One only has to look at the challenge Netflix poses to traditional TV or at how iTunes has transformed the music sector.
While technology has upset the status quo, what has remained constant is the essence of the product offering.
A catchy tune or a riveting thriller is still compelling, irrespective of what medium is used to access it – and our industry is no different.
In recent years, there has been much talk of platforms entering the international market but, if one takes a more product-orientated view of platforms rather than the commonly used technological perspective, they have existed in the international marketplace for well over a half a century in the form of portfolio bonds offered by global life assurance companies.
This may be stating the obvious but it is a fact that much of the platform debate seems to ignore.
Tradition meets innovation
Through traditional bonds, advisers and their clients have enjoyed access to thousands of funds from hundreds of fund houses since the 1980s.
Along with access to a wide range of alternative assets and structures under one roof, in recent years life company platforms have dramatically enhanced their technological capabilities and online client interfaces to keep up to speed with newer entrant fund platforms.
In addition, the sustained presence of life companies in the global marketplace has allowed for strong technical, product and marketing development alongside the technological advancements, while still offering a flexible charging structure.
A typical bond provides access to thousands of assets, allowing for tailored planning.
The adviser also has the option of consolidating existing assets within the bond, and this is where the real power of the platform lies, in providing a wide choice in an optimally efficient manner.
