Fidelity Institutional® advances Advisor technology and drives a commitment to open architectures

BOSTON–(BUSINESS WIRE)–Fidelity Institutional® today announced new account opening features and enhancements to its open-architecture digital store, Integration Xchange, and its advisory technology platform, WealthscapeSM. These enhancements are part of Fidelity’s commitment to improving advisors’ digital experiences and making it easier for companies to create technology stacks that best support the evolving needs of their clients. A new study by Fidelity identified the top considerations advisors have when using technology platforms for account opening, including the speed of account opening (83%), the processes in place to minimize errors (75%), the ability to open accounts digitally and to finance (74%) and the ability to process directly (72%)I.

“While advisors’ expectations of technology continue to evolve, their goals remain the same: They want technology that will enable them to more easily connect with their customers and remove barriers and friction in those interactions,” said Jessica Liberi , Head of Platform Technology at Fidelity Institutional . “The optimal digital experience can vary between consultants and companies, so it is essential to offer options to help as many consultants as possible achieve their individual goals. For this reason, Fidelity continues to prioritize significant investments in both our own core platform capabilities and integrations with third-party technologies – all designed to deliver a seamless digital experience.”

Digitization for less friction, more efficiency and more security

Fidelity’s new account opening improvements are part of a technological ecosystem preparing businesses for the future. These improvements, which offer customers a streamlined, more flexible, and secure experience, include:

  • Fully digital account opening and transfer of wealth (TOA) registration for most account types, including managed and unmanaged accounts.

  • Multiple account opening that consolidates all accounts into one “household view” to streamline processes and proprietary paperwork. This includes the ability to designate authorized agents during account opening to eliminate steps that are typically processed after opening.

  • Multi-TOA funding that supports up to three transfers per new account.

  • Consolidated eDelivery authorization as part of the account opening process, helping advisors go paperless while minimizing additional steps for their clients.

  • Ability to pre-populate account details from a consultant’s CRM or scheduling tool to reduce the need for manual data entry.

  • New features including account statements and account access rights that can be initiated during account opening to save even more time.

  • Robust upfront data validation to ensure submissions stay in order.

95 percent of advisors say that opening accounts digitally saves them time for other tasks such as client relationship management, client investment management and financial planningii. Businesses that have used Fidelity’s account opening improvements have seen a 75% reduction in paperwork and 40% fewer account opening fields to fill out, resulting in an average savings of 121 hours per monthiii. It also reduced the amount of information an end investor needs to verify by almost 20% and resulted in a three-fold improvement in the not-in-good order (NIGO) rate.IV.

More account opening features will be introduced in 2023, including a new investor signing experience, a form-free feature that simplifies the investor experience with a simple “agree-click” step. Enterprises can customize and brand this experience to match the rest of their technology offering.

Enable personalization through Open Architecture Experience

Fidelity Institutional’s Integration Xchange continues to expand, offering new options for customized technology experiences. Launched in 2018, the open-architecture digital store offers a variety of integration options from more than 200 fintech companies, supporting the need for personalization.

To improve the experience for Integration Xchange users, Fidelity launched a redesigned FinTech Marketplace to make it easier for consultants and operations staff to discover and evaluate new FinTech offerings. Offering a more modern and navigable experience, the new marketplace helps customers stay ahead of the curve by providing a complete view of the options and integrations available to them. It also offers advanced search capabilities to view relevant solutions in their own time, compare and quickly focus on relevant solutions, with additional resources to help clarify and run the setup process to aid in implementation.

Integration Xchange also offers a new API analysis that makes it easier for companies to discover, evaluate and implement integrations. This awareness minimizes disruption by notifying the user of availability in advance.

“Whether a company wants to use Fidelity’s Wealthscape platform out of the box, leverage integrations with another platform, or build their own solution using our APIs and data, the work we do with Integrations Xchange is critical to making sure we can offer everyone an optimal, frictionless experience,” said Liberi.

Further development of the wealthscapeSM experience

in the In addition to offering new third-party integration offerings, Fidelity continues to improve its Wealthscape platform technologySMto better support evolving customer needs. New features include Wealthscape Analyticsa new dashboard with actionable, data-driven insights to help with customer segmentation and growth opportunities, and Wealthscape Reportinga redesigned reporting landing page with new filters and editing capabilities to further customize reports for use by both advisors and end investors.

Additional features will be introduced in 2023, including an integrated help experience that offers seamless connectivity between virtual assistant and chat for improved resolution time.

According to Liberi, Fidelity’s ongoing investments in technology are part of its company-wide commitment to invest in market-leading digital platforms and a prime example of the company exercising its own digital empowerment framework. “We know that technology innovation is not one-off, and our multi-billion-dollar annual technology investments are focused on leveraging our customers’ input, understanding their challenges, and delivering solutions that help organizations grow their size, performance and… Growth.”

For more information on Fidelity Institutional’s latest technology offerings, visit go.fidelity.com/transformthefuture.

About Fidelity Investments

Fidelity’s mission is to inspire a better tomorrow and deliver better outcomes for the customers and businesses we serve. With $9.6 trillion in assets under management, including $3.6 trillion in unrestricted assets as of September 30, 2022, we are focused on serving the unique needs of a diverse range of clients. Fidelity has been privately held for over 75 years and employs more than 60,000 people focused on the long-term success of our clients. For more information about Fidelity Investments, please visit https://www.fidelity.com/about-fidelity/our-company.

The content provided here is of a general nature and is for informational purposes only. This information is not individualized and is not intended to serve as the primary or sole basis for your decisions as there may be other factors that you should consider. Fidelity Institutional® does not provide financial or investment advice. You should conduct your own due diligence and analysis based on your specific needs.

The Fidelity Financial Advisor Community 2022 – Account Opening Survey. The study was a blinded online survey (Fidelity not identified) and was conducted over the period October 20thth until October 27thth, 2022. Participants included 415 advisors who manage or advise clients’ assets either individually or as a team and primarily work with individual investors. Advisory types included a mix of banks, independent broker-dealers, insurance companies, regional broker-dealers, RIAs, and national brokerage firms (commonly referred to as wirehouses), with results weighted according to industry composition. The study was conducted by an independent company not affiliated with Fidelity Investments.

The Fidelity Investor Insights Study 2022 was carried out in the period from August 8thth until 2.9nd, 2022. A total of 2,490 investors were surveyed, including 673 millionaires and 1,520 investors with advisors. The study was conducted via an online survey, with the sample provided by Brookmark, a third party not affiliated with Fidelity. Respondents were screened for having at least $50,000 in investable assets (excluding retirement savings and primary residence) with additional quotas based on age and wealth.

Third party trademarks are the property of their respective owners; all other marks are property of FMR LLC. The third parties mentioned here are independent companies and are not affiliated with Fidelity Investments. Their listing does not constitute a recommendation or endorsement by Fidelity Investments of those third parties, third parties, or services, or the suitability of their products and services.

Institutional allegiance® offers investment products through Fidelity Distributors Company LLC; Clearing, custody or other brokerage services through National Financial Services LLC or Fidelity Brokerage Services LLC, members NYSE, SIPC. 245 Summer Street, Boston, MA 02210.

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I
Source: The 2022 Fidelity Financial Advisor Community – Account Opening Survey

ii Source: The 2022 Fidelity Financial Advisor Community – Account Opening Survey

iii The calculation performed is an estimate of what savings Fidelity believes to be reasonable, based on averages and assumptions disclosed under “Details” below. Please note that these are estimates for illustrative purposes only and should not be relied upon. This information is not individualized and is not intended to serve as the primary or sole basis for your decisions as there may be other factors that you should consider. The actual results may differ. Specifically: Account onboarding/new account onboarding: 33 new accounts per month with an average time saving of 15 minutes per transaction plus elimination of 2 NIGO elements at 30 minutes per transaction. Other assumptions: $50,000 annual salary (or $24/hr) of the employee doing this work.

IV Source: Fidelity Institutional October 2022 – New accounts with digital account opening compared to AOTOA from April to September 2022.

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