Robo-advisers have been fascinating to many, but have yet to take off commercially. The public’s appetite to trust new brands with their hard-earned cash is not huge. And waiting in the wings we have the second wave of big-brand online investment services.
Santander and Vanguard will be in the, er, vanguard. Santander is in the market already, albeit quietly. Vanguard is coming soon. These guys have the reach and the customer base already.
It all makes you wonder if, given the way things are going, what we’re seeing is a world where disruption means going back to through-the-line brand-led propositions. Total vertical integration; pick the brand you like. In this world big wins, and distribution is owned.
I doubt Trump knows about the sandbox (it might mess up his hair). But if he studied up on how our part of the financial services world is shaping itself for the future, it isn’t hard to imagine him smiling in recognition. And if that doesn’t scare you, nothing will.
Mark Polson is principal of platform and specialist consultancy the lang cat
