Here is an interesting report from PWC – Asset and Wealth Management Revolution:  Embracing Exponential Change

Things will look very different in five to ten years’ time. Fewer firms will manage far more assets significantly more cheaply. Technology will be vital across the business. And, some firms will have discovered new opportunities to create alpha, and restore margins.

With change accelerating, all firms must decide how they will compare in tomorrow’s world. Will they be scale of niche players? How will they become more productive?

In our view, asset and wealth managers must act now to focus on three things as their industry moves to a new paradigm:

1.  Strategy: Asset and wealth managers must be more efficient and entrepreneurial, being prepared for success in some areas and failure in others. All firms must have a view of the landscape of tomorrow, a clear strategy and know their differentiating capabilities. They should reorganize their business structure to support the differentiating capabilities and cut costs elsewhere. As befits a time of great change, they must have a long view, take radical steps and invest in building their businesses strategically.
2. Technology:  Every firm must embrace technology as it impacts all functions. Artificial intelligence, robotics, big data and block chain are transforming the industry. Technology will determine which firms are the winners in a fast-changing landscape.

People:  Old ways of hiring and nurturing people are changing. New skills are needed and new employment models must be embraced. Hiring and retaining the best will depend more than ever on diversity and inclusion, and meeting the needs of the whole person. Talent is a global challenge and excellent people with leadership skills will be absolutely vital as firms reinvent themselves – moving into new countries, new technologies, different distribution channels and leading-edge products.