Wealth management is no longer the exclusive domain of the ultra-wealthy; financial services are being transformed by technology into something far more democratic and inclusive. The rise of neo-banks and neo-brokers is disrupting the traditional financial services model. These agile players are breaking down long-standing barriers by offering always-on, mobile-first solutions that are accessible, intuitive, and designed for everyone. But simply being digital isn’t enough.

At this year’s FIBE Berlin, we had the opportunity to explore a powerful question: What does true financial inclusion look like in the digital age? Spoiler alert – it goes far beyond just launching an app. Behind the sleek interfaces and clever apps lies a deeper story, one where success hinges on getting four key ingredients right (while going digital).

Incumbents vs. Disruptors: A Tale of Two Strategies

Established financial institutions and agile newcomers are approaching this evolution from different angles. Incumbents tend to play defence, gradually adopting new technologies while maintaining familiar structures. Disruptors, meanwhile, are customer-journey obsessed, driven by a “convert and develop” approach that places customer outcomes above traditional focus on products. This allows for bolder experimentation and quicker adaptation—essential traits in a rapidly changing market.

Why Neo-Banks Are Winning (Where the 90s Failed)

Neo-banks and neo-brokers have outpaced the success of early online banks from the late 1990s, driven by a combination of technological advancements, shifting consumer expectations, efficient and adaptive business models, enhanced client experiences, and supportive regulatory environments. Unlike their predecessors, which struggled with limited infrastructure and consumer scepticism, modern fintech platforms leverage cloud computing and real-time transactions to offer scalable, always-available services. These digital-native institutions operate without the burden of costly branch networks, relying on automation to maintain low-cost, often freemium, models while providing premium services for those who opt in. Today’s consumers, accustomed to mobile-first interactions, demand 24/7 access and seamless digital experiences—an expectation that neo-banks readily meet. Client experience has also become a central focus, with intuitive designs, gamification, and financial education making platforms more engaging and easier to navigate. Moreover, regulatory frameworks such as PSD2 and Open Banking now foster fintech innovation, providing a secure, compliant environment for these digital players to thrive.

The New Playbook for Wealth Management

The evolving wealth management landscape is embracing a new approach: treating wealth as a lifelong journey, one that evolves through accumulation, decumulation, and everything in between. This requires flexible portfolios that can incorporate everything from traditional to digital assets and even integrate sustainability goals, enabling firms to meet complex client needs associated with longevity and intergenerational wealth transfer, leveraging cloud, AI and cognitive technologies to offer intelligent advice that’s compliant, accessible, and scalable.

But no one gets there alone. For both incumbents and disruptors, the right partnerships – with tech-savvy, regulation-aware innovators – can accelerate transformation, providing the expertise and infrastructure to align cutting-edge technology with strategic business goals and customer needs, enabling banks to master the four key ingredients of technology, trust, compliance, and scalability, and deliver not just access but true empowerment, for everyone.