To target high net worth individuals.
By R. Chandrasekaran
CHENNAI: India’s second largest software exporter Infosys has launched a new Finacle Wealth Management solution to help its banking clients to target high net worth individuals (HNWI) for providing personalized advisory services.
The new software will allow banks to introduce new products and services in quick time. This included investment products, financial planning coupled with traditional retail banking services. This is expected to lend a helping hand to banks to strengthen their portfolio offering for HNWI apart from mass affluent customers.
The company believes that this is one of the fastest growing sectors for the banks citing a recent study by Ovum to support its views. The research organization sees a growth of 7.5 percent up to 2016 for the HNWI banking and financial sector, whereas the mass affluent financial planning sector is estimated to witness a growth of seven percent during the same period.
Infosys also quoted Jaroslaw Knapik, senior financial services technology analyst of Ovum, as saying that the global wealth management industry spending will touch close to $35 billion by 2016 driven by huge investment through digital channels. He said, “The HNWI banking and financial planning segment will see the largest growth. The focus will be on providing the client advisor with the tools to improve client communication and loyalty. For the client, the emphasis is one of empowerment; banks will be investing in self-management tools such as personal finance management, portfolio management and goal planning to provide their HNWIs with greater control over their investments and financial planning.”
Finacle is a popular brand from the staple of Infosys and it is quite understandable that the company wants to strengthen the brand by periodical upgrading or adding software solution according to the needs. Therefore, both the banks as well as the consulting company cannot afford to ignore the potential growth that offers higher profits such as the HNWIs and mass affluent customers.
This could have probably made the company to enhance its Finacle wealth management solution so as to allow the banks more leverage in offering personalized advisory services and provide the differentiation to the customers to beat the competition in the lucrative market.