Technology is changing the way people manage their money and everywhere you look, online wealth managers are springing up to challenge traditional wealth managers/adviser.

 

A recent report KPMG shows that the number of DIY portfolios valued between £250,000 and £1m increased by 122% between 2008 and 2010. Over the same period, number of DIY portfolios valued between £1m and £10m increased by 73%. Is this the beginning of the end for traditional wealth management as more and more people go online to manage their investments?

 

Enter Nutmeg! An online Discretionary Wealth Manager (DFM) that is changing how people manage their investments and essentially challenging traditional wealth manager! Nutmeg has raised £3.4m in venture capital funding, literally to give traditional wealth managers a run for their money! But how much of a competition are they? Should advisers be worried?

 

How much damage has recent mis-selling scandals done to investors’ confidence in advisers? For example, UBS fined £9.45m by the FSA for mis-selling an investment fund from insurer AIG to its clients, can we expect people to turn to these digital/online wealth managers as alternatives?

 

My guests for this session are Alan Smith, CEO of London based Capital Asset Management and Sebastian Dovey, Managing Partner of Scorpio-Partnership, consultants to the wealth management industry and author of the The Future Wealth Report.

 

This session is hosted by Abraham Okusanya of FinalytiQ Paraplanners. See detals here