Who Really Owns Your Data? Why Wealth Managers Must Take Back Control
The Data Dilemma in Wealth Management
Data is the most valuable asset wealth managers possess—yet many don’t have full ownership of it. Third-party platforms often dictate fees, control client insights, and manage operational aspects, locking firms into restrictive ecosystems. In an era where digital transformation is reshaping financial services, data ownership has become a critical business survival strategy.
The question is: Who really owns your data? And what happens when you don’t?
Data is Power. But Who Holds the Keys?
The wealth management industry is at a pivotal juncture. For decades, firms have relied on platforms they don’t own, leading to:
- Client data residing in third-party systems: This limits direct access and control
- Platform providers dictating fees, updates, and integrations: Firms must adhere to external decisions that may not align with their interests.
- Restricted access to historical insights: Dependence on third parties can hinder comprehensive data analysis
Consequently, many wealth managers are inadvertently outsourcing their most valuable asset-their client data. Simultaneously, the financial landscape is evolving:
- AI & Analytics: Leveraging proprietary data for insights offers a competitive edge.
- Regulatory Pressure: Regulations like the Financial Conduct Authority’s (FCA) Consumer Duty and Client Assets Sourcebook (CASS) demand greater transparency and accountability over data usage.
- Platform Innovation: Firms owning their platforms can develop differentiated services, while others remain confined to external roadmaps.
The Illusion of Choice in Today’s Platforms
Many firms believe that because they have access to data, they own it. But in reality, third-party platforms control the infrastructure, dictate costs, and set the limits on how data is used.
This results in:
The truth is: Data isn’t just an operational necessity—it’s a business asset. And right now, many firms are locked out of their own future.
The Hidden Risks of Outsourcing Data Control
Entrusting data to third-party platforms presents significant challenges for wealth management firms:
”If data is the new oil, then wealth managers are paying a high price to drill in someone else’s field.
Andrew Gaunt,COO, Graphene
Case Study: Wintrust Financial Corporation’s Data Governance Overhaul
Wintrust Financial Corporation, a diversified financial services company, recognised the need for a robust data governance strategy to manage its extensive data landscape. The company faced challenges with its existing file-sharing solutions, which were cumbersome and lacked user adoption, leading to insecure data-sharing practices.
To address these issues, Wintrust implemented a comprehensive data governance strategy that included:
- Enhanced Data Discovery and Classification: Improving the ability to locate and categorise data across the organisation.
- Strengthened Data Retention Policies: Establishing clear guidelines on data storage durations to ensure compliance and efficiency.
- Improved Access Monitoring: Implementing robust systems to track who accesses data, enhancing security and accountability.
This overhaul led to a strengthened culture of data ownership and responsible governance within the company.
This case underscores the importance of internal data governance and the potential risks associated with inadequate data management practices. Wealth management firms must prioritise data ownership and implement robust governance strategies to safeguard client information and maintain trust.
The Shift Toward Data Ownership in Wealth Management
Forward-thinking firms are making the shift—reclaiming control over their platforms, data, and technology stack.
A major shift is underway, and the firms that embrace it will dominate the next decade of wealth management.
Graphene: The Enabler of Data Ownership
At Graphene, we simplify platform ownership. Our embedded solution enables firms to own their infrastructure without the cost, risk, or complexity of building from scratch
”"Wealth managers shouldn’t rent their platform. They should own it."
Kevin MitchellCEO
Take Control of Your Future
Find out how Graphene helps you own your future
The wealth management landscape is evolving fast. Firms that own their platform and data will have the agility to adapt, scale, and outperform in an increasingly digital-first world.
- Are you still letting someone else control your data?
- What’s the cost of inaction?
- And how much are you leaving on the table?
It’s time to take back control.