Message #1 From:
NewsBot Date: December 29, 2007 01:42:23 PM
Automation of Funds Transactions and Enhanced CRM Key Trends to Maximize Potential of the Wealth Management Industry in 2008
2007 has been a transitional year in the application of information
technology within the Wealth Management industry, as more firms are
adopting sophisticated front end Client Relations Management systems in
the quest for enhanced service quality and operating efficiencies,
according to Kelly Tallas, CEO of WealthCraft Systems Inc. (OTCBB:WCSY),
a leading IT solution provider for financial institutions in the Asia
Pacific region.
During the coming year, WealthCraft believes the strategic imperative is
for financial institutions to use IT to transform processes with the
twin objectives of greater efficiency in funds transactions through
automation at the front end and particularly the back end, and stronger
support for the client relationship managers.
Singapore, Hong Kong and Taiwan have led the way in developing the
wealth management industry in the region with assets under management
increasing dramatically during 2007, according to various government
figures. In the year ahead, China will become an increasing focus, with
the mainland private banking market forecast to expand by a compounded
annual growth rate (CAGR) of 12.5 percent over the next five years as
institutions tap China’s rapid increase of
wealthy individuals, numbering about 800,000 US dollar millionaires.
“We believe that front and particularly back
office operations will face a bottleneck and a potential operational
crisis as early as in the coming year if they don't automate the funds
transaction process,” said Mr. Tallas.
“Straight-through processing solutions
represent an important approach towards automation, enabling the entire
trade process for capital markets and payment transactions to be
conducted electronically without the need for re-keying or manual
intervention.”
Within the wealth management sector, the volume of fund orders in Asia
is clearly increasing at an unprecedented pace with Asian demand for
mutual funds and unit trusts registering well into double-digit growth
for 2007, according to SWIFT. However, manual intervention throughout
the entire funds transactional cycle -- order, confirmation, pricing,
reconciliation and exception processing -- is still very common.
This explosion in funds transactions is perhaps the most important trend
in the overall migration of the wealth management services market. With
the provision of a wide range of products and services becoming a key
selling point for financial services organizations, the concurrent trend
towards increasing competition will broaden the shift of the wealth
management market to a more client-centric approach.
“During the coming year, we believe increased
competition and more stringent regulation will drive financial services
organizations to generate revenue through a wider range of customer
services supporting different languages and multicurrency transactions,
thereby expanding existing relationships,” Mr.
Tallas added.
“Financial institutions will realize that CRM
and client reporting systems can deliver these competitive advantages,
enabling them to differentiate themselves and build customer loyalty by
fulfilling ambitious growth expectations for their clients in the wealth
management sectors.”
About WealthCraft
WealthCraft Systems Inc. (OTCBB:WCSY) headquartered in Hong Kong SAR, is
the parent company of WealthCraft Systems Ltd, an information technology
company that designs, develops, markets and supports a flexible,
scalable and secure technology platform for wealth management services
to financial institutions, including investment advisory firms,
securities brokerage firms, retail and private banks, mutual fund
companies and insurance companies.
WealthCraft's Advisor Workbench enables professionals to develop their
wealth management business while its ATOMS Order Management provides an
integrated back-office system providing order execution, order
management and portfolio and commission management. WealthCraft's
products facilitate seamless implementation of the industry standard
SWIFTNet Funds solution for automated mutual fund transactions. For more
information please visit our website at www.wealthcraft.com.
This news release contains certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995.These
statements are based on WealthCraft management’s
current expectations and are subject to risks and uncertainties and
changes in circumstances. All forward-looking statements included in
this press release are based upon information available to WealthCraft
as of the date of the press release, and it assumes no obligation to
update or alter its forward-looking statements whether as a result of
new information, future events or otherwise. Further information on
risks or other factors that could affect WealthCraft's results of
operations are detailed in the filings of WealthCraft with the SEC.
