Transforming tradition

That’s exactly what one firm achieved with its digital lending platform. Working with Sapient, the firm completely redesigned the loan application experience to introduce securities-based loans to a wider audience.

Its digital lending platform offers an entirely new way to collateralize loans, allowing independent financial advisors to offer securities-based loans (SBLs) to their clients. End users can apply and pledge their brokerage portfolio as collateral quickly – all through electronic channels. The platform creates:

  • A frictionless process, with loans approved within 30 minutes and funds available the following day
  • An extended footprint beyond traditional private wealth management via an empowered network of independent advisors
  • An easy route to market for third party advisors, registered investment advisors and asset custodians wishing to offer SBLs

Effortless, reliable processing

All too often, loan application processes are complex and time-consuming. Applicants have to wrestle with a mixture of hard copy and electronic documents, handwritten signatures and lengthy approval times.

Digital technologies enabled the firm to automate the entire process and make it completely web-based. All aspects are now effortlessly integrated from bank account verification and multiple KYC checks to straight through processing of the loan and delivery of the funds. The service is also digitally secure thanks to a combination of e-signatures and multiple electronic clearing systems.

Results are available in minutes rather than days. But not only that, the firm can also free up resources it would have spent on lengthy processes and use them to deliver even greater value to its clients.

New models, wider reach

Although SBLs have been around for some time, typically they’ve only been available through traditional banking relationships. This firm has changed all that. Without the physical branches of a retail bank, reaching a wider market cost-effectively meant harnessing the full power of its digital transformation.

The online approach enables it to forge connections with a growing army of third party financial advisors. They liaise with and manage the clients and do the underwriting while the investment manager provides the actual loan. It’s an efficient relationship that allows the firm to avoid having to build its own internal resource of advisors. The advisors, meanwhile, get a ready-to-market product without having to develop the application and approval processes.

By working with Sapient, the firm has access to the digital expertise and global capabilities needed to bring its lending offering to market. It also has a flexible and cost-effective foundation on which to develop additional products and continue to grow its client base.

Contact us today to discuss how we can help your organization transform.