Welcome

Supporting RDR transformation

As the RDR regulations take shape, we have been exchanging views with clients and partners across the industry on their likely impact.

There is little doubt that for most, business models will need to transform significantly to meet the new requirements. For intermediaries, providing fee based financial planning services and cost-effective long term servicing across multiple investment platforms will be critical. For insurers, maintaining and developing key intermediary relationships while retaining and compliantly servicing existing customers who are either orphaned or uneconomic to serve using traditional means will be vital.

For example, we have worked closely with Cofunds to deliver this framework through DPOS, initially by deploying investment planning tools, to be followed shortly by retirement planning. DPOS is Distribution Technology’s planning, sales and support automation product, which allows advisers to manage customers, workloads and processes while adhering to centrally controlled compliance rules.

In the meantime, 2010 got off to a great start for DT and our clients, going live with SimplyBiz, to support 4,000 advisers. We recently celebrated our 7th birthday and are proud to have been awarded “Gold Partner” status with Microsoft in March.

Finally, we have launched a number of new applications and services this year, including a risk profiling app for iPhones (as covered in this Saturday’s Times) and a Fund Risk Profiling Service for fund managers.

If you would like to discuss anything in this bulletin with me or any of the team, please do get in touch.

Ben Goss, CEO

Company update

Distribution Technology awarded Microsoft Gold Partner status

Over the last year in these tougher economic times, our turnkey products based on Microsoft’s technology have played a critical role in helping financial services organisations improve the productivity and compliance of their distribution.

We are delighted that our efforts and the support of our customers have enabled us to attain the coveted Gold Partner status from Microsoft. Gold Partner Status is internationally recognised and Microsoft’s highest level of accreditation. Achieving this accreditation means we are well positioned to develop exciting initiatives in conjunction with other Microsoft partners.

Gordon Ejsmond-Frey, Microsoft’s Insurance Industry Director for EMEA adds, “At Microsoft we are committed to working with partners to address the industry’s major challenges. Distribution Technology’s solutions solve fundamental issues around productivity and compliance in the Advisory Services space. We congratulate DT on their accreditation and look forward to working closely with them as a Gold Partner.”

Video testimonials

Our clients include some of the largest insurers, intermediaries, platforms and banks. Please go to our website to find out what Aegon, Chartwell, Cofunds and Informed Choice have to say about us.

Customer update

Simply Biz adopt Dynamic Planner®

After a rapid two-and-a-half month implementation to configure and integrate the solution to Simply Biz’s requirements, 4,000 Simply Biz members were provided with access to Dynamic Planner® in February 2010. The application supports investment and retirement planning for SimplyBiz’s Verbatim proposition.

With over 1,000 advisers already trained, Matthew Timmins, Marketing Director at SimplyBiz said, "We are delighted with the take-up of our new investment and retirement applications from Distribution Technology. In just a few weeks, more than 4,000 sessions have been recorded by around 1,000 advisers, which show that SimplyBiz members are already getting real value from them.”

Please talk to your Client Director, if you would like to find out more.

Cofunds go live with DPOS

Last month, Cofunds announced the launch of a suite of planning tools to support financial advisers through the key stages of the financial planning process: identifying attitude to risk, defining goals, analysing current arrangements, forecasting and reporting.

We have worked closely with Cofounds to deliver this framework through DPOS, initially by deploying our Investment Planner tool, to be followed shortly by the addition of the Retirement Planner tool. DPOS is Distribution Technology’s popular planning, sales and support automation product, which allows advisers to manage customers, workloads and processes while adhering to centrally controlled compliance rules.

Verona Smith, Head of Proposition at Cofunds says; “We have received good feedback from advisers and the uptake of these tools continues to grow. It is crucial to us to use robust technology to support the financial planning process and help advisers to thrive.”

Product and services update

New Fund Risk Profiling Service

There is no doubt that risk rated funds are set to replace more traditional labels such as active, balanced, and cautious funds over the next five years. With over 29,000 financial advisers using our technology in the UK it makes sense for fund managers to profile their funds against the risk profiles generated by Dynamic Planner.

We are pleased to announce that fund ranges can now have their asset allocations independently mapped by Distribution Technology against the popular Dynamic Planner risk categories.

Aligning funds with Distribution Technology’s risk profiles of category 1(low risk) to 10 (higher risk) moves beyond the traditional labels of ‘cautious’, ‘balanced’ and ‘adventurous’. It provides advisers with access to an independent and well recognised benchmark to guide their selection process.

We are delighted to say that 7IM are the latest organisation to have adopted our fund risk profiling service. Please talk to your Client Director, if you would like to find out more.

Distribution Technology launches Dynamic Planner® Risk Profiling App for iPhone

In March, we announced the launch of the UK’s first investment risk profiling application for the iPhone at the Deloitte Technology Predictions seminar.

Dynamic Planner® Risk Profiling uses our standard in-house 10 question psychometric risk questionnaire, providing advisers with a simple and intuitive way of educating their clients about investment risk and risk profiling prior to a meeting.

Nick Bamford, Chief Executive of Informed Choice Ltd, said “DT’s Risk Profiling App on the iPhone is a fantastic development. We have long held the view that technology like this is going to enhance the client/adviser relationship. Identifying client attitude to risk is an important part of what we do and this will definitely help the client to think about investment risk issues ahead of engaging with us for financial planning services. The retail financial services profession is moving with the times and use of technology like this is going to make a real difference”

At DT, we see mobile technology such as the iPhone and the new iPad ushering in a new era of professional adviser and consumer collaboration. Our Dynamic Point of Sale® already works offline and online on traditional tablets and we expect to migrate more and more of our products onto mobile devices in the future.

Furthermore, the new app was highly commended in the Times Money section (8 May), in an article about risk profiling and the benefits of psychometric analysis (“A test that makes failure less likely”) link to article. Nick Bamford, who regularly uses our 20- question version, is quoted in the article as saying “it (is) the most intuitive and user-friendly of all the tests available.”

Please talk to your Client Director, if you would like to find out more.

How are we doing?

To ensure that you are receiving the most from our products and services, we would like to know what you think. Every month, we now call all clients and ask three questions:

• Please rate on a scale of 0 (low) to 10 (high)
  • How likely you are to recommend us?
  • What level of service you have received from us this month?
• How can we improve?

Feedback from the health checks so far has been very encouraging. This proactive approach has been welcomed – especially because the survey only takes two minutes to complete! And as a result, we better understand what is important to you and can prioritise our resources accordingly.

In addition, we are inviting our clients to complete a short survey on how we are perceived. These are circulated at our client meetings but we would welcome feedback from everyone, so please let us know if you would like to take part.

Events

User group

We will shortly be announcing the date for the next user group meeting. Please watch this space.

Sharing our insights

As the financial services industry gears itself for the forthcoming RDR changes, there is still much to consider. Ben Goss will be sharing Distribution Technology’s insights at:

• Self-invested pensions and retirement options briefing (Henry Stewart) on 29 June at the Radisson SAS Portman Hotel, London W1
• Meeting of Minds (Advisory Distributors) event organised by Owen James on Thursday 1 July at Pennyhill Park
• Westminster and City’s conference on Implementing the RDR – Business Models, Adviser Charging, and the Consumer. It is scheduled to take place on 8th July at the Hyatt Regency, The Churchill, Portman Square, London W1.

If you are attending, please let us know – it will be great to see you.