Report: Fiefdoms Hurt Wealth Management Efforts

“Fiefdoms are the single most important reason why wealth management as a financial business model has not achieved the traction anticipated by institutions, software providers and professional service firms,” Dennis Ceru, a TowerGroup director, says in a release announcing the wealth management report. “Despite recent rhetoric to the contrary, most financial institutions business units are still engineered to run as distinct entities within an enterprise, and are managed as separate profit-and-loss centers supported by separate technology groups. This stops customer-centricity dead in its tracks.”