The changing face of Financial Services

Transcription

1 The changing face of Financial Services Facilitator: Sandi Orleow Panellists: Carolyn Colley CEO Decimal Software Trish Nicklin Senior Relationship Manager ASX Amanda Gillespie Joint CEO Lonsec Fiscal

2 industries.

3 Landscape changing rapidly Demographic changes Ageing population Shift of assets Millennials seeking digital solutions Customers expectations changed Expect quality service 24/7 Personalisation Omni-channel experiences Banks under threat Increasing competition and potential revenue leakage Unbundling of traditional services Barriers to entry falling Coopetition / Collaboration Evolved business relationships, dynamics and models Growing market Big market with mandated growth Mobility Trust erosion Consumers exhausted with conflict & complexity Digital innovation FinTech is a booming sector New players entrants Regulation Increasing Industry reputation Transparency Trust peers

4 Q & A Carolyn Colley CEO Decimal Software Trish Nicklin Senior Relationship Manager ASX Amanda Gillespie Joint CEO Lonsec Fiscal

5 The Evolution of Advice Carolyn Colley

6 The case for a new advice model? 2

7 Value of financial products $ 000 Significant unadvised population There are 8.6 million HOUSEHOLDS IN AUSTRALIA 1 There are 5 million HOUSEHOLDS IN AUSTRALIA 1 UNADVISED At least 5 million Australia has over $6.3 trillion in consumer net wealth 1 HOUSEHOLDS ARE UNADVISED ~60% of Australian workers unadvised ~40% advised Advised money and over AGE Source: ABS Household Wealth and Wealth Distribution, Australia,

8 Advice needs are bigger than ever 60% of people would NOT COPE FINANCIALLY If their partner died Around 90% of women will retire with inadequate savings to fund a COMFORTABLE LIFESTYLE 47% of pre-retirees are somewhat or extremely concerned about LONGEVITY 1 RISK Source: Research by Nature for Mercer August

9 What consumers want? 5

10 Shift towards full service platforms Core banking Travel Healthcare Accounting Recruitment Real Estate Marketing Financial advice Making hard jobs easy 6

11 The Decimal solution First consumer-driven automated financial advice platform

12 End-to-end solution Customer Operations SaaS Customer Engagement & Experience Efficiency Advice Process Compliance Configurability Enterprise Grade Integrated mass personalised online marketing campaigns driven by data analytics Integrated compliance, workflow, triage and document management & storage Auto generation of personalised graphical communications Embedded regulations and advice business rules Configurable screens, communications, products, advice Multiple organisations and brands supported centrally Clear and simple online real time data lead customer experience, frictionless, seamless & end to end Real-time omnichannel handover from consumer to contact centre/adviser Configurable and extendable advice engine automating advice topics Digital tracking of all customer and advisor activity Integrated ecosystem of external client and product feeds Real-time 2-way integration with underlying admin systems straight through processing 8

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17 Instantaneous, automated, concise and easily understood, helpful infographics 13

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20 ASX: Investor Supermarket Trish Nicklin, Senior Manager: Customer Experience 11 th Sep 2015

21 Important information This material contains information only. ASX does not represent or warrant that it is complete or accurate. The information is for education purposes only and any advice should be sought from a professional adviser If you are seeking advice (including a recommendation or opinion) about a financial product you should consult an Australian financial services licensee. To the extent permitted by law, no responsibility for any loss arising in any way (including by way of negligence) suffered by anyone acting or refraining from acting as a result of this material is accepted by ASX. This disclaimer extends to any private discussions or correspondence with the presenter of this information. Copyright ASX Operations Pty Limited ABN ( ASXO ). All rights reserved. This publication should not be reproduced, stored in a retrieval system or transmitted in any form, whether in whole or in part, without the prior written consent of ASXO.

22 Agenda Our ASX priorities Australian investor trends The growing range of ASX product structures and the mfund settlement service The expanding asset class aisles within the ASX Investment Supermarket How to access the ASX Investment Supermarket Additional Information

23 Our priorities $ We are the global leader in A$ and NZ$ Be first to market, maximise capital and collateral efficiency We offer an investment supermarket To give the broadest choice to our customers We build deep connections to global markets To compete and maximise liquidity We provide outstanding customer experience The best service, aligning with our customers needs

24 Some statistics about how investors use ASX 6.68 million adult Australians own shares (38%) 5.98 million hold shares directly 1 million SMSF trustees have chosen to invest 40% of the $560Bn SMSF sector via ASX Source: ASX Share Ownership Study 2012 ATO, Self Managed Super Fund Statistical Report (Sep 2014)

25 How SMSF assets are held ($560 billion) 4,214 Misc Offshore investments 27,322 13,302 Other assets Other managed invests 27,322 Total unlisted Residential property 21,081 58,260 Total listed 202,416 Non-residential property 69,861 Cash & Term deposits 156,734 Source: ATO SMSF Statistical report Sep 2014

26 How assets are owned outside of SMSFs International Equity 31% Australian Equity 34% Fixed Income 10% 9% 13% 3% Cash Property Infrastructure Source: Australian Super website - Balanced investor

27 Different product structures Listed Traded Settled Listed Investment Companies (LICs) Exchange Traded Funds (ETFs) mfunds

28 Australian equities 2000

29 Fixed Income Australian government Bonds (AGBs) Exchange Traded Funds (ETFs) mfunds FIXED INCOME

30 Global equities Globally: 15,000 stocks 58 countries $66 trillion in value GLOBAL

31 Infrastructure Australian shares mfunds GLOBAL INFRASTRUCTURE

32 Property Second largest listed property market in the world! Australian shares mfunds GLOBAL INFRASTRUCTURE A-REITS

33 Checkout CHESS register

34 What is the mfund Settlement Service? The mfund Settlement Service uses CHESS to automate the process to apply for (buy) and to redeem (sell) units in selected unlisted managed funds using an ASX broker Units acquired in this way are settled and delivered to the individual investors Holder Identification Number (CHESS HIN) in their name The process is similar to that currently followed for managed funds

35 What the mfund Settlement Service is not A way to trade units in managed funds between investors onmarket A listing service for managed funds A trading platform for managed funds

36 How the mfund Settlement Service is different Does not require an investor to complete a paper application form Does not require an investor to provide identification for each transaction Will hold units under the investor HIN alongside other ASX products

37 Next steps

38 Thank you