WealthArc automates trading with FIX Protocol

WealthArc, a Swiss provider of an all-in-one automated Portfolio Management System for wealth managers, is launching a new module on its SaaS platform – trading via the FIX protocol – becoming one of the first companies to introduce trading automation to a wealthtech solution in the process.

The new module is a huge step not only in digitising wealth managers’ daily operations but also in building a one-stop-shop for wealth management data. It allows users to send buy and sell requests directly to a stock exchange from the WealthArc platform. There’s no need to log in to an online banking system or export Excel files with trading positions. The whole process from portfolio analysis to placing a trading request takes place within the platform.

“Introducing trading modules has been the top priority of our team this year,” says Karol Bozykowski, Product Manager at WealthArc. “We observed significant demand for trading automation, and we are proud that our team managed to deliver it in such a short time. Now, we will focus on making it available for assets held across diverse European custodian banks,” adds Karol.

The new feature will be first available for custody accounts held at Swiss-based wealth and asset manager Pictet. However, WealthArc engineers are already working on extending the trading feature to other custodian banks. The efforts focus around Switzerland for now as this is where most of the assets managed by WealthArc’s clients are held.

For wealth managers with multiple custodian bank relations, the FIX trading feature brings a set of tangible benefits:

• Better results by responding to market changes faster: with the trading feature, WMs don’t have to call nor email anyone. Once they observe an investment opportunity, all they need to do to send a trading request to a stock exchange are just a few clicks. It allows them to react immediately and generate better results.

• More time thanks to moving all the process to one platform: With the FIX trading feature, WMs don’t need to log in to their bank nor any other system to send a trading request. The whole procedure begins and ends at the WealthArc platform, so asset managers don’t even need to start a new session.

• Keeping portfolios balanced with investment guidelines: Thanks to WealthArc’s automatic investment guidelines checks, WMs always know if their portfolio composition meets their clients’ requirements. Once they exceed the limits, the system informs them what trading operations they should take to balance their portfolio.

Trading via the FIX protocol is a wealth management novelty, but it is expected to become an industry standard in no time. According to the report Technology as Vaccine: How COVID-19 Impacts Wealth Management, the COVID-19 pandemic showed WMs the potential of wealthtech, especially in terms of process automation.

Direct trading adds up to WealthArc’s set of WM automated digital tools. The platform already automates portfolio data consolidation, client relationship management, and compliance among other.