The WEALTHTECH Book

The Wealth Management Canvas – A Framework for Designing the WealthTech Firm of the Future

By Dr Claude Diderich

Managing Director, Diderich Consulting LLC

Many WealthTech firms are facing challenging times because they have often not fully designed their business model. Understanding how technology can help investment customers satisfy their needs and fulfil their jobs to be done is key for success and to deliver value. The wealth management canvas provides a framework to support WealthTech firms in designing and validating their business models in a holistic way. It relates innovative technologies to the value proposition and allows us to define a sustainable competitive advantage. It is a proven tool for transforming creative WealthTech ideas into viable businesses. It focuses on those aspects that matter most and helps avoid many pitfalls.

Numerous WealthTech firms face challenging times because they only focus on one area in their business model. First, many young technology companies, trying to compete in the wealth management space, implement strategies for delivering value to their customers, relying on differentiation through technological capabilities. They build innovative user experiences (like simplifying client risk profiling or introducing chatbots), automate business processes (like rebalancing portfolios), or try using artificial intelligence algorithms to forecast financial markets. Second, the inclination to assume knowing better what customer needs are than ...