Rafah Crossing 'never been closed for one day' from Egypt: PM    Egypt will keep pushing for Gaza peace, aid: PM    Remittances from Egyptians abroad surge 70% YoY in July–May: CBE    Sudan's ambassador to Egypt holds reconstruction talks on with Arab League    Egypt's current account gap narrows, but overall BoP records deficit    Al-Sisi urges accelerated oil, gas discoveries, lower import bill    SCZONE signs $52.6m textile industry deals during China investment tour    Egypt hosts international neurosurgery conference to drive medical innovation    Egypt's EDA discusses Johnson & Johnson's plans to expand investment in local pharmaceutical sector    I won't trade my identity to please market: Douzi    Sisi calls for boosting oil & gas investment to ease import burden    EGX to close Thursday for July 23 Revolution holiday    Egypt, Senegal sign pharma MoU to unify regulatory standards    Famine kills more Gaza children as Israel tightens siege amid global outrage    Kuwait's Crown Prince, Egyptian minister discuss strengthening cooperation    Egyptian Drug Authority discusses plans for joint pharmaceutical plant in Zambia    Egypt's FM seeks deeper economic, security ties on five-nation West Africa tour    Two militants killed in foiled plot to revive 'Hasm' operations: Interior ministry    Egypt, Somalia discuss closer environmental cooperation    Egypt foils terrorist plot, kills two militants linked to Hasm group    Giza Pyramids' interior lighting updated with new LED system    Egypt's EHA, Huawei discuss enhanced digital health    Foreign, housing ministers discuss Egypt's role in African development push    Korea Culture Week in Egypt to blend K-Pop with traditional arts    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    Egypt's Democratic Generation Party Evaluates 84 Candidates Ahead of Parliamentary Vote    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Google, Facebook could soon be helping the rich get richer; says analyst
Published in Amwal Al Ghad on 01 - 10 - 2017

Wealth managers are helping high net-worth individuals rake in huge and increasing investment returns — and that trend could well continue with the potential entrance of technology giants into the investment advisory space.
"No one knows yet what the future holds. Will Google and Facebook want to come in?" David Wilson, head of Asia wealth management at financial advisory Capgemini Global Financial Services, told CNBC's "Squawk Box."
However, the future of wealth management will "absolutely be based on artificial intelligence," he said.
And that's exactly the tech giants' game.
"The depth of data that they have … their retailing experience, their social experience, and being able to blend that to put very customized propositions in place" could meet high net-worth individuals' demand for quality wealth advisory, according to Wilson.
But that does not mean that the sector will be fully automated, he said. While technology can help meet the demand for quality financial advice, high net-worth clients are demanding more than just great returns — and that's where the human touch comes in, according to Wilson.
High net-worth individuals have seen "astronomical returns" on portfolios overseen by wealth managers, Wilson said. According to a World Wealth Report by Capgemini this week, asset managers of wealthy clients reaped returns of 24.3 percent on average. In Asia, excluding Japan, those returns were at 33.0 percent.
The magnitude of those returns is surprising even as investors have, at large, profited from the year's global rally, Wilson said. According to the report, over half of high net-worth individuals said they were open to having their wealth managed by big tech firms like Google and Facebook.
Major tech giants have hinted about moving into financial services and some have already moved into the mobile payments space. Facebook and Google were not immediately available for comment when asked about any future plans by CNBC.
Despite asset managers' expectation-beating results on investments, high net-worth clients said that they were only "modestly satisfied" with the performance of their advisors, Wilson said.
"The big reason, I believe, is the lack of personalization in some instances of the experience," he said, adding that the ideal model would be a hybrid that blends "the best of digital and personalization, with the ability to tap into the human advisor in a more modular way."
Source: CNBC


Clic here to read the story from its source.