management Technology Vendors: Evaluating Front-to-Back Office Technology.

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

5

 

Research Methodology

6

 

Front-to-Back Office Vendors

8

 

Criteria for Participation

8

 

Celent’s ABCD Vendor Analysis

9

Vendor Preview

10

Vendor Profiles

12

 

Avaloq

12

 

ERI Bancaire

16

 

Infosys

20

 

Sopra Banking Software

23

 

SunGard

26

 

Temenos AG

28

Vendor Comparison

30

 

Technology, Delivery, and Implementation

30

 

Partnerships

32

 

Asset Classes, Product Support

33

 

CRM and Account Aggregation Functionality

34

 

Financial Planning Support

36

 

Plan Generation

39

 

Portfolio Management

40

 

Trading and Compliance

42

 

Administration and Multi-Geographic Suitability

42

 

Back Office

44

 

Self-Directed Functionality and Mobility

45

Vendor Ranking

47

Conclusion

49

Leveraging Celent’s Expertise

50

 

Support for Financial Institutions

50

 

Support for Vendors

50

Related Celent Research

51

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