Private Client Conference Debrief, 2023

Perspectives and Key Themes from Wealth Management Executives

Recently, SIFMA hosted our 2023 Private Client Conference. With two days of presentations and events, we gained insights into top-of-mind topics for wealth management executives. Inside this note, we recap just some of what was seen and heard, including:

• The Industry Outlook: Innovation, technology, and trust drive capital markets. Markets are more complex to navigate, leading to an increase in the demand for advice and satisfaction with advisors; clients’ willingness to pay for advice now 60%, +20 pps since 2008. While digital engagement has become a piece of the puzzle for advisors, self-serve only is not even that popular with younger investors (12% Millennials, 23% Gen X); hybrid models offer the best of both worlds. Competitive dynamics and cost pressures increase the need for transformation; 28% of IT budgets are dedicated to digital transformation, +17 pps Y/Y. 37% of advisors are expected to retire within 10 years; succession planning should not be considered unexpected, it is inevitable.
• The Regulatory Landscape: Reg BI – needs to be woven into a firm’s DNA (the client’s best interest is the most important thing); the regulation was a good refresher and a guide to help firms up their game. Remote work – the industry is still trying to figure this out, while the temporary relief allowing firms to remotely examine branch offices expires at the end of 2023; we wait for more information on FINRA’s proposed remote work pilot.
• Market Touchpoints: This report also includes our pre-conference survey and audience polling results.

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Author

SIFMA Insights

Katie Kolchin, CFA

Managing Director, Head of Research