Improving Client Onboarding in Wealth Management

Clients, especially those with the means to seek wealth management services, expect to be catered to with a seamless, high-touch experience that prioritizes convenience, speed, and of course privacy.

Unfortunately, traditional onboarding processes are not exactly frictionless. They often involve printing, filling out forms, signing, scanning, and emailing—steps that are not only time-consuming but also prone to errors.

Imagine asking the CEO of a Fortune 500 company to trust your firm with their considerable wealth, but before you can even get started, they need to pause their packed schedule, add an initial to page 4 they missed, and then re-scan and email the entire document back to you.

You’re not exactly broadcasting your firm as a beacon of modern wealth management.

In the next section, we’ll explore why digital onboarding is crucial, the key benefits it brings to both clients and firms and how you can implement it effectively.

Why Digital Client Onboarding is Essential

In the wealth management world, client onboarding is a critical touchpoint—and it’s where digital solutions shine. With features like prefillable forms, conditional logic, and e-signatures, digital onboarding enables wealth managers to offer clients a faster, more secure, and personalized experience.

Wealthy clients expect a seamless onboarding process that aligns with their high expectations and your firm’s capacity to manage their complex needs. With over 90% of potential clients abandoning the onboarding process before ever starting an account, digital solutions have become essential for keeping clients engaged and satisfied.

But it’s not just about speed, wealth management is highly regulated. KYC (Know Your Customer) and AML (Anti-Money Laundering) regulations require rigorous checks, making manual processes vulnerable to errors. By automating onboarding, wealth managers can streamline client verification, ensure compliance, and maintain secure, audit-ready records—all while minimizing the risk of human error.

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Shifting to digital eliminates outdated manual processes, reduces reliance on middlemen, and enhances data accuracy, building both trust and efficiency with clients.

Before we move forward, here’s a quick recap of the 4 key benefits of automating the onboarding experience

Cost Reduction – Cuts costs by automating manual tasks, freeing up resources for other priorities.

Enhanced Efficiency – Reduces manual paperwork and speeds up onboarding.

Improved Client Experience – Provides flexibility and a personalized, error-free experience.

Data Security and Compliance – Ensures secure handling of data and compliance with regulations.

How to Take Client Onboarding Digital

Choose the Right Tools

The first step in adopting digital client onboarding is selecting the right software. Look for solutions that offer integration capabilities with CRM systems like Salesforce, as well as advanced form-building features that automate and streamline data collection. Platforms like FormAssembly allow firms to create secure, branded forms that automatically sync with client data, eliminating the need for manual updates.

When selecting a solution, make sure it aligns with your firm’s regulatory compliance needs, especially regarding data security and privacy.

Customization for Client Needs

Digital tools can be customized to cater to different types of clients. For instance, if a wealth manager is onboarding a high-net-worth individual, they may require additional documentation or specific services that differ from standard clients. By tailoring the forms and processes for each client, wealth managers can ensure a personalized experience while meeting all compliance requirements.

Step-by-Step Implementation Plan

To successfully implement digital onboarding, follow these 6 steps:

1. Assessment – Evaluate your current onboarding process and identify pain points or bottlenecks.

2. Tool Selection – Choose the digital onboarding solution that fits your needs (look for scalability, integration options, and security features).

3. Integration – Work with your tech team to integrate the solution with your existing CRM and other systems.

4. Employee Training – Ensure that your team understands how to use the new platform, from document collection to client communication. Set up an implementation plan with your account manager and make sure your new tool includes a knowledge hub or resource center along with video documentation.

5. A/B Testing – To compare the effectiveness of your new digital onboarding process with traditional methods, conduct A/B testing. Randomly assign clients to either the old or new process and measure key metrics like time to onboard, error rates, and satisfaction levels in post-onboarding surveys.

6. Launch and Monitor – Once your new onboarding process is set up, roll it out to incoming clients. Ensure your platform provides analytics to track submission rates and includes e-signature and payment integrations, so all onboarding tasks can be completed seamlessly in one place.

By using these strategies, you’ll continuously improve your onboarding process, making sure it’s both efficient and client-friendly while maintaining regulatory compliance.

Key Challenges in Digital Onboarding and How to Overcome Them

While digital onboarding brings undeniable benefits, it’s not without its challenges. Here’s a look at some of the most common obstacles wealth management firms face—and how to tackle them head-on:

Integration with Existing Systems

One of the first hurdles when adopting digital onboarding is making sure the new solution works smoothly with your existing systems. To avoid disruptions, select a platform with strong integration capabilities, such as seamless API connections to your CRM or data management tools. Modern onboarding platforms are designed to integrate effortlessly, minimizing technical headaches and allowing for a smoother transition.

Security Concerns

Protecting sensitive client data is essential—especially for clients with significant wealth at stake. Wealth managers need to prioritize privacy by selecting an onboarding platform that offers encryption, multi-factor authentication, and compliance with standards like HIPAA, PCI DSS, and GDPR. As a data steward, it is incumbent on you to safeguard client data at every stage of the onboarding process.

Compliance Risks

Navigating the regulatory landscape can feel overwhelming, but digital onboarding can actually simplify compliance. Look for a platform that automates key compliance checks and maintains detailed audit logs. Ensure that the platform is regularly updated to stay in line with evolving regulations like KYC and AML. Work with legal experts to audit third-party platforms for compliance, so you can be confident your firm meets all requirements.

How to Know if Your Digital Onboarding Is Working

To see if your digital onboarding process is delivering the results you expect, focus on these Key Performance Indicators (KPIs):

Compliance Scores: Regularly check how well your digital onboarding process meets compliance requirements. Track audit logs, and make sure you’re consistently up-to-date with regulations. Digital tools can help you ensure your firm remains compliant with standards like KYC and AML.

Time to Onboard a Client: Track the reduction in the time onboarding takes from start to finish. A faster, smoother process means clients get started sooner, and your firm can work more efficiently.

Client Satisfaction: After implementing the new process, send out post-onboarding surveys to gather feedback. Are clients happier with the speed and ease of the new system? This is a direct reflection of the user experience and can help guide improvements.

Error Reduction: Compare the number of errors or missing data in client submissions before and after digitization. Digital onboarding typically minimizes mistakes, ensuring that the information you receive is accurate and complete.

Conclusion

If you’re asking clients to trust you with their wealth, you need to demonstrate that your firm is on the cutting edge, not stuck in the past. By embracing digital tools, wealth management firms can enhance efficiency, streamline compliance, and elevate the client experience. Digital onboarding lets you reduce administrative overhead while delivering a personalized, seamless process that clients expect.

Ready to modernize your onboarding process?

Schedule a demo of FormAssembly today and discover how it can help your firm improve efficiency, boost client satisfaction, stay compliant, and cut costs—all at once.

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