Online investment firms are looking to take on some of the traditional fund management businesses by offering a lower cost model.
Whenever New Model Adviser® publishes a story on firms such as Nutmeg or the many robo-advisers that have been set up in the last year there is always some scepticism in the comments.
Often the view seems to be that there is plenty of talk but not much of a real threat posed by such online business models.
Asset managers are taking the threat seriously though, as the third part of our conversation with chief executives reveals.
Martin Gilbert, chief executive of Aberdeen Asset Management, explains why his company bought Parmenion to understand robo-advice, and how the business has performed even better than expected. Only this morning Aberdeen revealed its final purchase price for the platform will rise as a result of it exceeding targets.
M&G chief executive Anne Richards also explains why large financial firms like her own are investing in distributive ledger technology, which will make processes quicker and safer to conduct.
You can see other videos in the series below