Networks will increasingly move towards providing technology, business development and consultancy in the wake of the coronavirus pandemic, according to the heads of two prominent networks.
In the first in a series of podcasts examining what the advice profession will look like after the coronavirus pandemic, John Cowan, the executive chairman of Sesame Bankhall Group, and Mark Scanlon, the chief executive of Tenet, discussed the future of networks.
Mr Cowan said there was truth to the fact networks were becoming technology businesses.
He said: "[The future network] really is built around business consultancy. Obviously when someone joins the network we help them with compliance services and so on but the future really is, and it's a much hackneyed phrase, about business development.
"The future of the financial advice business will have technology right at its heart. It will do the heavy lifting [...] I think we will see much much more professional technology-driven people and advice will lie right at the heart of it, of course."
Mr Scanlon said if companies were not investing in their technology to a greater extent they would struggle to survive.
He said: "Our mantra is advisers will be replaced by advisers with technology.
"Without a doubt digital and technology will transform this business, and frankly if those of us within it don't do it then somebody from without will do it. It will be an Amazon-type solution and we will all think 'crikey, that's so straightforward why didn't we think of that'.
"It is upon us to go and figure out how this will operate."
To listen to the full podcast click play on the video above or listen on Apple Podcasts, Spotify, Stitcher or Acast.
damian.fantato@ft.com