Graphic: Where IBDs are targeting their technology investments

<i>InvestmentNews</i> research delves into software, tools, robo-advice and big data to discover priorities of independent broker-dealers this year and in 2018.
NOV 29, 2017
By  apino
In our annual survey fielded this summer, InvestmentNews found that the typical independent broker-dealer spent $12 million on technology in 2016, representing 7.5% of their total operating expenses and 2.4% of their annual revenues. IBDs projected they would end 2017 having spent 17.3% more than last year on average, while looking ahead to increases in technology spending across the board in 2018. The survey, which informs these graphics, covers tech plans of IBDs represented by 49 parent firms with medians of $141 million in revenue and 811 affiliated registered representatives in 2016. For more information on the firms from which we collect quarterly data, visit data.investmentnews.com/broker-dealer-data.
Percentage of firms offering the following tools
Projected technology spending in 2018
Projected technology spending in 2018
Business process/workflow automation
Adviser productivity
Adviser service
Internal infrastructure
Website
Client service
Adviser marketing/sales
Online advice
Big data
Planning to invest in big data capabilities in 2018
Areas of emphasis for big data investment
Average compliance tech spending
*Average from all firms, not from total
Do you currently offer a robo-advisory platform to your advisers?
Source: InvestmentNews Research

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