Pershing's incoming CEO sees opportunity in high-demand advisory services

Pershing's incoming CEO sees opportunity in high-demand advisory services
James Crowley says the custodian is focusing on IT improvements and enhancing the client experience.
JUN 12, 2019

Pershing's incoming chief executive said Wednesday the custodian is focused on taking advantage of the increasing market for investment advice and helping advisers on its platform expand their businesses with faster technology and richer data. "The wealth and advisory services business is in greater demand today than ever before from all of your investors," Pershing chief operating officer James Crowley told about 2,000 attendees at the firm's Insite conference in Phoenix. "There are too few people to help all these investors. With this undersupply of advisers and this greater demand from investors, it's a wonderful opportunity for us." Mr. Crowley, who will take over as Pershing CEO on July 1, said investors also are seeking more than guidance on their portfolios. "They're looking for life-planning advice, a major shift," he said. He said the total advice industry asset pool is about $7 trillion and is increasing at about 10% annually. The advisers on the Pershing platform are growing "a couple percentage points faster than your peer group, and that's exciting," he said. Pershing had 744 registered investment advisers on its platform as of March. Pershing had approximately $655 billion in advisory assets in the first quarter. Pershing is a division of BNY Mellon. Pershing announced Wednesday it is taking steps to improve its technology offerings through "open architecture" and to help advisers digitize their businesses. The goal is to improve the client experience, Mr. Crowley said. "We constantly hear the drumbeat: Please do more. Please do it faster," he said. Pershing is attempting to streamline client onboarding and enable advisers to better manage their businesses through more robust data. One new product is called the Money in Motion Dashboard, designed to help advisers measure their business performance and identify key trends through net asset flows. Envestnet recently introduced a similar product. "Rapid advances in technology are changing expectations and creating new pressure points for our industry," Ram Nagappan, Pershing chief information officer, said in a statement. "The need to operate with speed and efficiency is becoming more profound, forcing firms to modernize technology and digitize service."

Latest News

Caprock expands Texas footprint with $4B Venturi acquisition
Caprock expands Texas footprint with $4B Venturi acquisition

Deal brings 10 advisors and deeper family office reach to Austin market.

Mariner aims to ‘break growth ceiling’ by deploying AI workforce of 700
Mariner aims to ‘break growth ceiling’ by deploying AI workforce of 700

Mega-RIA to adopt AI workforce at enterprise scale as firm rethinks growth without hiring.

Goldman leads wave of prediction market bans at financial firms
Goldman leads wave of prediction market bans at financial firms

As Goldman Sachs tightens rules on event contract trading, RIAs and hedge funds are weighing their own policies

Advisor moves: Baird recruits $600M veteran pair to director roles in North Carolina
Advisor moves: Baird recruits $600M veteran pair to director roles in North Carolina

Meanwhile, Wells Fargo lures defectors from UBS and JPMorgan to expand in the East Coast, while another bank aligns itself with RayJay's financial institutions division.

AI may be nudging some older workers into early retirement, study finds
AI may be nudging some older workers into early retirement, study finds

New research suggests AI-exposed workers over 55 are leaving jobs more often than before ChatGPT’s rise.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income