Just read the article in MIS “CBA issues warning to IT suppliers” where Michael Harte their CIO says that CBA was now actively looking for business-grade pay-as-you-go software and infrastructure, including so-called cloud computing and software-as-a-service. I totally agree with his direction. Many things for a financial institution need to be done 100% in-house, no question. [...]
The zero commission legislation coming into Australia will now put the burden on the banks to provide low cost advice alternatives themselves. Zero commission means that it is just not possible for the face-to-face adviser market to provide advice to any but the high end of the market. And that is OK too, because for the [...]
In technology, 18 months is a generation of time (look up Moore’s law). Hence we can write this post as a three generation veteran of low-cost advice (for non-geeks, that is since 2007!). Over that time we know that: advisers only target the top 20% 80% of the market are without financial advice banks are [...]
At the end of the day, there are only three channels to customers: Face-to-face, phone or web. Traditionally financial institutions have done a great job of face-to-face advice with third party advisors, brokers and agents and the branch network. Phone based is primarily used for existing account enquiries or outbound telesales, and the web is [...]
