Sept. 26, 2011
/PRNewswire/ -- NFP Advisor Services Group today published the results of a study examining the impact that outsourced technology integration can have on the business of Independent Registered Investment Advisors (RIAs). NFP Advisor Services Group serves financial advisors and is a business segment of National Financial Partners Corp. (NYSE: NFP), a leading provider of benefits, insurance and wealth management services.
The study, commissioned by NFP Advisor Services Group and produced by leading independent research firm Aite Group, concludes that outsourced technology integration tools, such as NFP Advisor Services Group's multi-custodian IndeSuite(SM) platform, provide significant benefits to RIAs, including improved productivity and efficiency, that can boost advisor revenues by up to 30%.
, President of NFP Advisor Services Group, said, "Against the backdrop of an increasingly competitive wealth management environment, it is more important than ever that RIAs operate lean, efficient businesses that allow them to focus more of their time on client service and prospecting. As this study clearly demonstrates, an integrated technology platform is an extremely valuable tool that lets RIAs streamline operational processes and maximize productivity."
The study results demonstrate that, despite the wide range of business applications required to operate their businesses, RIAs' current level of technology integration across applications averages below 50%. Without a fully integrated platform, advisors sacrifice two days per week, on average, for operational tasks such as data reconciliation, performance reporting and fee billing. Supporting advisory staff lose even more time without integration, spending three times as many hours on operations as on client acquisition and prospecting.
In a fully integrated environment, the time spent on operations can be reduced by almost one full day per week for advisors and by 40% for support staff, freeing employee capacity for productive relationship management and business development.