Increasing demand for technology in the financial services space continues to drive growth for financial adviser support business AdviserLogic.
“We have doubled our user base for the past 12 months. We are excited and the traction we are getting,” AdviserLogic chief executive Gundeep Sidhu told InvestorDaily.
Quarter on quarter the business has achieved user base growth of around 80 per cent.
“We experienced 100 per cent growth last year and my thought looking forward is we’d like to see 150-200 per cent on last year, and I think we’re on track for that,” AdviserLogic chief operating officer Chris Dalton said.
“We are pretty satisfied. Certainly NSW and QLD are rapidly growing markets for us,” he said.
Future of Financial Advice (FOFA) reforms and regulatory changes have also had a dramatic impact on the market, particularly on the independents because firms recognise driving efficiency means more time available to spend on compliance.
AdviserLogic has built a compliance framework within the application, rather than as a separate component, which helps to streamline business process.
The technology business also benefits from the industry trend for consolidation.
“As we have seen over the past one and a half or two years, institutions are quite active in acquisition of boutique practices, which is to a degree playing in our favour because some of those boutique practices have been using our technology [prior to their acquisition],” Mr Sidhu said.
Going forward the firm expects the technology market within financial services to become a lot more competitive as the focus on productivity and speed comes to the forefront.
“The industry as a whole has lost all sense of who the client is because it’s busy, tough and everyone is working longer for less, so ultimately the only way to defeat that is through technology and productivity,” Mr Dalton said.
