The intelliflo innovate 2024 conference (4 June) was the usual high-energy event, but it presented intelliflo founder Nick Eatock with the challenge of delivering a difficult message – the much-heralded Wealthlink service with SS&C Hubwise is not quite ready.
Eatock began by presenting research restating the case for improving business processes using an integrated platform. Not surprisingly, 94% of advisers think their advice journeys are not as efficient as they should be, and only 40% of workflows are currently digitised.
The argument for this is compelling, and it should not have been necessary for an advice-tech provider such as intelliflo to build this. Eatock pointed out that recent intelliflo research indicates that one in five cases onboarded onto platforms have errors because of rekeying.
Ten advice firms will go live with the intelliflo SS&C partnership in August, and other firms can now join the queue to have access later in the year. Frankly, it has taken longer for the partners to deliver this service, but when I questioned this, I was told that the scope has significantly increased in the interim.
In the last few years, intelliflo has acquired a significant number of critics, but that happens if you are the main player – our latest research suggests they now have a 60% share of the directly authorised market. So, are the delays with Wealthlink a major problem?
It will be frustrating, and some of their rivals will doubtless make a lot of noise about it. But technology projects either get delivered on time, or working properly; the latter is vastly preferable.
But technology projects either get delivered on time, or working properly; the latter is vastly preferable
It was made clear that most of the infrastructure to support Wealthlink has already been operating in the US for some time, where it has achieved a 50% reduction in submission errors. While not mentioned in the presentation, I don’t think the market has recognised that Wealthlink is the first such partnership – there will be space for a couple more. It will be far from ‘whole of market’, and the competition for those slots is intense. I think there might also be an exception if a very large platform had a limited number of customers.
Artificial intelligence is a key agenda item at any advice-tech event, so it was not surprising to hear intelliflo announce its first AI partners: Aveni, whose service goes live in its AI store today, and Money Alive, who should be there in a few months.
When I’ve spoken to intelliflo customers recently, I have heard frustration. But is that justified? My answer has to be yes and no. On the positive side, intelliflo are building towards the end-to-end solution many advisers would like to have.
They now include cashflow planning within the core price, and Wealthlink should be a great benefit if it fits how you want to work. The missing component in the UK is investment and portfolio management, but in the US intelliflo own the award-winning Red Black portfolio management and rebalancing software. Hopefully that will arrive here soon.
Areas such as management information have improved with the Amazon Quick Sight service, which has been added, and the announcement today of a link with Snowflake, a system widely recognised as the leading edge-data solution for firms who want their own data lakes. All the above is good news, but the client portal – which historically gave intelliflo a major advantage over their peers – needs a significant refresh.
I find most of its customers don’t want to find new suppliers; they want reassurance that intelliflo remains the best solution
I find most of its customers don’t want to find new suppliers; they want reassurance that intelliflo remains the best solution. There are certainly more viable options for advisers now. For too long, the alternatives were just not delivering the goods.
Changing your practice-management system is a major business disruption, best avoided if possible. Right now, I would not be looking to move, but advisers do need strong technology partners who can demonstrate they can deliver long term, so this presents a challenge to the whole sector.
We will see a lot more advice tech emerge in the next year and the power of AI will be much clearer. Today, I would focus on defining my technology roadmap and requirements with a view to conducting a full systems review in 2025.
Ian McKenna is founder of FTRC
