[May 21, 2013] Ashcourt Rowan joins outsourcing bandwagon Tweet May 21, 2013 (Datamonitor via COMTEX) -- Ashcourt Rowan's move to outsource investment management administration to TD Wealth underlines the balance that must be made between company focus and meeting client demand in the post-RDR world. Cost savings and regulation are still encouraging a return to core operations, but conversely, HNW clients are seeking more products directly from their wealth managers. According to Datamonitor's 2012 Global Wealth Managers Survey, UK wealth managers strongly agree that clients are increasingly seeking pension advice and products directly from them. Outsourcing provides an answer: significant cost savings will allow wealth managers to focus on core strengths while still meeting changing client demand. Indeed, Ashcourt Rowan can inexpensively satisfy its clients' demand for online access by using TD Wealth's already established platform. Granted, outsourcing appears counterproductive when the value of the client is essentially passed through to an external service provider; however, it allows wealth managers to focus back on the client relationship. In the RDR environment where demonstrating value is increasingly important as firms seek to avoid costly advice price wars, this is no bad thing. Moreover, with the RDR encouraging wealth managers to outsource services, outsourcing providers have seen the market opportunity and streamlined their offerings to become more efficient than ever. With tax and inheritance planning forecast to grow in demand as much as discretionary and advisory asset management among UK HNW individuals within the next two years, 2013 will be an important year for wealth managers to decide where their core strengths really lie. For further information on this topic please consult Datamonitor's 2013: Trends to Watch in Global Wealth Management report (CM00245-002, May 2013) or contact Edward Felmingham at [email protected]. http://www.datamonitor.com Republication or redistribution, including by framing or similar means, is expressly prohibited without prior written consent. Datamonitor shall not be liable for errors or delays in the content, or for any actions taken in reliance thereon [ Back To TMCnet.com's Homepage ]