Natalie Monko Lead Project Manager

    Top 6 Wealthtech Trends That Will Drive the Market in 2022 and Beyond

    Using wealth management solutions, finance and banking companies can address various challenges, from improving customer engagement to streamlining processes such as request processing and budget planning. With mobile and web apps, organizations are digitizing workflows to reduce operational expenses and relieve employees from performing routine tasks. 

    The COVID-19 pandemic accelerated the adoption of cutting-edge technologies in the wealth management sector, encouraging people of all ages to focus on their financial wellbeing, as well as use products and services via their personal devices. Shifting demographics and Internet penetration are other factors that contribute to industry transformation.

    Due to the abovementioned factors, the wealthtech solution market is seeing a rapid increase and is expected to climb from $54.62 million in 2021 to $137.44 million by 2028, showcasing a compound annual growth rate (CAGR) of 14.1%.

    To meet changing consumer needs and gain a competitive advantage, it is crucial to apply technological innovations. In this article, software experts at Surf describe the latest wealthtech trends that will dominate in 2022 and the coming years. So let’s get started.

    1. Robo-advisors

    Representing virtual financial assistants powered by artificial intelligence (AI), robo-advisors are generally employed in investment portfolio management. In fact, a robo-advisor is a software program, not a physical robot. 

    Acting without human participation, robo-advisors employ AI  to provide users with personalized recommendations. For this purpose, robo-advisors analyze customer data collected from various sources that may include emails, questionnaires, polls, and surveys. What’s more, digital advice platforms can invest funds on behalf of clients based on their goals, risk tolerance, as well as stock market situation. 

    robo advisors evolution

    This way, automated investment advisors enable professionals to devote themselves to other important tasks, such as risk assessment or budget planning. On top of that, by streamlining manual workflows with robo-advisors, asset and wealth management (AWM) companies improve user satisfaction and minimize churn. Feel free to read about other benefits in our article on how to create a robo-advisor.

    Since digital advice platforms provide numerous benefits, they are being widely introduced in the wealth management industry. According to Statista, the number of robo-advisor users is poised to reach about 478.9 million by 2025. CNBC reports that assets under robo-advisor control are projected to account for $1.2 trillion by 2024, growing from $460 billion in April 2021.

    2. Artificial intelligence

    Artificial intelligence is among the fundamental wealth management trends for 2022 and years to come. Employing software systems powered by AI, finance and banking organizations can boost investor engagement, optimize user portfolios, and make accurate forecasts. 

    With AI software, it is possible to create client profiles, assess the creditworthiness of prospective lenders, evaluate financial and reputational risks. Furthermore, AWM companies use AI-based software to automatically examine data (for instance, level of customer income, transactions, market statistics, historical information) from various sources that may range from PDF files to open banking application programming interfaces (APIs). 

    Using AI and machine learning (ML), financial institutions can identify patterns in structured, semi-structured, and unstructured data to gain valuable insights and make more informed decisions. What’s more, using ML businesses can analyze the impact of world events on asset prices.

    Currently, AI applications are being increasingly introduced in asset management. Grand View Research reports that the global AI in the asset management market is anticipated to register a CAGR of 37.1% during 2020–2027, rising from $990.4 million in 2019. Experts at PwC revealed that by utilizing AI, 78% of respondents improved decision-making, 73% enhanced customer experience, 73% reduced risks, 68% raised productivity, and 49% cut down expenses.

    AI advantages

    Chatbots are another type of AI solution used in the wealth management industry. Unlike human agents, AI bots can process numerous requests simultaneously and deliver client support 24/7. Overloaded with multiple tasks, employees generally spend a lot of time reviewing inquiries while AI-powered chatbots can answer user questions in seconds. Therefore, conversation technology allows AWM companies to improve customer satisfaction and minimize retention.

    Coming up with automation and data analytics capabilities, AI can assist in taking a competitive edge and generating a higher profit. Since artificial intelligence provides a variety of benefits, the investment in artificial intelligence will continue to surge.

    3. Cloud

    Cloud technology is one of the major wealthtech trends to watch in 2022. At the moment, cloud-based solutions are witnessing rapid adoption, thanks to the benefits such as scalability, flexibility, fast access to data, and reduced operational costs.

    Traditionally, wealth management data is stored across multiple servers and computers. As a consequence, employees often have to spend a lot of time searching for the required information. With the cloud, organizations can centralize data in one place while creating an accurate storage system for files and records. 

    application infographics

    The use of the cloud also allows AWM professionals to access data, apps, and services via multiple devices, this way avoiding limitations imposed by on-premises software. Additionally, online collaboration platforms enable specialists to cooperate remotely, which is of crucial importance during the COVID-19 pandemic. In contrast with on-premises infrastructure, the cloud provides data backup and recovery from disasters.

    Scalability is another advantage that AWM companies can obtain by using the cloud. As the amount of wealth and asset data is growing, the cost of conventional storage systems also increases. Utilizing the cloud, market players can easily scale resources up or down depending on their needs.

    4. Hybrid advisory services

    With uncertainty and fear caused by the pandemic, the value of advisor-to-customer wealth management services surged. According to McKinsey, 2020 was the year of strong resiliency for consultants. Experts report that median assets per advisor achieved record levels of $130 million, rising by 9% over 2019. McKinsey also found that revenues per advisor hit an all-time high, climbing from $718,000 in 2019 to $724,000 in 2020.

    The COVID-19 outbreak and upcoming market volatility encouraged clients to turn to human agents for receiving investment recommendations. However, as coronavirus forced people to stay at home, the use of digital technologies became paramount. As a result, the demand for hybrid services soared. Insider Intelligence revealed that 37% of wealth management customers worldwide prefer hybrid advisory. 

    Whilst robo-advisors and AI chatbots can offer guidance, some complex or client-specific tasks may be sent to a human specialist. To apply this model, it is possible to use chats, messengers, video and audio conferencing platforms. 

    wealth management statistics

    By combining in-person interactions with technology, financial companies can streamline routine tasks and relieve the time of specialists for more complex and creative activities. Therefore, hybrid advice is among the principal wealthtech trends that AWM firms should consider to improve user engagement and raise productivity.

    5. Personalization

    Influenced by digital transformation, customer preferences are evolving at a fast pace. Now, people want to have services tailored to their personal goals and expectations. In this regard, institutions should ensure a personalized user experience to improve client retention and remain competitive. To provide such a personalization, it is possible to employ data analytics algorithms or/and artificial intelligence. 

    With innovative wealth management solutions, financial companies can analyze large amounts of user data that may involve transactions, income level, risk tolerance, investor objectives, and spending habits. Based on this data, AWM firms can create a 360-degree view of each customer to deliver personalized recommendations. 

    Furthermore, AI and data analytics process massive arrays of data dozens or even hundred-fold times faster compared to wealth management professionals. Since personalization contributes to higher consumer satisfaction and increased revenues, it is among the main wealth management industry trends.

    Speaking of real-life examples, let’s consider Established in 2015, is an organization that offers a software platform for online savings, life insurance, and product consulting.

    Mieuxplace app first asks users to fill out an online form, collecting data about requests, projects, and investing experience. Second, an artificial intelligence named Lucy reviews customer information and their profile to suggest an individual solution and contract that align with the requirements. 

    It is worth noting that Lucy is able to analyze over 500,000 combinations in less than 10 seconds. To date, has raised a capital of €5.5 million during 2 rounds. 

    Here at Surf, our software development team has recently built a mobile investment application that makes recommendations according to client needs. Read the case study to learn more about this software solution.

    investment app screens
    An example of investment app functionality created by Surf (Source:

    6. Self-service

    A self-service model is among the main wealthtech trends that market players should consider in 2022. Whilst personal connections with professionals are very important, organizations should take into account that their audience includes people of different ages. Generation Z, for instance, often prefers to receive information and guidance without talking to representatives.

    Thus, AWM firms have to meet various needs and preferences in order to boost consumer engagement, increase loyalty, and prevent churn. To offer an omnichannel user experience, institutions can deliver self-service portals—available via web and mobile devices—while communicating with customers via phone, chats, and emails.

    As for real-life examples of applying a self-service model, let’s take a look at InvestPro, a web solution that allows clients to manage investment, monitor valuations, and access brokers online. This self-service portal also enables users to create and track orders, as well as view transactions in real-time. With the aim to ensure security, the system implements features such as two-factor authentication and role-based data access control.

    InvestPro pictures

    Final words

    When talking about the future of wealth management, the world is expected to see the widespread adoption of game-changing solutions like robo-advisors and AI software systems. By applying wealthtech trends, it is possible to address multiple challenges, from improving employee productivity to meeting the needs of different target groups.

    Thanks to transformative technologies, AWM companies can automate various processes (for instance, inquiry processing, investment portfolio management), increase customer loyalty, and reduce operational expenses. Aiming to deliver an engaging user experience and minimize client churn, organizations are also integrating innovative business models, such as self-service and hybrid advisory.

    If you want to create your own wealth management or investment app, you are welcome to contact our team. We will soon get back to you to collect the requirements and provide assistance in building a superior software product. To protect your intellectual property, we are ready to sign a non-disclosure agreement before a detailed project discussion.