Open banking is wealth management's new competitive advantage
Wealth platforms that use open banking are about to get a big data advantage over their rivals.
Imagine this: stock markets are surging (again) and Australians are flooding back to their trading accounts. But this time, one trading app has made it possible to instantly move money from bank to broker – rather than the two days it takes all of the others. In the increasingly crowded market of share trading platforms, instant bank transfers made possible by open banking payments will make all the difference to the customer experience.From automated spending round-ups to dollar-cost averaging, the extra features enabled by open banking data are set to give early adopters an edge in the competitive world of wealth management, where platforms differentiate on their user experience. It's still very early days for open banking and Australia's wealth management platforms, as the final access models went live in February. But drawing on our depth of experience working with wealth management platforms in the UK and Europe we can forecast the future in Australia – or at least, for those early open banking adopters who want to grab the emerging opportunity.