The hidden costs of tech stack fragmentation

As a financial adviser, you’re facing more pressure than ever. Rising client expectations, growing regulatory complexity and a competitive landscape driven by digital-first challengers all require firms to work smarter. 

For many advice firms, technology offers both a lifeline and a limiting factor. The right tools unlock efficiency, insight and growth. But when those tools don’t work together, they create a new set of issues. In an era where clients demand more and compliance is under a microscope, the hidden drag of disconnected systems is quietly undermining productivity, profit and peace of mind.

The real cost of disconnected systems

When systems don’t talk to each other, inefficiency becomes embedded in daily operations. Advisers and paraplanners often spend hours each week switching platforms, rekeying client data, reconciling reports or chasing inconsistencies. That time comes at the cost of productivity and ultimately reduced client-facing capacity.

Beyond the obvious expenses of multiple licenses and subscriptions, fragmentation requires firms to train staff on multiple platforms, maintain separate vendor relationships and absorb the cost of incomplete or unreliable integrations. 

There is a less visible toll: staff morale and retention. When technology feels like a barrier instead of an enabler, frustration and turnover accelerate. 

Compliance gaps and client confusion 

Fragmented systems make it harder to meet the compliance expectations of the current regulatory environment, especially under Consumer Duty. Inconsistent growth rate assumptions, varying risk metrics and duplicated client records can lead to discrepancies that undermine evidencing suitability.

Firms report spending upwards of 15–20 hours*    per month just reconciling data across tools to prepare compliant reports. That’s time that could otherwise be spent adding value for clients or identifying new growth opportunities. And when projections don’t align between cashflow tools and investment platforms, client confidence erodes. 

Unlocking efficiency with Nexus for Financial Advisers 

To address these challenges, FE fundinfo developed Nexus for Financial Advisers, a fully integrated ecosystem that connects core planning and research capabilities into one seamless experience.

By bringing together the award-winning capabilities of FE Analytics and FE CashCalc, Nexus helps firms eliminate friction in their workflows and deliver consistently high-quality advice.

Here’s how Nexus supports today’s wealth managers:

Streamlined workflows: With single sign-on and no need to duplicate client data, advisers move fluidly between planning, research and review without breaking their stride.

Enhanced client outcomes: Cashflow plans and investment strategies are fully aligned, ensuring tailored and consistent client communications.
Improved team efficiency: Whether you’re a sole practitioner or managing a team of paraplanners and advisers, the shared ecosystem reduces bottlenecks and improves collaboration.

Future-Proofed advice: Nexus supports firms with both historical market data and forward-looking projections, providing the tools to serve today’s clients and tomorrow’s.

Built-in compliance support: Nexus reduces manual work and maintains data consistency across the entire advice journey, helping firms confidently evidence suitability and maintain Consumer Duty standards.

The cost of doing nothing 

Some firms hesitate to embrace integration due to embedded legacy systems and the fear of disruption. Unfortunately, doing nothing carries its own cost, with two-thirds of firms spending more than 10% of their annual costs on inefficient technology and processes.

Fragmented systems slow down your team, limit scalability and expose your firm to risk. When growth is on the line, most teams simply can’t afford to keep fragmentation as the status quo.

Nexus for IFA’s offers a modern alternative: a unified environment that operates seamlessly from client onboarding to retirement modelling and investment research. A unified approach brings every step of the advice journey under one roof without sacrificing flexibility or control.

Seamless advice starts with Nexus for IFA’s

Tech stack fragmentation may seem like a necessary compromise in a busy firm, but over time, the operational and reputational risks compound.

With Nexus for Financial Advisers, firms can reclaim lost time, deliver a seamless client experience and support their teams with tools that work together.

The result? Less admin, more impact and a stronger foundation for scale.

References:

Zaki, A. Published on 23 April 2025. 50% of finance teams still take over a week to close the books. Available at: https://www.cfo.com/news/50-of-finance-take-week-to-close-books-ledge-month-end-close-time-cfo-three-day-close-myth-/746085/