The key outcome of BNY Mellon’s increased digital efforts, which started in 2018, has been Active Wealth, a holistic wealth management framework based on five practices. These comprise investing, borrowing, spending, managing taxes and fees, as well as protecting assets and legacy. The bank’s senior leaders recognised early on that a robust technology platform was critical for its future, and “wealth management technology has always had a seat at the leadership table”, states Avi Shua, managing director and chief information officer at BNY Mellon Wealth Management.

AdvicePath, the interactive proprietary planning tool, is based on all five practices. Launched in 2019, and significantly enhanced in 2020, “it transforms complex financial projections into visual output”, assisting education and decision-making processes. 

It was particularly useful to calm clients’ fears at the start of the pandemic, as stockmarkets dropped rapidly. “The ability to show clients a new path to meeting their financial objectives was a great asset in difficult times,” says Mr Shua. During the crisis, the tool has also supported conversations around strategic borrowing, planning opportunities, addressing spending needs and plan adjustments.  

Its standard output is based on one specific value, the odds for the client of outliving their investable assets. “This value is the focal point for asset allocation and spending decisions,” says Mr Shua.

Estate planning capabilities are expected to be added to the tool soon, “to streamline several disjointed processes” currently adopted for estate planning analysis.

Through the enhanced wealth portal, clients have a holistic view of their assets, including those managed externally. The ability to exchange documents securely via the bank’s File Vault is a “very popular” feature with clients, reports Mr Shua.