Choosing the Right Broker-Dealer: Why Technology Matters

As a financial advisor, you rely heavily on technology to keep up with market changes, client communication, portfolio management, billing, and more. But with so many broker-dealers out there, how do you choose the one with the tech stack that not only supports you, but scales with you as you grow?

The technology and support your broker-dealer offers directly impact your ability to compete and grow. Don’t settle for a broker-dealer that lags behind. Choose a partner that invests heavily in its tech stack, empowering you to stay ahead of market shifts while focusing on what matters most: your clients.

In this blog, we explore the critical role that technology plays in your relationship with a broker-dealer and the questions you should ask to ensure you have the right partner to support your growth.

Growth-Focused Technology 

The right tech stack transforms your practice by:

• Scaling with YOUR vision

Don’t settle for a one-size-fits-all solution. Look for a broker-dealer that offers a scalable tech stack that can adapt to your growing needs.

• Boosting Efficiency 

Seamlessly integrated tools – from portfolio management to secure communication platforms – save time by eliminating the need to juggle multiple applications at once.

• Elevating Client Engagement 

Clients expect a modern experience, and technology is a key component of that. Modern tech allows you to meet those expectations through secure online portals, document sharing, and digital payments.

Asking the Right Questions 

When you’re evaluating broker-dealers, it is important to ask questions about their tech stack. Here are some key considerations:

1. Is the technology integrated and user-friendly?
2. What financial planning, CRM, portfolio, and billing software do they provide?
3. Are they committed to continuous improvement of their technology offering?
4. What’s their roadmap for the future?
5. Can their tech stack keep up with the growth rate of your practice?
6. How fast are they to evaluate new innovations to ensure you have an advantage over your competitors? 

Advocate for Your Growth: Don't Settle!

What happens when you want to use technology your broker-dealer doesn’t offer? The answer is easy – ask them for it! Many broker-dealers are receptive to advisor feedback. Here’s a proactive approach to get your broker-dealer to invest in the technology you need:

• Identify the gap 

Clearly define the tech missing from your broker-dealer’s offerings. Research solutions and understand how they’d benefit your practice.

• Gather data

Document the impact of the missing technology. Show how it affects your workflow, client engagement, or potential growth opportunities.

• Present a strong case 

Frame your request as a partnership opportunity. Show how the technology benefits you AND the broker-dealer (attract new clients, advisor retention, etc.)

Want AdvicePay but your broker-dealer doesn’t offer it?

We’ve done the groundwork for you by putting together a template that specifically requests AdvicePay. Download, customize it, and send it to your home office contact. Access the template by filling out the form below.

The Bottom Line

Your broker-dealer should be your technology partner, not a roadblock. By including technology offerings in your selection process, you will ensure you have the tools and support you need. Technology is not just a nice to have, it is a necessity for sustained growth. Contact us today if you have any questions or need support.

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