Asset managers are increasingly realising that delivering customer experience excellence will drive growth by reducing churn and increasing revenues. In order to do so,  they seek strategies to become customer-centric.

In today’s digital environment, greater agility, flexibility and responsiveness are needed to meet rapidly evolving investor expectations, making customer experience critical to future success. In the case of hedge funds, customer experience (CX) is defined as the interactions between an investor and the fund management team, throughout their relationship.

While important, opinion is divided on how quickly the industry will be able to catch up. The uptake of digital delivery and communications channels offered is low. A recent PwC survey of CEOs suggested 65% of asset and wealth management CEOs acknowledge that technology will re-shape or significantly impact competition. In addition, while 69% of high net worth individuals use online and mobile banking, only a quarter of wealth managers currently offer their services through digital channels.

 Therefore, it appears to be a disconnect between the wants and needs of clients and asset management providers.

Principles of Customer Experience

Research from KPMG highlights six key principles for customer experience success. By understanding them, asset managers can identify where they need to develop further to achieve a fully customer-centric culture:

  • Personalisation is achieved through knowing your customer, remaining alert to their needs and preferences, and tailoring experiences to their unique circumstances.
  • Integrity involves the degree to which consumers believe a firm is trustworthy and likely to act in their best interests. Creating trust requires trust-building behavior, reliability and ensuring beneficial outcomes for both parties.
  • Time and effort mean the level of convenience and efficiency firms can provide on every customer transaction and interaction. Finding opportunities to reduce cost, time and effort are major relationship enhancers.
  • Expectations are higher than ever today among clients, meaning firms must strive to deliver a level of service that consistently meets or exceeds customer expectations.
  • Resolution revolves around the simple reality that no matter how well developed or mature your business processes might be, things will go wrong. The ability to resolve issues quickly and reliably is paramount to an exceptional customer experience.
  • Empathy is the ability of a company’s people to put themselves in the shoes of the customer and react accordingly.

Digitalisation of CX

Investors who have a positive experience are more likely to become repeat and loyal customers. While challenging to achieve at scale, these principles can be party automated and turned into efficient processes with the use of technology.

As the gateway to the organisation and the primary touchpoint between client and provider, improving client reporting and communications not only has a significant impact, but is also the logical place to start.

For example, using CRM software designed for asset managers you can view customer interaction history and anticipate future needs even before the customer knows they need it. Having the ability to predict a future need will let you be proactive and attentive and, it means you can do things like;

  • Provide information based on content interaction
  • Create and deliver targeted email marketing campaigns
  • Understand a full view of the customer

Digitalisation of the customer experience brings new ways to strengthen customer relationships through technological breakthroughs. The asset management sector needs to act swiftly, to modernise its operations and provide its clients with an always-on and information-rich environment that keeps up with client expectations and demands.


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