A Major Paradigm Shift is Emerging in Financial Products Distribution: kasina and FRC

The traditional external wholesaler and internal wholesaler roles will reverse.
Internal wholesalers will become product and program experts; external wholesalers will now support them.

BOSTON/NEW YORK CITY, January 17, 2002 – The
skill sets, expertise, and professional polish of internal wholesalers will need to grow
as fund groups begin to rely heavily on more effective e-wholesaling strategies. Where
once the internal wholesaler’s activity was defined by taking on what the external
wholesalers could not do, we are now approaching a reversal. Going forward, external
wholesalers will accomplish that which can not be done by an internal wholesaler.

However, external wholesalers will remain an
integral part of the sales cycle. Using a combination of high-tech and high-touch, fund
groups will position cost effective e-enabled internal wholesalers as product and program
experts, relieving external wholesalers of much of this responsibility. E-wholesaling
technology is facilitating the emergence of new relationship models. E-enabled internal
wholesalers can now absorb much more of the product expert burden, freeing external
wholesalers to focus on building higher value long-term relationships, covering more
channels, and targeting those advisors that represent the greatest sales potential.

This is one of the key findings from the
recently published research study by FRC and kasina, entitled “E-Wholesaling: The
Distribution Solution.” This study brings together two of the industry’s leading
research and consulting firms. FRC is an established expert in the area of financial
product distribution strategy and kasina is the leader in e-business strategy solutions
for financial services companies.

This groundbreaking research examines the ways
in which e-business is enhancing the relationship between financial product providers and
financial intermediaries. This first-of-its-kind study lays the foundational support to
help e-business, marketing, sales, and client service groups work together to build the
most effective asset gathering and retention strategies for their organizations.

This study includes:

  • Findings from interviews with senior sales,
    marketing, and e-business executives regarding the design and future of e-wholesaling

  • Guidelines to assist groups with the
    development of an e-wholesaling strategy

  • An analysis of the technologies that enable e-wholesaling

  • A review of the ways e-wholesaling
    strategies are shaping distribution today

  • Insight into how e-wholesaling will reshape
    the way investment product distributors organize their sales and marketing efforts

Editors Note: Please refer to E-Wholesaling:
The Distribution Solution as a joint research study between FRC and kasina.


Financial Research Corporation is a financial services research and consulting firm based
in Boston, specializing in competitive intelligence and analytical services to assist strategic planners and
marketing professionals develop and implement innovative financial products and services. An overview of
FRC’s services is available at www.frcnet.com.


kasina is a management consulting firm providing strategic solutions to financial services
companies. kasina specializes in developing, optimizing, and salvaging e-business initiatives. An overview
of kasina’s services is available at