Whether you’ve delivered ongoing advice but can’t prove it, aren’t sure if clients got what they paid for or know you fell short but don’t know by how much, getting your records in shape is the first step. It’s easier said than done but this article shows how Evotra is using technology to help firms succeed 

If the FCA comes calling, can you prove your clients received the ongoing advice and annual reviews they paid for? Or are there gaps in your record-keeping that could increase your vulnerability to fines, reputational damage and loss of clients?  

This is front of mind for many wealth management firms following the FCA’s infamous ‘Dear CEO’ letter from 2023, its well-publicised probes into high-profile firms and increased appetite for intervention. But, unfortunately, given the industry’s long-running battle against unreliable data and patchy records, together with the prevalence of dated systems, the uncomfortable truth for many firms is that they’d struggle to respond to the FCA. They don’t have reliable records to prove ongoing advice – or otherwise – and  have no idea how exposed they are to potential fines and compensation claims. 

That’s where Evotra comes in.  

We’ve been helping wealth management firms with even the most disjointed, patchy records and archaic systems to document the services they’ve provided to clients, uncover issues, understand potential exposure and put in place better processes for the future.  Here’s how. 

Stacks of PDFs and incomplete records? Not a problem 

First, let’s be clear – if you’re a firm that’s grappling with gappy records and your vital client information is hiding in hard-to-access places such as PDFs, you’re not alone. We see this all the time and we know the knock-on impact it has on your business as colleagues get sucked into sifting manually through historical records and trying to piece scraps of information together to build the picture you need.  

It’s nigh on impossible to operate like this so what we’ve done is partner with an IT company to develop some software that can do the heavy lifting and then feed all the relevant information into an easy-to-understand dashboard for you. It’ll give you the picture you need to inform your next steps.  

How does it work behind the scenes?  

Software to scrape records, pinpoint vital information and overlay revenue data 

This software scrapes the content from documents such as PDFs and puts it into a database so it is searchable. The software is then programmed to search for specific key words and phrases creating a fast, efficient way to pinpoint relevant information. As an example, we can take all your client documents going back over five years and extract information relating to annual reviews, completed risk profiles, client objectives and so on.  

All the information we gather is used to build up a picture of the service that each of your clients received, including any gaps such as missing annual reviews, and we then overlay revenue data to understand the fees that clients paid for their services. This information is displayed in a dashboard, with the software adding an automatic RAG status to help you see clearly where there is evidence that clients received the service they paid for and where there are gaps that could leave you exposed. For example, if a client has received an annual review in three out of five years, the system will flag up the missing years.   

By looking at gaps in service and fees charged, firms can stay on the front foot, understanding exposure and taking proactive steps to rectify the situation with clients, helping to maintain client relationships and avoid future compensation claims. They’ll also be ready should the FCA come calling. 

Improving processes to break the cycle 

Our specialism at Evotra is providing all the wraparound care that wealth managers need to get the best from their technology. This encompasses everything from designing workflows and configuring technology to cleansing data, fixing data feeds and training staff. So, as well as supporting you with your immediate needs around client records, we can also help you make sure your business no longer suffers from challenges like this in the future. 

What does this help look like?  

We shape our service around your needs so it’s different for every client but as examples, we’re working with firms like yours to build workflows around annual reviews, ensuring reminders are automated and all the relevant information is captured and stored correctly. We’re configuring technology so it does what you need it to do and training staff – back office and advisers – so they embrace it and use it competently. And we’re overcoming MI challenges by harnessing Power BI to extract and display all the MI you need, for example on annual reviews held, fees charged and any anomalies across services, client cohorts or advisers. And we do all of this without your data having to leave your own secure environment. 

If you’re struggling with client records and data or have any concerns about a potential FCA enquiry, don’t delay – we can help you. For a confidential conversation with Evotra, please get in touch on 020 3410 1966 or email hello@evotra.co.uk