The disruptive new realities driving the deal surge in asset and wealth management
Customer expectations, relative purchasing power and regulatory change are driving a period of rapid turmoil in the AWM industry. How can M&A help you to keep pace?
As the asset and wealth management (AWM) industry goes through exponential change, scale alone isn’t enough to sustain long-term growth in an increasingly disrupted and demanding asset and wealth management market. That’s why deal horizons are expanding.
What are the new realities and new rationales driving the upturn in M&A? How can you use M&A to boost competitive relevance in this fast shifting marketplace? We’ve identified four key drivers that are reshaping the AWM market.
Against a backdrop of regulatory change and investor choice, fees and margins are declining across the asset and wealth management industry (AWM ). Asset and wealth managers are under increasing pressure to respond to these changing market realities as cost cutting alone can only go so far in sustaining revenues and bolstering margins.
Nowhere is the pressure to justify fees being felt more intensely than among active fund managers – what can they offer above and beyond what’s available from a passive fund and is it worth the charges?
Asset and wealth management (AWM ) is less insulated from the disruptive impact of technology than many industry leaders assume. Developments present some threats, but also huge opportunities for innovation and differentiation.
New opportunities for profitable growth are emerging. Asset and wealth managers are filling financing gaps that have emerged since the global financial crisis. They’ll continue to provide capital for new types of real assets and new forms of corporate financing, learning new skills as they do so. They’ll also play a vital part in bridging the retirement savings gap.