Cisco IBSG has shown a number of leading wealth management firms how technology solutions such as video and collaboration can add value and increase efficiency as they interact with investors. For more info: http://cs.co/ibsg-wealth

1. Reinventing Wealth Management with
Technology-Enabled Video Services
How To Win the $31 Billion at Stake from
Wealthy Investors
Robert Waitman and Jeff Loucks
Cisco Internet Business Solutions Group (IBSG)
December, 2012
For more information http://cs.co/ibsg-wealth
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 1

2. 2012 Cisco IBSG Wealth Management
Survey
 Background
 Selected Insights from the Survey
 $31 billion opportunity
 Reinventing Wealth Management
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

3. Survey Background
Questions from Wealth Survey Details
Management Firms:
 Online survey of 1,243 wealthy
 How much video do investors investors in U.S., U.K., and
want? Germany during April, 2012
 How can firms attract the large
number of investors who do  All with investable assets of
NOT have a financial advisor $500K or more
today?
 When is the time to act? What  Representative of population
are the risks and costs of asset classes
doing nothing?
 Additional survey data on 465
mass affluent (emerging
wealthy) investors
* U.S. only
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

4. Wealthy Investors Already Using
Technology in their Daily Lives
Using technology to
manage financial lives
 71% use a PC to manage
investments
 28% use smartphones
 24% use tablets
50% of wealthy investors have
used video in the last year to
connect to family, friends, or
colleagues
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

5. Emergence of Target Investors
“Wealthy Under-55s” “Wealthy Gettable”
Investors
“Emerging Wealthy”
“Far Away Investors”
“Client Families”
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

6. Wealthy Under-55s Are the New
“Wealthy Under-50s”
Percentage who are likely to switch their primary adviser
in the next 12 months
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

7. Investors of All Ages Want Technology-
Enabled Meetings
Percentage of meetings with financial advisers that
investors want through video
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

8. Technology-Enabled Business Models
Can Attract “Gettables”
Percentage of Wealthy Gettables interested in video-based access to
advisers; Percentage willing to move assets to access video-based advice
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

9. “Far Away Clients”:
Face-to-face not an option
Frequency of meetings based on distance from advisor
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

10. Investors are willing to move their assets
to get video / collaboration
Percentage willing to move assets to a firm offering video and
collaboration capabilities
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

11. Investors are willing to move their assets
to get video / collaboration
Percentage willing to move assets to a firm offering video and
collaboration capabilities
Revenue
at risk:
$31B
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

12. Summary: Reinventing Wealth
Management Starts Now
 Many clients (especially the Under 55’s) using
technology in their everyday lives, and they expect it in
their financial lives
 Firms can grow / retain client assets by integrating
technology-enabled video collaboration solutions; $31
Billion at stake
 Change will come rapidly as investors have choice and
the attitudes and behaviors of the Under 55’s become
even more pervasive
Source: Cisco IBSG, 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group

13. For more information please visit
http://cs.co/ibsg-wealth