Business Day Wealth Management (Sept 22 2021)

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BusinessDay www.businessday.co.za Wednesday 22 September 2021

INSIGHTS

WEALTH MANAGEMENT

Growing wealth after the pandemic

Managers must •revisit clients’ financial plans, writes Pedro van Gaalen

D

uring the March 2020 market selloff, wealth management strategies shifted from growth to capital preservation.

“Volatility characterised markets in the first half of 2020, but markets subsequently stabilised and largely recovered by the end of the year,” explains Tamryn Lamb, head of retail distribution at Allan Gray.

“At the height of the pandemic, there were signs that investors shunned higher-risk products, instead favouring cash and lower-risk options. This behaviour proved costly if investors did not re-enter the market to time the subsequent recovery, which, as we know, is hard to do.”

Prudent portfolio tilts that retained exposure to select equities benefited from the rebound, with many clients enjoying market-beating returns after pivoting portfolio allocations towards thematic trends around technology and health care.

Chris Potgieter … seen a shift.

Wealth managers must now navigate a complex landscape to continue growing client portfolios amid sustained volatility due to local political factors, such as the recent civil unrest, coupled with rand volatility and global uncertainty about new virus variants.

Despite the risks, SA’s high net worth individuals (HNWI) have largely stayed the course and remained invested throughout the volatility.

“We expected more outflows in the wealth sector due to the unrest and ailing economy, particularly with discretionary investments, but we remain in a net positive position,” says Chris Potgieter, MD of Old Mutual Wealth Private Client Securities.

While many financially distressed retail investors divested to address financial shortfalls, Potgieter believes

HNWIs were typically insulated from the economic hardships caused by the job losses and lost income experienced by the broader market. “Instead, we have typically witnessed a shift between investment strategies and products, particularly a shift from domestic to offshore exposure,” says Potgieter.

As the macroeconomic environment and consumer circumstances change, Standard Bank’s Head of Wealth and Investment South Africa Sanah Gumede says wealth managers must revisit their clients’ financial plans.

“The pandemic affected people in different ways, from income constraints to emigration considerations.

Wealth managers must ensure their investment strategy takes these changes into account.”

According to Gumede, wealth managers should conduct a comprehensive suitability analysis to articulate the client’s objectives and update their strategy accordingly to achieve the defined investment goals.

“It is also important to consider a client’s reaction to the Covid-19 market correction when performing this analysis.”

With uncertainty set to characterise global markets going forward, wealth managers must prepare clients for volatility over the short and

medium terms, says Dan Hugo, CEO of PSG Distribution.

“Trends do not only run in one direction and reversals occur from time to time. This means it is inherently risky to position a portfolio with only one possible outcome in mind.”

Lamb echoes this sentiment: “As nobody knows for sure when or how the world will emerge from the Covid-19 crisis, it is important that wealth managers position portfolios for a wide variety of potential future outcomes, rather than taking a big bet on one particular scenario playing out.”

Hugo says this reality underscores the importance of a multilayered approach to diversification across shares, sectors, asset classes, managers and geographies.

In this regard, the strength of the global economic recovery supported the second quarter’s corporate earnings in developed economies and now offers investors potential performance across a range of asset classes, believes Viviana Van Agtmaal, Chief Representative Officer at Banque SYZ SA. She says: “We are entering a ‘normalisation’ phase in monetary and fiscal policy as growth in developed economies stabilises and central banks and governments in the US and Europe remove the support provided during the pandemic.”

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Regulations impact sector players SA’s dynamic financial services regulatory environment directly impacts wealth managers as industry regulators strengthen their supervisory role and more closely monitor resources to improve tax compliance and mitigate against potential systemic risks.

“The industry’s expanding regulatory framework aims to deliver numerous benefits, such as stability, consumer protection, efficiency and competition,” explains Sonja Steyn, Head of Wealth Management Strategy at Momentum Consult.

“These evolving regulations have a significant impact on all industry players in terms of compliance, transparency, technology, client service levels, the products they offer and their cost bases.”

The numerous proposed and

implemented regulatory changes necessitate ongoing training and upskilling among wealth managers, coupled with regular engagement with clients to inform them of pertinent developments.

“Recent changes to the rules around citizenship, exchange control and tax residency provide a good example. Wealth managers need to guide their clients through these changes and make sure they are aware of the impact,” explains Tamryn Lamb, head of retail distribution at Allan Gray.

The wealth management industry must also find innovative solutions and streamline internal processes to meet the increased risk management and compliance requirements inherent in this regulatory environment while keeping costs low.

“In response, many wealth managers are adopting fintech strategies to improve risk and compliance management while also delivering better customer service and ensuring fair outcomes for clients “Moreover, adapting to these fast-paced changes in regulation, wealth managers require a change of attitude and a willingness to embrace the challenges that come with change,” says Steyn.

Product development within the asset management space has also helped to address key issues faced by wealth managers.

Wehmeyer Ferreira, COO at Stanlib Index Investment, draws parallels between SA’s financial regulatory landscape and those found in the UK and Australia.

“The changes we are experiencing are not unique. A

significant portion of the increase in regulation focuses on transparency.”

And a major focus across the global financial services industry relates to greater transparency around fees.

“A combination of current fees and lower returns put the spotlight on the overall cost of investment. However, the development and emergence of index tracking and systematic active products have addressed fee pressure without compromising the client value proposition,” adds Ferreira.

“Consequently, wealth managers who structure client portfolios appropriately to diversify and mitigate risk use a mix of both active and passive investments, while looking both offshore and locally for investment value transparently and cost-effectively.”

Doing good, while doing well The emerging generation of private wealth clients holds differing values and beliefs from their older counterparts. The millennial generation, in particular, wants their investments to have a real, tangible impact on the world while realising a compelling return on their capital.

And the global Covid-19 pandemic magnified the need for urgent action on existing issues such as inequality, food security, access to health care and global warming.

Increasingly, wealth and

asset managers cater to these client expectations by providing direct access to a growing basket of sustainable investments that focus on environmental, social or governance (ESG) issues.

For instance, Investec’s Global Sustainable Equity (GSE) Fund prioritises investment into companies that do good, with the aim of helping investors do well.

By investing in companies that operate in line with the United Nations’ 17 Sustainable Development Goals (SDGs), the

next generation of wealth clients can do their part to ensure there’s a better future for the planet and its inhabitants.

The SDGs were adopted in 2015 to end poverty, protect the planet and ensure people enjoy peace and prosperity by 2030.

“Through the Investec GSE Fund, investors can invest in companies we believe can provide attractive investment returns over the long term, through the lens of the SDG framework,” says Investec Wealth & Investment fund manager Barry Shamley.

“Investment is, by nature, a long-term commitment that aims to guarantee future wealth.

By investing in the Investec GSE Fund, investors combine growing wealth with helping create a positive, sustainable global environment.”

And the link between sustainability and performance is closer than many believe, says Shamley. “Business practices and outputs that align with the SDGs provide a net positive outcome for the planet and its people while aiming to deliver positive returns.”

LIVE YOUR LEGACY A LEGACY IS MORE THAN THE SUM OF YOUR LIFE’S WORK. It is your passion, your ideals, your purpose and your gift. It is not just the wealth that you accumulate and pass on. It is the means to reimagine the next chapter of your journey.

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Alexander Forbes Financial Planning Consultants (Pty) Ltd (FSP 31753 and registration number 1995/012764/07)

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BusinessDay www.businessday.co.za Wednesday 22 September 2021

INSIGHTS: WEALTH MANAGEMENT

Offshore portfolios offer diversification

• Global markets give investors access to a broader investment universe

H

igh net worth individuals (HNWI) who retain the bulk of their assets in SA are missing significant opportunities to protect and grow their wealth in real terms.

“Many wealthy South Africans fall prey to home bias.

This is either due to necessity, with the bulk of their wealth tied up in illiquid assets or local businesses, or because people prefer to invest in what they know,” says Chris Potgieter, MD of Old Mutual Wealth Private Client Securities. “Consequently, most investors hold a disproportionate percentage of their wealth in the local market, investing only 20%30% of their discretionary investments offshore.”

This offshore allocation is well below the 50%-70% that Potgieter advocates to clients, which is problematic as the South African market represents less than 1% of the global economy.

“This investment strategy transcends issues around local politics or rand volatility. From a pure investment opportunity perspective, expanding portfolios offshore offers numerous diversification benefits,” continues Potgieter.

“But diversification is not just about managing risks — a concept lost on many investors.

It also allows investors to access a broader investment universe to participate in upside growth opportunities unavailable in SA’s

Mark Kitching … mobility. highly concentrated market.

Missing these opportunities is itself a risk.”

However, rising capital outflows from SA suggest more local investors understand the need for offshore exposure.

Mark Kitching, Executive Head: Wealth at Alexander Forbes, says offshore exposure has always formed a key component in the wealth management strategies the firm advocates to its predominantly late pre-retirement and early post-retirement clientele.

“While most clients already had an offshore component in their portfolios, because they understand the long-term benefits, we received more enquiries about moving more wealth offshore following the civil unrest in the country.”

Kitching explains that most clients require advice on how to effectively move capital offshore with the greatest tax and estate planning efficiency.

“Many older clients are

thinking about how they can transfer their local wealth to children who have emigrated.

They also want greater wealth mobility as the pandemic and the remote working revolution have fuelled a desire to spend more time with family who live overseas. We use regulated approved funds to move capital offshore or endowment products to wrap investments for the tax efficiency and estate planning benefits.”

Wealth clients who invest offshore for different reasons can also consider feeder funds or other forms of asset swaps, such as bespoke portfolios, in addition to physically externalising their wealth.

“Asset swaps leverage an asset manager’s offshore capacity to give South African trusts and companies ineligible for a foreign investment allowance, or individuals who want more offshore exposure as part of their domestic investment solution, indirect access to global markets,” explains Sanah Gumede, Standard Bank’s Head of Wealth and Investment South Africa.

“However, clients should always obtain advice from their wealth manager to consider the most appropriate solution.”

This advice would also relate to the ideal asset class and geographies in which to invest.

“Diversification across regions, asset classes, sectors and asset managers is paramount and the client’s needs, objectives and risk

profile should drive these allocation decisions,” she says.

From an asset class perspective, Bryn Hatty, Chief Investment Officer at Stonehage Fleming South Africa, highlights various mediumterm valuation and longer-term structural opportunities in global equity markets.

“From a geographic perspective, the UK falls into the former category. Valuations are depressed due to uncertainties around Brexit. UK equity markets are also trading at the widest discount to the US in over a decade. Therefore, it is unsurprising to see the recent increase in private equity activity. However, we expect the economy will benefit from a successful vaccination rollout.”

In contrast, Hatty considers Asia a regional longer-term structural growth opportunity, while insurance and health care offer sectoral opportunities due to their respective valuation and longer-term global demographic trends.

In addition to health care, Potgieter cites the technology sector as another opportunity for upside growth.

“There are short-term risks regarding valuations, but investors need to look at these opportunities through a longterm lens, and current trends suggest the risk is worth taking.”

Outside of equities, offshore cash and bonds don’t make sense due to the prevailing low interest rate environment, believes Kitching.

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Next-gen segment wealth trends Numerous demographic shifts currently under way across the wealth spectrum will alter the complexion of wealth management over the next decade.

The last of the baby boomer generation, who hold the bulk of global wealth, are reaching retirement age, and the transfer of wealth from this generation to their children has begun.

“Dealing with a rapidly ageing population is creating a huge shift for the international financial institutions in the developed world. Life expectancy is growing and, therefore, client funds need to pay for their lifestyle and medical costs much longer,” explains Viviana Van Agtmaal, Chief Representative Officer at Banque SYZ SA. However, many wealth managers traditionally focus on

offering wealth accumulation advice rather than income planning. Wealth managers will need to blend their advisory models to cater to both client objectives.

“These requirements will also directly impact the wealth inherited by the next generation.

Leaving an inheritance, which used to be one of the top three investments aims of clients, has become an almost impossible task,” continues Van Agtmaal.

The younger generations will likely receive smaller inheritances in general unless wealth managers can adapt to market conditions, she says.

“Diversification and protection against downfalls on portfolios will become key factors to maximise returns on investment.”

Similarly, wealth managers and advisors are ageing rapidly.

As such, the industry must prepare for a significant workforce transition.

“Wealth managers will need to appeal to a much younger generation than they used to,” says Van Agtmaal.

The wealth management industry will need to recruit sufficient advisors to maintain current service levels and train them appropriately to respond to the next generation’s investment and engagement preferences.

According to the Boston Consulting Group’s (BCG) 21st annual Global Wealth Report, the next-gen segment, composed of individuals between 20 and 50 years, will emerge as an influential driver of future growth over the next 10 to 15 years. Importantly, the next generation doesn’t want to be treated like their parents,

based on survey feedback. Yet many wealth managers are not attuned to these generational differences.

Wealth managers will need to refresh their business models and approaches and explore new product and digital frontiers to deliver the calibre of service that meets the needs of the emerging generation of high- and ultra-high net worth individuals.

“Those willing to stretch their models will be strongly positioned to capture the next wave of growth, which is likely to be very large,” says the report.

In this regard, the BCG report says the next generation collectively has longer investment horizons, a greater appetite for risk and, often, a desire to use their wealth to create positive social impact as well as solid returns.

Blended engagement the way forward Value-adding client engagement is a non-negotiable in the advice-led wealth management value proposition.

However, lockdown restrictions forced the wealth management sector to adapt its traditional high-touch client relationship model. Like other industries, wealth managers turned to digital technology to meet with clients and provide financial advice, which proved vital during the height of the pandemic-fuelled sell-off.

“Two years ago, online meetings were not the preferred choice with clients.

Most preferred a face-to-face approach, especially older clients who were generally less tech-savvy,” explains Gill van Gass, Wealth Associate at Alexander Forbes Wealth.

“Today, most clients no

longer consider online engagements as an inferior low-touch interaction.

However, that perception depends on the strength of the client relationships before the pandemic, in our experience.”

Wealth managers and clients have embraced various digital platforms in response to the pandemic, with many relying on video conferencing tools such as Zoom or Microsoft Teams while others prefer mobile platforms such as WhatsApp. Dan Hugo, CEO of PSG Distribution, believes a hybrid advisory model that blends technology with face-to-face interactions will become the norm beyond the pandemic.

“Some clients will continue interacting digitally, while others will prefer face-to-face meetings. Tailoring the client

experience to suit their circumstances and ensuring the client always feels heard and valued will deliver that vital human touch, regardless of the communication channel.

Ultimately, it boils down to the quality of the engagement and its intent.”

This blended engagement model gives wealth managers scope to deliver better value to clients through more focused and individualised advice and more frequent interactions.

“For example, providing ondemand access to wealth managers via online channels has made it possible to connect more regularly with C-suite execs, who typically have busy, inflexible schedules. Now they can connect whenever they get a gap,” explains Van Gass, adding that “using online

interactions to deal with administrative tasks also creates opportunities to use face-to-face meetings to build rapport and deepen the client relationship with more personalised interactions”.

Leveraging robo-advisors as part of HNWI financial planning strategies in SA will amplify this value-adding benefit: “These tools allow wealth managers to scale their practices without adding administrative or compliance costs,” explains Grant Locke, Head of OUTvest.

“These platforms empower clients to manage more of their wealth, from implementing goals-based savings strategies to accessing investment products via a cellphone, tablet or PC. This allows the advisor to focus more time on servicing the client and delivering advice.”

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BusinessDay www.businessday.co.za Wednesday 22 September 2021

INTERNATIONAL BUSINESS

JPMorgan’s digital retail bank takes on UK rivals

•

London JPMorgan is challenging British rivals on their home turf with the launch on Tuesday of its longawaited digital retail bank, Chase, as part of what the US lender hopes will be a global expansion.

The launch marks the first foray into retail banking outside North America by one of the US’s most dominant lenders, heaping pressure on British incumbents such as Lloyds, Barclays, NatWest and HSBC. “We have been watching in which markets customers are really ready to do their banking primarily through digital channels, and the UK frankly leads the way in this respect” said Sanoke Viswanathan, CEO of the new Chase bank venture.

The venture, if successful, could see the US bank expand into continental Europe and then globally, he said.

“This is a business that we are building not just for the UK but hopefully for the rest of the

world, and there is a great confluence of talent here across the different product functions, so it’s a great place to build a global headquarters for this new business,” he said.

JPMorgan will tempt customers to sign up for the fee-free accounts with introductory offers, including 1% cashback on debit card spending and 5% interest on small change rounded up from their purchases and set aside in a separate savings pot.

“With a strong technology platform, significant financial resources and a global brand name, JPMorgan could be a serious player in the UK retail banking space,” Nic Ziegelasch, analyst at broker Killik said.

The Wall Street giant enters a

THE MARKET STRUCTURE IN THE UK IS SUCH THAT YOU HAVE TO GENERATE ECONOMIES OF SCALE

competitive British market with razor-thin margins caused by low central bank interest rates and a tradition of free current accounts, as opposed to most global markets where customers pay for even basic services.

“The market structure in the UK is such that you have to generate economies of scale. There are profits to be made but if you are sub-scale or have a high cost infrastructure you’re not going to make it work,” Viswanathan said.

JPMorgan is following US rival Goldman Sachs, which scooped up billions of pounds in deposits when it launched its Marcus digital bank in Britain in 2018 with a then-market-beating interest rate of 1.5% on savings.

It will also compete with digital-only banks such as Monzo, which has attracted about 5-million customers with its signature coral pink cards and user-friendly app, but struggled to turn that into steady profits. /Reuters

Universal’s market debut is music to investors’ ears Toby Sterling and Sudip Kar-Gupta Amsterdam

Wall Street giant’s Chase enters competitive market

Lawrence White

MUSIC STREAMING

Chasing markets: If successful in the UK, JPMorgan’s digital retail bank Chase could expand into continental Europe and globally. /Chase/Handout via Reuters

Universal Music Group’s share price leapt more than a third in Tuesday’s stock market debut as investors bet the music-streaming boom has a long way to run.

The world’s biggest music label, which represents musicians and song catalogues such as Billie Eilish, the Beatles, the Rolling Stones and Bob Dylan, saw its market value leap to €47bn in Europe’s biggest listing of the year.

The group was spun off by France’s Vivendi, which handed a 60% stake in Universal to its shareholders. Vivendi’s market value dropped two-thirds to about €12bn, according to Refinitiv Eikon figures, as it refocuses on other media assets such as pay TV brand Canal+.

Big winners in the Amsterdam listing include US hedge fund billionaire Bill Ackman and China’s Tencent, alongside Vivendi’s controlling shareholder Vincent Bollore, which is retaining big slices of Universal.

Universal chair and CEO Lucian Grainge will get bonuses linked to the listing that could be as much as $400m.

Universal was trading at

€24.97 by mid-session, up about 35% from its reference price of €18.50. The share price of Bollore, which holds 27% of Vivendi, was up 2.4%. The share price of Ackman’s Amsterdamlisted Pershing was up 4%.

Universal’s strong debut vindicates Ackman, who was forced into an embarrassing Uturn after US regulators blocked his plan to invest in Universal via his special purpose acquisition company in July.

Ackman, whose grandfather was a songwriter, opted instead to take a 10% stake via his main Pershing Square hedge fund, which is now sitting on a paper gain of more than 30%.

BEATLES TO BIEBER

Universal hopes to build on deals with advert-supported sites such as TikTok and YouTube as well as streaming services such as Spotify.

“I believe that we’re only at the beginning of the next wave of growth as music subscription and ad-supported consumption is scaling globally and has a long runaway ahead,” said Grainge.

His windfall from the listing comes on top of his €17.5m cash bonus in February after a Tencent-led consortium bought a 10% Universal stake. Universal

business derives partly from rights attached to its huge catalogue, and it also collects royalties for artists it represents across social media platforms.

Covid-19 hit live concerts and Universal’s merchandising business, but ad-supported revenue picked up after a blip.

The flotation carries high stakes for Vivendi, which hopes in the longer run to rid itself of a conglomerate discount weighing on its share price. Vivendi said last week it was about to buy another stake in Lagardere, perhaps paving the way for a full takeover of the Paris Match magazine owner.

Universal’s revenue rose for six years running and is expected to rise at least 10% this year.

The listing is the latest win for Euronext in Amsterdam. Before Universal, Amsterdam drew a record 14 IPOs this year.

Parting from Universal deprives Vivendi of its most valuable asset. Vivendi said on Tuesday it would now own 10.13% of Universal’s shares.

The deal was handled by 17 banks that are expected to get $60m-$65m in fees from advising Vivendi and Universal. BNP Paribas and other lead advisers get the largest share, according to Refinitiv estimates. /Reuters

CARBON EMISSIONS

Uber wants ‘fully green’ food delivery but avoids setting a deadline Ivan Levingston Uber Technologies aims to expand its zero-emissions pledge to food delivery and make the business environmentally sustainable, but CEO Dara Khosrowshahi stopped short of committing to do so by a 2030 deadline for its ride-hailing arm.

Khosrowshahi said food

deliveries Uber makes in Europe are typically carried on scooters and bikes, so it has prioritised cars for its green ambitions.

“We wanted to start with our mainline mobility business, and then based on our learnings there, we will apply them to delivery as well,” he said. “I don’t know if it’ll be included in the 2030 target, but we’re going to

look to drive delivery to be fully green as well.”

Ahead of two weeks of climate talks between world leaders at COP26, several transport-focused technology firms called for faster sustainability targets and expanded urban mobility options.

In a manifesto organised by European city network Polis and

backed by Uber, e-scooter operator Lime, air-taxi company Lilium and several others, they called for Europe to bring forward zero-emissions targets for mobility to 2035. The EU has previously said it aims to be carbon neutral by 2050.

William Todts, executive director of Transport and Environment, an advocacy group,

INSIGHTS: WEALTH MANAGEMENT

Managers and their clients adopt innovative technology Responding to the global pandemic necessitated an acceleration in technology adoption by wealth managers.

While digital disruption remained a far-off issue for numerous industry players, the pandemic forced wealth managers to find ways to circumvent lockdown regulations to maintain regular client contact and service delivery using technological solutions.

However, early adopters have rapidly moved beyond digital engagement and are leaving industry laggards behind.

These early movers are entering the next phase in their digital transformation journey by implementing innovative technologies that can transform the customer experience, reshape client service and inform investment decisionmaking.

“The traditional wealth management model focused on goal-based financial planning, where advisors managed assets over the long term to achieve specific client outcomes,” explains Barrie van Zyl, Head of Account Management at Iress.

“Over the past decade, the industry moved to an adviceled model that provided outcomes-based planning to maximise return on risk. The next evolution under way is a shift to a client-centric model that provides an enhanced client experience using mobile technology.”

According to Van Zyl, the smartphone is a major catalyst for this change. “Clients now expect on-demand access to products, services and data via their device.”

This usage behaviour shapes

Barrie van Zyl … advantage.

Chetan Ramlall … more value.

user experience preferences and expectations, which now apply across industry verticals, from e-commerce providers to wealth management firms.

“Importantly, the pandemic precipitated digital technology adoption and usage among the various generations of wealth clients,” adds Van Zyl. High net worth individuals (HNWI) now demand hyperpersonalised service and advice, with easy, intuitive and seamless experiences across to financial services. They also want less friction when accessing investment products or moving wealth offshore.

Furthermore, SA’s dynamic regulatory environment is forcing wealth managers to transform traditional business models and overhaul legacy systems.

Technology is playing a central role in realising these strategic imperatives. For instance, digitisation across the wealth management value chain streamlines operations and standardises processes to create cost and operational efficiencies that deliver better value to clients while helping to meet compliance requirements.

“Platform-based solutions also provide wealth and asset

managers with easier access to a wider investment universe across more asset classes, both locally and abroad,” says Van Zyl. And wealth managers are leveraging technologies such as AI, machine learning and big data to analyse markets better, track investment performance and make the best investment decisions, explains Chetan Ramlall, Analyst at Stanlib Index Investment.

“Accessing these capabilities requires significant investment in core areas like data management, including data architecture and data science, and cloud-based computing.

Wealth managers who embrace a data-centric mindset and invest in the relevant infrastructure and skills-sets will differentiate themselves from the competition.”

Ramlall believes that wealth

PLATFORM-BASED SOLUTIONS PROVIDE WEALTH AND ASSET MANAGERS WITH EASIER ACCESS TO A WIDER INVESTMENT UNIVERSE

managers will deliver more value to clients as the adoption and use of AI and other innovative data-driven tools accelerates.

“Opportunities will abound, like using robo-advisors to perform individualised riskbased asset allocation for clients, or using machine learning for investment processes and research.”

Moreover, the ability to consolidate a client’s personal, behavioural and investment information across the typically disjointed financial services value chain will create a single view of the customer.

Van Zyl elaborates: “Clients want a consolidated view of their wealth, with the ability to check their investment performance, update their portfolios in real-time and leverage self-service capabilities, such as accessing reports or documents.”

This is currently a major challenge, he says, because the financial services industry is typically structured in silos across banking, wealth, insurance, estate planning and business banking, often within the same organisation.

“However, the ability to seamlessly aggregate data on the back end and integrate systems will become an easier proposition as more systems migrate to the cloud, and more financial services providers adopt uniform data standards.

“Wealth managers who utilise these technologies best within their ecosystem will deliver the seamless experience across every touchpoint that clients expect and gain a competitive advantage as the rest of the industry plays catchup,” he says.

said the manifesto reflects a “good level of ambition” but added that he thought transport in large cities should be emissions-free by 2025, and that regulators should impose rules mandating food delivery be emissions free. “If you create new economic activity you shouldn’t be adding more pollution at this stage,” Todts said.

There have been issues for mobility companies pursuing greener businesses. Uber and Lyft’s 2030 deadline to transition entirely to electric vehicles in North America and Europe has come with a tentative and incomplete approach thus far that trailed broader adoption of electric vehicles in the US’s passenger fleet.

In their manifesto, the companies said cities should prioritise public transport, embrace artificial intelligence to reduce crashes, and introduce regulation to help deploy selfdriving vehicles.

In 2020, Uber reported that its total emissions stood at more than 3-million tonnes of carbon dioxide equivalent.

Wayne Ting, CEO for Lime, said cities need to add more bike lanes and deprioritise parking for cars compared with other forms of transport, to encourage people to leave behind their cars.

“These are types of policies that are going to make people think twice before driving a car into a Ting said. city centre,” /Bloomberg