Digital transformation doesn’t have to be painful — but it does have to be clear. Our colleague Hannah Buckle shares sharp insights in her latest feature for IFA Magazine — a must‑read for anyone navigating modernisation in wealth management.
Hannah Buckle, head of UK sales at Dorsum, outlines how digital transformation in wealth management depends on clear goals and the right technology partner, with modern systems helping firms enhance client experience, meet regulatory demands and operate more efficiently.
Digital transformation must start from one point of clarity between wealth manager and technology partner: what is the pain point? What is the end goal?
If there isn’t clear, common understanding of the work to be done and why it’s being done, the process is never going to be easy. You need your tech partner to be able to repeat back to you exactly what it is you want from the process before you begin.
A modern interface including client portals, data dashboards, modern reporting and onboarding tools is now considered essential for today’s wealth manager. Clients expect to interact with technology that is intuitive, easy to use and feels natural among the host of other apps they use day to day. That means putting off implementing new tech is likely to result in poor long-term outcomes for your business.
While it may seem easier in the short- and even medium-term to delay digital transformation, the right process will be infinitely more efficient for both business and client than to continue operating on legacy systems.
Improved technology
On top of service expectations among clients, there are many great reasons for a digital upgrade, and there should be less fear of embedding a modern system.
Let’s take the regulatory argument for digital overhaul. Investment managers are expected to deliver clearer, more transparent reporting to clients alongside demonstrating robust governance around data, communications and record keeping. Legacy systems make remaining compliant with Consumer Duty challenging, while newer technologies are built with regulatory reporting in mind.
Wealth managers are deeply concerned about client vulnerability – it’s crucial to identify it and adapt their service appropriately. Utilising technology to embed a framework into the digital wealth management journey can help to ease anxieties around vulnerability by helping to make identification systemic, actions consistent and evidence auditable.
Related to that is operational efficiency; modern technology is faster, easier to manage and more efficient. This means staff time can be freed up to spend more time nurturing existing client relationships and seeking out new business opportunities, not dealing with clunky systems, spreadsheets and filing cabinets.
Digital transformation doesn’t need to be a painful process. Effective, efficient implementation is possible and should be something wealth managers expect from their technology partner(s).
Implementation and transformation
The starting point of a successful digital transformation journey is finding the right technology partner. The right partner will be well-versed in regulatory requirements and understanding of client expectations, with technology built specifically to help collect and record MI data.
The right partner should offer a collaborative process; it shouldn’t feel like technology is being crowbarred into your business. Tech providers should undertake a feasibility study ahead of implementation to ensure they can fully meet the needs and requirements of their partners. This process should include ample due diligence around legacy platforms or data that may be problematic later down the line.
It also helps establish a comprehensive idea of what’s required and makes sure both parties are aligned on the goals of the project. It’s also crucial to providing a roadmap and setting expectations, as well as building relationships with key stakeholders and decision makers integral to the implementation process, ensuring the project stays on track.
Communication is a vital part of the process. It aids internal buy-in, particularly among those more reluctant to use newer and different technology than they are used to and is essential to smoothly working towards the end goal.
Demonstrating value, suitability, clear communications and record keeping are vital in adhering to Consumer Duty. The chosen technology partner therefore needs to understand the ins and outs of UK financial regulation to ensure they are delivering a service that not only enhances the client experience but also helps with regulatory reporting.
Among of all this it’s important to remember Rome wasn’t built in a day. Regrettable transformations are often caused by rushed and botched jobs – it’s tempting to go “all in” with a full-scale end-to-end wealth technology overhaul, but it can be better to work in phases. A phased approach can be simpler to implement and reduce risk; it helps to avoid running into unforeseen problems, allows both parties to learn lessons from previous phases, and avoids delays due to the more complex customisations that could be made in a later phase.
Embarking on a digital transformation is ambitious and can feel intimidating but it’s an essential upgrade to make if wealth managers are to remain competitive in 2026 and beyond. Digitisation isn’t going anywhere and embracing that evolving consumer culture will be much more effective than ignoring it.
The right technology partner will make the adoption process feel like a collaborative effort that will deliver meaningful change, ultimately helping to serve a broader range of clients more efficiently and effectively.
By Hannah Buckle, head of UK sales, Dorsum
