In five years, the composition of the financial industry will shift: digital wealth managers will gain market share and, as a result, there may be fewer traditional bank roles, branches and services.
So said an expert panel at The Economist’s Canada Summit this week. That panel discussed fintech developments and the growing popularity of digital wealth managers, and included: Cameron Fowler, group head of Canadian personal & commercial banking at BMO Financial Group; Brett Huneycutt, co-founder of Wealthsimple; and Dino Trevisani, president of IBM Canada.
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Fowler says Canada’s digital wealth industry is on the brink of expansion, similar to the U.K.’s three years ago. Around 2013, he notes, digital transactions accounted for 8% to 10% of activity in the U.K.’s financial industry, but such transactions now account for between 30% and 50%.
To remain conmpetitive, he adds, “banks need to disrupt themselves” and figure out how to work with robos.
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Assistant editor Katie Keir reported live from the session. So in case you missed Advisor’s live-tweets, we’ve brought them together for you here.