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Envestnet Enhances Recommendations Engine for Advisors

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What You Need to Know

  • New additions to Envestnet's Recommendations Engine further optimize client advice and engagement, it says.
  • The engine's findings power the Opportunities to Engage dashboard that suggests steps advisors can take based on a client's unique profile.
  • The recommendations are selected through the use of machine learning.

Envestnet rolled out updates to the new version of its Recommendations Engine that it said Monday enables financial advisors at enterprise organizations and RIAs to further optimize client advice and engagement using data from across the firm’s financial wellness ecosystem.

The Recommendations Engine “smartly sifts through consumer and industry data throughout the Envestnet platform, as well as data connectors” including Envestnet | MoneyGuide and Salesforce, it said.

The engine’s findings power the Opportunities to Engage dashboard that, using machine learning, suggests steps advisors can take based on a client’s unique profile.

The most recent updates to the Recommendations Engine are in planning analytics and annuity insights/strategies.

Through single-sign-on access to the Recommendations Engine in MoneyGuide, RIAs who use the MoneyGuide financial planning solution can receive advisor-level, data-driven recommendations to help clients adhere to their plans. Advisors can also uncover analytics from Envestnet’s MyBlocks digital client management tool and the MoneyGuide Client Portal.

Through data connection with Fiduciary Exchange, the Recommendations Engine delivers advisors insights on how annuities might benefit their clients.

The Recommendations Engine can show advisors: when an annuity has reached maturity; when the client may benefit by converting a commission-based annuity to a fee-based annuity; and when the client can receive more value from new features offered by carriers.

The Recommendations Engine can also help advisors deliver a “more holistic strategy to their clients by addressing needs — such as income, wealth protection and taxes — that annuities are uniquely designed to tackle,” Envestnet said.

The engine can also flag when a retirement date or other lifecycle event is coming up for a specific client, according to the company.

Envestnet Analytics can connect to more data sources in various formats, then push that data to customer relationship management systems including Salesforce and, soon, Microsoft Dynamics, Envestnet said.

“We continue to implement updates to the Recommendations Engine to give advisors greater insight for discovering opportunities to serve clients more effectively and efficiently,” according to Todd Buck, managing director and head of business development at Envestnet Analytics.

Almost 108,000 advisors and more than 6,000 companies including 46 of the 50 largest wealth management and brokerage firms and over 500 of the largest RIAs leverage Envestnet technology and services, it said.

(Image: Shutterstock)