Wavest

Wavest: Deep Dive Analysis for Institutional RIAs

Wavest presents itself as a dedicated client engagement platform, specifically a client portal solution. In the crowded wealthtech landscape, such platforms are becoming table stakes, but differentiation lies in execution: integration depth, security posture, and advisor workload. For Golden Door Asset's partners managing substantial AUM, the crucial question is: does Wavest materially improve operational efficiency and client retention, or does it add another layer of complexity?

Core Capabilities and Operational Leverage

Wavest’s primary value proposition revolves around consolidating client communication and document management into a branded portal. This aims to reduce reliance on insecure email and fragmented file-sharing solutions. Key functionalities include:

• Secure Document Sharing: This is non-negotiable. Wavest must offer robust encryption both in transit and at rest, ideally employing zero-knowledge encryption principles. Compliance with SEC and FINRA guidelines is paramount. Golden Door Asset's due diligence team would rigorously test its encryption, access controls, and audit trails.
• Branded Client Experience: The ability to customize the portal with firm branding is critical for reinforcing brand identity and fostering client trust. However, the devil is in the details. The customization options must be extensive enough to maintain brand consistency without requiring excessive manual configuration. We'll analyze the degree of white-labeling possible, including URL, color schemes, logos, and potentially even custom CSS integration.
• Performance Reporting: This is where Wavest can potentially generate significant operational leverage. Automation in generating and delivering performance reports reduces advisor workload and ensures consistent communication. The key is the quality of data integration. The reporting engine needs to seamlessly pull data from custodians (e.g., Schwab, Fidelity, Pershing), portfolio accounting systems (e.g., Advent, Black Diamond), and potentially even alternative investment platforms.
• Financial Plan Access: Providing clients with easy access to their financial plans (created in planning software like eMoney or RightCapital) reinforces the advisor's value and promotes plan adherence. The critical factor here is the API integration with financial planning software. Manual uploading of plans defeats the purpose and introduces errors.
• Client Communication Tools: Built-in messaging or communication logs can centralize client interactions and improve record-keeping. However, Wavest needs to ensure that this tool integrates with existing communication workflows – ideally integrating with existing CRM systems. If not integrated properly, the tool will likely add to administrative burden instead of removing it.

Wavest’s primary strength lies in its potential to streamline client interactions and enhance the client experience. The ability to securely share documents, provide performance reports, and offer access to financial plans through a branded portal can improve client satisfaction and retention. Furthermore, it provides RIAs with a centralized location to track client communication.

Integration & Data Flow Analysis

Wavest's success hinges on its ability to integrate seamlessly with existing systems. A standalone client portal that requires manual data entry is a non-starter. Here's a breakdown of crucial integration points:

• Custodial Data Feeds: Direct custodial data feeds are essential for accurate and timely performance reporting. Wavest must support direct APIs with major custodians like Schwab, Fidelity, and Pershing, avoiding reliance on screen scraping or manual uploads. This will be a key evaluation point.
• Portfolio Accounting Systems: Integration with portfolio accounting systems like Advent Axys/APX or Black Diamond is necessary to ensure that performance data is accurate and reconciled.
• Financial Planning Software: Wavest must offer seamless API integrations with leading financial planning software platforms (e.g., eMoney Advisor, RightCapital, MoneyGuidePro). This will prevent advisors from wasting time manually inputting client data into multiple locations.
• CRM Systems: Integration with CRM systems (e.g., Salesforce, Redtail) allows advisors to track client interactions and manage client relationships more effectively. This integration point is essential for streamlining client communication and maintaining a unified view of client activity.

Data Flow Considerations: Data flow must be bi-directional where possible. For example, updates to contact information in Wavest should ideally sync back to the CRM. Similarly, document requests initiated in Wavest should trigger workflows in the CRM. A lack of bi-directional integration creates data silos and increases administrative overhead.

The Verdict: Ideal Use Cases and Avoidance Criteria

Wavest is best suited for RIAs that:

• Prioritize client communication and experience: Firms that actively seek to differentiate themselves based on client service and engagement will find Wavest valuable.
• Have a well-defined tech stack: Wavest works best when it can be integrated seamlessly with existing systems. Firms with poorly integrated or outdated technology infrastructure will struggle to realize the full benefits of the platform.
• Have a centralized client service model: Teams that operate with a consistent client service process and messaging will be able to leverage Wavest's branding and communication features effectively.
• Are looking to reduce reliance on email: If insecure email is a major operational headache, Wavest offers a viable alternative for secure document sharing and communication.

Avoid Wavest if:

• Your firm relies heavily on manual processes: Wavest requires advisor input, and manual data uploads will negate many of the platform's benefits.
• Your existing tech stack is already overloaded: Adding another software platform without careful integration planning can worsen operational inefficiencies.
• You are primarily focused on cost cutting: While Wavest can potentially improve efficiency, the per-user/month pricing model may not be justifiable if the platform is not fully utilized. The initial integration work will also require careful planning and manpower costs that will need to be considered.
• You require deep customization: While it offers branding capabilities, Wavest may not be suitable for firms that require highly customized client portals.

Golden Door Asset recommends a pilot program with Wavest, involving a small group of advisors and clients, to thoroughly evaluate its integration capabilities and impact on operational efficiency before a full-scale deployment. This will provide empirical data to justify the investment and ensure that Wavest aligns with the firm's long-term technology strategy.