In the world of trust and wealth management, growth hinges on two imperatives — securing top talent
and leveraging cutting-edge technology.
Banks and trust companies face a dual challenge—attracting and retaining high-performing advisors
while staying ahead in an ever-evolving tech landscape. According to The Cerulli Report—U.S. Private
Banks & Trust Companies 2024: The Outlook for Bank-Centric Wealth Management, nearly 70% of bank
executives cite advisor recruitment and retention as their greatest obstacle
Advisors are the driving force behind wealth management success, but their expectations have shifted
significantly. While competitive compensation remains essential, it is no longer sufficient on its own.
Advisors now seek robust support, modern technology, and cultural alignment with their firms.
Banks and trust companies offer unique advantages, such as built-in referral networks that create a
steady pipeline of potential clients, enabling advisors to grow their careers. However, outdated
technology and rigid processes often counter these benefits, particularly for younger advisors. These
professionals demand advanced tools, seamless digital platforms, modern onboarding processes, and
streamlined operations.
When banks and trust companies invest in adequate technological support, advisors can devote more
time to nurturing client relationships and driving business growth. Conversely, insufficient technology
leads to advisor attrition, resulting in lost clients, diminished institutional knowledge, and weakened
trust. Retention, therefore, is not merely an option—it’s a critical survival strategy
Evolving workplace expectations are only one factor fueling the demand for better technology. The
post-pandemic workforce shortage and the ongoing convergence of the trust and investment
management industries are further accelerating the need for modernized solutions
Michael Dixon, Director of Organizational Development at Pohl Consulting and Training, highlights this
shift in a recent LinkedIn article. He notes that financial services providers must invest in technology to
simplify and modernize operation.
“If you work in a bank’s trust department, it is just as likely that you report to a former portfolio or
investment manager as to a fiduciary officer,” Dixon writes. "This spillover from the investments space into the trust space has created a cultural shift, emphasizing efficiency and data-driven scalability akin
to a Registered Investment Advisory
Wealth management is at a crossroads, especially among community bank trusts, according to Dixon.
Tech-forward community banks have an opening to stand out by offering local, high-touch service
alongside sophisticated investment options. This approach helps them compete against larger banks
scaling back personalized services.
Technology also plays a critical role in addressing the "wallet share" gap. Cerulli reports that while U.S. banks have significantly grown their deposit bases, many struggle to convert these clients into wealth
management relationships.
Enhanced data analytics and client profiling tools can help bridge this gap, identifying opportunities to
help employees cross-sell wealth services to existing clients. Firms that embrace innovation—in both
tech and human resources—will lead the industry.
To thrive in this evolving landscape, banks and trust companies must embrace innovation—both in
technology and human resources. Yet many institutions and their legacy technology providers have
been slow to adapt to emerging risks and opportunities.
But one collaboration is leading the way in forward thinking innovation.
Cheetah—a cloud-based trust accounting platform—has teamed up with AssetMark, a turnkey asset
management provider, to launch an integrated wealth management solution.
“This alliance is about seeing where wealth management is moving and crafting an innovative solution
that strengthens our clients’ position as market leaders,” said Cheetah CEO Adam Unger.
Already, the partnership has enabled real-time account opening and other enhanced features. Bank
trust clients are seeing results, with the collaboration delivering increased efficiency for trust providers
and greater portfolio flexibility for high-net-worth clients.
Curtis Groves, Senior Vice President of Wealth Management & Trust at First State Bank in Texas, called
the collaboration a “cost-effective force multiplier.”
“With some of the legacy trust systems, the underlying technology is 30 years old,” Groves said. “With
Cheetah there is a clear embrace of staying current with technology. That’s what I think of in terms of
this synergy with Cheetah and AssetMark. We are the beneficiaries of that.”
By merging trust accounting with investment functionality, these two companies have created a
scalable, data-driven solution that empowers both advisors and clients.
When advisors are equipped with the right technology, they succeed. When advisors succeed, clients
thrive. And when clients thrive, firms grow. By addressing the dual challenges of talent and technology,
banks and trust companies can secure their position in an increasingly competitive market.
7460819.1 | 12/2024 | EXP 12/19/2026