Swiss bank Mirabaud has selected banking software provider Temenos and UK lifecycle management services company, Wealth Dynamix, to support the digital transition of its wealth management business.
Starting in spring 2022, the partnership will enable the bank to migrate from traditional on-premises systems to a SaaS, end-to-end wealth management platform over the next few years.
“This key investment for the Mirabaud Group is a clear demonstration of our dedication to our clients: positioning ourselves as a leading partner for them today, and the generations to come,” said Camille Vial, CEO of Mirabaud.
“We are working to carry on adapting quickly to their needs and to market trends whilst never losing sight of our core vision and values: combine our entrepreneurial and passionate human approach with cutting edge technology.”
The partnership with Temenos will give Mirabaud access to the Temenos Banking Cloud as well as the complete suite of the former’s wealth banking capabilities, including self-service channels, portfolio management, back-office processing, payments, financial crime mitigation, and data lake.
The cloud migration will also facilitate the bank’s delivery of digital customer experience with personalized services and automated processes.
The partnership with Wealth Dynamix will support the bank via its client servicing platform CLMi.
Maribaud will benefit from the SaaS tool’s digital end-to-end client experience delivery for key activities throughout the customer journey. It is expected to enhance the productivity of relationship managers as well as operations and compliance specialists.
As part of the partnerships, the privacy of the bank’s clients remains protected. The full encryption and tokenisation of personal data ensure that no customer identifying information is available on either the Temenos or CLMi systems.
Bank-fintech partnerships accelerate
Mirabaud’s digital transformation project and cloud migration comes as traditional financial institutions face stiff competition from challenger banks and fintech companies that leverage technology to provide quick and efficient services.
According to Mckinsey’s 2021 global retail baking consumer survey, 30percent of retail clients are banking with fintech or a big technology company in Western Europe. The figure reaches 40percent in the US.
To fend off increasing competition, banks have been investing in their digital capabilities.
In the Netherlands, ABN AMRO recently renewed its partnership with Temenos to access the software provider’s continuous deployment services for swift software delivery.
Earlier this year, Intesa Sanpaolo also partnered with cloud-based fintech provider, Thought Machine, to create a new digital banking platform Isybank as part of its €5 billion investment in its digital transformation.
Investment in digital wealth management services heats up
As digitalisation in the banking industry picks up, investment in digital wealth management services has also increased in the US and Europe.
In January, UBS forked out $1.4bn to acquire digital wealth management services provider Wealthfront to expand its reach in the US and among millennial and Gen Z affluent investors.
On 5 April, Portuguese bank Novobanco announced that it had partnered with fintech Objectway to leverage its digital financial advisory platform.
A day later, US turnkey digital wealth management platform, Unifimoney, announced that it had raised $10m in seed funding to expand its alternative assets offerings and services.