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What is it going to take to win, retain and grow relationships in the future?
THE PATH TO MODERNIZING YOUR RETIREMENT BUSINESS
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contents
THE PATH TO MODERNIZING YOUR RETIREMENT BUSINESs
Which way now?
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Secure: Ensure security for data and the investor
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Transact: Expand transaction capabilities with APIs
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Connect: Deliver frictionless interactions
6
Engage: Utilize digital and data to increase engagement
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New service, business and loyalty models
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The sophisticated investor
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Today’s investors are more sophisticated. They demand more self-service, more digital and multi-channel delivery, and more diverse investment options. And they expect it to be delivered with a personalized experience. As a retirement plan provider, you face a stark reality. The old way of doing things is no longer viable. Your plan sponsors and advisors need to offer cutting-edge, innovative tools and services to their investors and they expect you to create and deliver them.
THE SOPHISTICATED INVESTOR
Eliminates infrastructure requirements
Keeps you on the latest version of the software
Lowers your total cost of ownership
THREE KEY BENEFITS OF CLOUD-BASED TREASURY SYSTEMS:
Just processing loans, distributing payments and mailing statements is no longer enough. To differentiate yourself, you need to move from a transaction-based model to delivering a hyper-personalized, relationship-based, digital experience.
DID YOU KNOW?
Source: 2021 Defined Contribution Plan Participants Survey Findings; J.P. Morgan Asset Management
Nearly seven out of 10 participants believe that their employers have responsibility to help employees with their financial wellness
10
out of
Engage
So, what is it going to take to win, retain and grow relationships in the future? Your brand remains a critical component of attracting and retaining clients, yet how you set your brand apart across buyers and influencers – plan sponsors, investors and advisors – has shifted. As silos break down, you are having to transform to deliver interconnected experiences across the investor life cycle. This requires new service models, new business models and new loyalty models. You need to focus on delivering customer journeys that span all dimensions by creating a dynamic retirement ecosystem to engage, connect and transact in a secure environment.
NEW SERVICE, BUSINESS AND LOYALTY MODELS
Connect
Secure
Transact
By utilizing digital to deliver data-driven solutions, you can move from differentiation to personalization. Digital can be used to improve the investor experience, drive engagement and lower costs. Digital can also help drive self-service solutions that support investors without plan sponsor or provider intervention, increasing efficiency and improving the user experience. Understanding your investors’ journeys by leveraging data insights and providing solutions that reach across all channels can drive value and growth opportunities for your business.
Meet investors where they are
What do you need to do?
Source: 2021 FIS Readiness Report
Only 25% of providers believe that they are extremely effective in their ability to deliver an innovative digital experience to clients
Tailor offerings to persona and life events
Deliver an intuitive buying experience
Use data insights to educate and direct behavior
24%
Clients are trying to remove all of the friction from investing. One of their biggest goals is to get information back to their investors and stakeholders in a seamless, transparent and more timely way.
You need to get to know your investor – what they think, what they expect and how they want to engage with you. And these interactions need to be frictionless. You have to connect with investors and ecosystems through digital solutions, networks, technologies, emerging fintechs and the IoT to increase time to market, stickiness and customer loyalty. These connections empower you to gather strong data to personalize the user experience and deliver more interesting insights on investors' financial needs. You can also use strong data to identify areas for growth. Every interaction with the investor is an opportunity to strengthen your business. When we look at open integration, it's about expanding ecosystems with open APIs and how you can embrace digital to bring solutions to market faster. By leveraging cloud-based applications you can provide flexibility, security and scalability.
CONNECT: Interlock technology and infrastructure for frictionless interactions
Source: Franklin Templeton’s Voice of the American Worker Study
Embrace digital-first and cloud-hosted strategies
Expand ecosystems with open APIs
Provide full coverage of financial needs
Deliver frictionless interactions
Need to consult many sources
Many employees struggle to find a holistic view, with 61% indicating they need to consult many sources to get an overall picture of their finances, and 51% stating it is too complicated to integrate all of their financial info and goals into a single picture. 70% would like a “Fitbit-like program for their finances” to easily track everything in one place.
61%
51%
Too complicated
70%
Want a "Fitbit-like program"
1. Risk management 2. Compliance management 3. Regulatory reporting
Where are retirement providers most likely to increase their reliance on cloud?
You need to know and see beyond your data transactions. You need insights around your investors to strengthen your relationships with them. This is where you can embrace digitalization and the new ways of working that stem from operating in an API framework. It’s where your footprint in retirement gives you that springboard to grow beyond singular relationships. Analyzing transaction data using a cutting-edge set of tools with APIs for key lifestyle indicators can do much to determine the real behavior of your customers. Pinpoint analytics allow you to build new segments in defining how you slice and dice your customers’ information. You can build your own individualized segmentation for understanding how segments are performing, allowing you to improve and grow your business.
TRANSACT: Leverage an API framework to expand transaction capabilities
Retirement plan provider strategies to improve competitiveness over next 12 months:
Improve investment options and packaging
Offer multi-account analytics and recommendations
Deliver real-time digital money movement
Provide digital account onboarding and investor’s digital passport
45%
Implement more advanced analytics to improve competitiveness
Develop and scale more customized products to meet heightened client expectations
39%
Source: State of the API Economy 2021; Google Cloud
IT decision-makers’ views of APIs
Are strategic assets for creating business value
36%
Enable systems integrations
40%
Accelerate innovation by enabling partners to leverage digital assets at scale
52%
Help organizations build better digital experiences and products
56%
When we talk about security and fraud prevention today, it’s understandable that our focus turns to cybersecurity. And while client data and systems protection is vital, we must broaden how we define security. It’s about more than just physically securing your investors’ assets and protecting their data. It starts with looking at their holistic financial picture. You need to focus on knowing what they expect to achieve and give them the education and support to move them towards those goals. How much should they be saving for retirement? Have they taken longevity planning and long-term care costs into consideration? What other services do they need? Are you providing plan sponsors with cutting-edge tools to increase investor engagement?
SECURE: Ensure data security as well as the security of the investor
of investors think employers should provide access to financial professional help. This increases to 74% in respondents under the age of 30.
did you know?
Cybersecurity
Areas retirement plan providers plan to invest when it comes to regulatory and compliance areas over the next 12 months:
Employ proactive cyber protection
Ensure data privacy and permissioning
Support services for all constituents
Understand investor objectives
66%
Risk management
Customer and employee data privacy/protection
Monitoring/controls for a remote workforce
Learn more
Let's solve retirement modernization
To keep pace and to meet your investors’ expectations, you need a technology partner that offers innovative retirement solutions. FIS® is accelerating how we develop and partner to ensure you can engage, connect and transact with your investors in a secure environment. Our innovative technology can help automate your operations, unlock your data for greater insight and deliver the digital capabilities you need to provide a flexible, intuitive and dynamic omnichannel experience. Our open infrastructure and integrated workflows are data driven, giving you multi-dimensional client segmentation to drive growth. Our scalable, predictable cost model is based on your consumption, so you can reduce your total cost of ownership (TCO) while our agile deployment model helps speed your time-to-market. Reimagine retirement modernization and expand your business.
which way now?
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FIS is a leading provider of technology solutions for merchants, banks and capital markets firms globally. Our more than 55,000 people are dedicated to advancing the way the world pays, banks and invests by applying our scale, deep expertise and data-driven insights. We help our clients use technology in innovative ways to solve business-critical challenges and deliver superior experiences for their customers. Headquartered in Jacksonville, Florida, FIS is a Fortune 500® company and is a member of Standard & Poor’s 500® Index.
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