The goal-based investment process delivers a coherent transparent, goal-driven and client centric advisory process that enables to digitally define goals, simulate investment scenarios, invest and periodically review investment strategy aligning goals with customer wealth.
A typical goal-based investment process develops in a four-phase closed loop:
Engage and Profile
- Capturing customer data.
- Analysing financial needs (current and future).
- Goal attribution (goal type, time horizon, risk attitude, and expected returns.
Analyse and Plan
- Global wealth view, either at present and projected in the future.
- View on liabilities, assets, real estate, cash flows, incomes, and expenses.
- What-if scenarios analysis and life event planning to define goals.
Phase 3 – Propose and Execute
- Proposing an investment solution, choosing the best asset allocation model portfolio in line with the customer and goal characteristics.
- Proposing an investment solution that is tailored cut for the customer and with a pre-trade suitability test, thus MiFID compliant.
- Generate the list of buy/sell operations.
Monitor and Review
- Proactive monitoring by means of alerts, to immediately detect deviations suggesting the necessity of a portfolio or goals review and rebalance.
- Continuous risk monitoring.
- Management reporting.
A Solution at Work Here
Objectway supports each and every phase of the loop, through our product line. We said supports right because our solutions constantly evolve, to support the processes required by the market at any given moment.
The main step is focused on client diagnosis and needs analysis that is managed by Advice and PFP – moreover Advice is integrated with other Objectway products to make up a straightforward wealth management process (whatever its specific requirements are, wm process starts defining strategic and tactical asset allocation that is responsibility of Optimo.)
Advice implements and supports different advisory models where it is up to the customer to choose the preferred approach and to switch in a seamless way from one to another, according to his current needs, preferences, attitudes toward digitalization.
When the investment proposal is generated, the investor protection and suitability check is responsibility of Sure.
The resulting solution delivers by performing a continuous monitoring of client, goals, and suitability. The client gets all the support we and our products can provide. User experience is either satisfying and pleasant. Supporting goal-based investment processes: done.