Outlook 2025: New age financial firms all set to challenge traditional private banks

The asset and wealth management industries are primed for unprecedented growth and transformation in 2025 and beyond. Speaking to LC IDEAs: Views & Insights, Balaji Prasanna , Executive Vice Chairman of Key Client Solutions at Lighthouse Canton , shared his perspectives on the industry’s trajectory, highlighting three pivotal themes: the democratisation of private markets, shifting business models, and the integration of technology to redefine wealth creation and management.

Read the full article here: https://www.lighthouse-canton.com/insights/outlook-2025-new-age-financial-firms-all-set-to-challenge-traditional-private-banks

ACCESS AND INNOVATION

"The coming decade will see steeper growth in the wealth and asset management space than the last," Prasanna noted, attributing this to the global creation of wealth and the emergence of innovative asset classes. "People are thinking of more technology-driven asset classes and tokenization of private assets could also become significant investment opportunities for clients."

Wealth Technology platforms like Keenai Wealth and Lighthouse Canton's digital full-stack private banking solution, LC?Vantage, are spearheading this shift by removing traditional barriers to entry.

"Technology gives people the ability to invest in different products, have better information, and analyse opportunities directly through their phones," Prasanna said. This democratisation is not only increasing accessibility but also reshaping how smaller investors engage with sophisticated opportunities like structured products and derivatives.

"Product innovation and the availability of platforms to deliver these products to a wider audience are propelling the industry forward," he emphasised.?

Twenty years ago, accessing structured products or derivative instruments was a privilege reserved for large institutions. Today, these opportunities are available to a much broader audience, enabling participation at fractional costs.

This trend also supports the rise of cross-border investments.?

"People in Asia are now very much aware of products and opportunities in the US, and vice versa," Prasanna observed, highlighting how increased knowledge and global connectivity are driving a more integrated investment landscape.

Despite this optimism, Prasanna cautioned that innovation must be tempered with proper safeguards.?

"Risk management is critical. Selling products is easy, but ensuring client suitability is essential to avoid setbacks that could harm both providers and investors."

Read the full article here: https://www.lighthouse-canton.com/insights/outlook-2025-new-age-financial-firms-all-set-to-challenge-traditional-private-banks