Google, Amazon and Facebook: the future of wealth management?
According to consulting firm Capgemini, more than half of high-net-worth individuals would let Amazon, Google and Facebook manage their money. Researchers said that 56.2% of the world’s richest detailed in their World Wealth Report 2017 would consider using the technology giants as wealth managers if they offered such a service. If you narrow down the age range of people questioned to under 40, as much as 81% would consider it – and in Asia Pacific, as much as 72.5%. Clearly, the Silicon Valley mindset is very much in vogue.
Capgemini was interested in finding out just how under threat traditional wealth management firms are from online wealth management tools, and polled more than 2,500 high-net-worth individuals with investible assets of over $1 million across North America, Latin America, Europe and Asia Pacific.
Big Tech has outperformed in 2017, year to date
SOURCE: Yahoo Finance
Brian Sullivan, Capgemini’s global head of financial services market intelligence, said that technology companies could use “their agility, their speed to market, their ability to leverage data, to personalize, to drive transparency,” but added “it’s less likely that Big Tech will be a direct competitor and steal clients away, but you are probably more likely to see some partnerships and collaboration.”
Dominion holds Amazon, Alphabet (the parent company of Google) and Facebook in its Global Trends Ecommerce Fund.
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