How Dated Wealth Systems Are Frustrating Advisors and Customers Alike

Why It Matters

Persistent legacy data architectures threaten client experience and retention, making modernization—likely via external partners for data and front-end layers—critical for firms that want to remain competitive.

Summary

At the Communify Intelligence event, FTD Capital founding partner Richard Garmin warned that most wealth-management technology remains legacy beneath superficially modern front-ends. Firms have invested in cosmetic upgrades, but trapped data and hard-coded front-to-back workflows make dynamic change difficult, limiting usability for advisors and clients. Garmin argued firms would benefit from outsourcing the middleware and front-end data extraction layers while leaving systems of record intact. The result is widespread frustration among practitioners and customers despite significant assets under management.

Original Description

Joining FinextraTV at the Communify Intelligence Experience, Richard Garman, Founding Partner, FTV Capital discussed how wealth management systems remain primarily outdated. Describing these systems as ‘clunky’, Garman describes the front end as seeming more modern but the connective tissue that binds it all together is still old and increasingly limiting the overall user experience. Looking at the reasoning and way forward, Garman describes the typical stumbling block of data, stating that no struggling company that has relied just on in-house teams thus far should be afraid of partnering - it’s the only remaining option, he says. To those not understanding the scope, he explains the frustrations for both advisors and customers alike.

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