A double challenge for 2010 : optimize customer relation AND risk management !

As publisher of the Soliam software dedicated to private banking and wealth management, BSB is well placed to analyze the market trends of this particular industry sector.

In our opinion, the private management industry faces today a major challenge: attracting new customers and developing customer loyalty while optimizing the risk management.  

1) Define new target groups, attract new clients and develop customer loyalty

We have observed that the players in the private management industry (private banking and wealth managers) generally adopt a very structured approach to optimize their sales activities. This process comprises at least the following 4 steps : « leads » generation and management, qualification of these « leads » in terms of prospects, setting up of the prospect’s full profile and conversion of the prospect into customer.  

It is extremely important to set up a complete profile for each individual prospect. It has to take into account his financial situation, the level of risk he is willing to take, his objectives and the time frame in which he wants to achieve these objectives. It is only by basing his proposal on the prospect’s full profile that the commercial manager will be able to make an offer that completely meets the prospect’s needs…  and convert the latter into a customer !

So it is essential for each player in the private management industry to have a software solution that covers all the steps of the selling process. This software should also be able to meet the specific processes of each company.    

As the Soliam software of BSB has been developed with and for the major players in the private management industry such as Carmignac Gestion, it fits their exact needs. Its CRM module for instance allows to manage the prospect’s or client’s profile in a thorough but flexible way. Soliam also allows to make automatic propositions with regard to asset allocations based on the profile. Moreover, Soliam can be easily adapted to the very specific needs of private managers thanks to the used architecture and technology (Java, Rich Internet Applications).

2) Optimize the risk management

The optimization of the risk management has become a very popular topic for financial companies as well as for their clients. Clients of private banks or wealth management companies are no exception to the rule.

In practice, these clients want a comprehensive, personalized, precise and regular follow-up of the performances of their assets and of the associated risks. They expect total transparency from their private manager as well as detailed analyses of the risks they take and of the performances they can expect.  

Once again, it is essential for each player in the private management industry to select a management software that is able to meet the client’s needs with regard to follow-up and transparency. So this solution should allow to follow-up all the performance and risk indicators, to provide clear explanations of the meaning of these indicators and to consult these indicators at any time.  

In order to meet these needs, the Soliam software of BSB contains a highly advanced performance and risk module. This module not only allows a complete follow-up of the performances and risks, but also provides the private management companies and their clients with online support. Moreover, each manager or client is able to customize his own reporting.   

3) Conclusion

The private manager focuses on his client; the client focuses on the risk. This observation explains why the major challenge of private banks and wealth managers in 2010 will be two-fold: optimize the customer relation and the risk management.

So it is essential for each private manager to have a software solution that will allow him to achieve this double challenge. And this is where Soliam gets in. Our client references within the private management industry can testify how their customer relations and risk management have been optimized by selecting Soliam of BSB !  

Patrice Langlois – BSB

Asset management business expert

Product manager Soliam

Erika Bourguet – BSB

Marketing manager