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PNREIXOTR GI TEYN 1D: I BS uTi Rl dI Bf oUrT AI Og iNl i t Ey N—Aa nBdL ES cMa lEeN TOUTLOOK 2022CORE FINDING:Distribution enablementinvestments will continue, andleaders are bullish about thefuture28%I don't know2%Future Spend inDistributionEnablementLooking forward, we identified Next Gen Distribution Enablementpriorities for investment to better align with customer needs andexpectations as well as leverage technology investments toadvance digital transformation, enablement and growth goals.Decrease7%Increase69%Stay the sameFor the most part, firms increased or maintained distributionenablement budgets from 2020 to 2021. Smaller firms increasedtheir investments more than their larger counterparts, howeverwith more variability, offset by some citing decreases. On the flipside, most medium and large firms maintained 2020 levels orincreased their budgets.All firms appear optimistic about increases in enablementbudgets, in order to close the gaps that opened up as a result ofthe pandemic.of firms expect to increaseenablement budgets bymore than 10%IncreaseDecreaseFuture Spend byFirm Size 100B0%0% 100- 250B0% 250BStay the sameI don't know94%6%8%8%8%38%33%54%50%Copyright 2021. All Rights Reserved.11

NEXT GEN DISTRIBUTION ENABLEMENTBuild for Agility—and Scale1.Next Gen Distribution Enablementdemands agile innovation andexecution at scale to adapt tocontinuing changes in customerbehavior and to deliver requiredimprovements in productivity. This willrequire tighter alignment across theorganization, the right measures andmetrics, and a greater return ontechnology and data investments.2.OUTLOOK 2022Design for theCustomer—and theDigital First—and Data-DrivenCustomer ExperienceThe pandemic has been a catalyst foroperating model innovation and exposedgaps in traditional “feet on the street”distribution. Client needs continue to evolve.Firms must become even more customercentric. It will require deeper client insights,enabled with personalized and relevantcontent and messaging (for advisors and endclients), all aligned to the buyer’s journeybased on those insights.3.Leaders will continue to invest in datadriven enablement programs anddigitally-enabled customer experiences.This includes the expanded utilization ofthird-party data sources, integrateddistribution enablement platforms acrossthe lifecycle, additional investment in AIand analytics, and an enhanced focus ondriving adoption of these capabilities bythe distribution teams.Copyright 2021. All Rights Reserved.12

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eCORE FINDING:Asset managers rated theircustomer experience lowest inthe intermediary channel.– agile teams must supportSurvey results show that less than 50% rate their customerexperience as “great.”With that, asset managers feel thegrowingcomplexity!SELF-REVIEW RESULTS:CustomerExperience RatingAccording to ail21%20%37%Great (1-2)46%68%Good (3)63%Lowest rating for“Great” customerexperiencePoor (4-5)intermediary channel poses the greatest CX challenge.This varies widely by size of firm, with smaller firms leading theway in delivering a great customer experience, while mid-sizefirms struggle with larger sales forces, but a lack of scale.SELF-REVIEW RESULTS:% That Rated TheirCustomerExperience as“Great” inIntermediaryChannel 100B 100-250B 250B65%42%23%Copyright 2021. All Rights Reserved.13

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c e# of Asset Management Firms EngagedCORE FINDING:On average, most advisors todaywork with 7 asset managers.28% expect to increase thatnumber in the next 2 years.Asset managers must leverage data and analytics to understandwhich advisors are expanding their relationships, which arereducing relationships, and how to gain wallet share and shelfspace in those advisors who are maintaining status quo.4938131 to 56 to 10 10Expected Change in Number of Firms EngagedUsing that insight will aid in developing data-driven sellingmotions around advisor acquisition, advisor retention andadvisor share growth. In addition, customer experience will be akey determinant of who gets added, who stays and who goes.Increase, 28%Stay the same,68%Decrease, 4%Copyright 2021. All Rights Reserved.14

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c ePreferred Communication Channels with Asset ManagersCORE FINDING:41%35% 33%In-Person communication all butdisappeared during the pandemic,and while it will come back, digitalis here to stay support growingcomplexity!“Channels don’t choose customers. Customers choose channels.”21%13%These personas should inform their engagement— moving themfrom “interruption-based” coverage to Pre-Pandemic— a phrase that rings true in our survey of Financial Advisors andhow they prefer to communicate with Asset Managers.As the results vary pre-, post- and during the pandemic, AssetManagers must segment their advisors and develop personas tobetter understand advisor’s engagement preferences, desiredcadence and to deliver the right customer experience.36%34% 35%15VideoDuring PandemicIn-PersonPost-PandemicPreferred Communication Frequency with Asset %In-PersonNeverCopyright 2021. All Rights Reserved.15

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eTop 3 Advisor Insights Challenges Across All FirmsCORE FINDING:However, the lack of well-definedsegments and limited use ofanalytics top the list of advisorinsight challengesteamsmustsupportgrowingThe lack of well-defined segments and personas remains aconsistent challenge regardless of firm size.complexity!Larger firms seem to benefit from scale in their use of predictiveanalytics and AI, where it is not a top three issue.That said, changing seller behavior in using advisor insights is apersistent challenge. This will require improved enablement todrive adoption.Lack of well-defined segments andpersonas52%Limited use of predictive analytics and AIto target sales engagementsMapping and monitoring the advisorjourney50%43%Top Ranked Advisor Insights Challenge by Firm Size29%Influencing seller behavior through thedelivery of advisor insights 100 250B31%Lack of well-defined segments andpersonas 250B25%Influencing seller behavior through thedelivery of advisor insights 100B16Copyright 2021. All Rights Reserved.16

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eTop 3 Advisor Insights Challenges Across All FirmsCORE FINDING:Significant gaps between importance and qualityof asset manager supportgrowingcomplexity!Ourrecent financialadvisor survey found that client-Facing content and educational content were two of the biggest gaps in terms of supportreceived from asset managers. Next Gen Distribution Enablement will require greater customer-centricity to understand how advisor needs arechanging, where the gaps are, and how to develop the content, messaging and engagement model to close those gaps.FA Importance vs. Quality of Support Received From Asset Managers70%60%50%40%30%20%10%0%-10%-20%58% tfolioconstructionsupport andresources29%Investmentcommentary/ideasMetrics andreportingMarketingresources-10%-16%Education content Back-office ght 2021. All Rights Reserved.17

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eCORE FINDING:Understanding and aligning toadvisor wants and needs is seenas critical for seller effectivenessWhile a clear majority of firms realize the importance of advisorinsights on sales performance, only one-quarter (26%) feel theycurrently excel at sourcing and delivering that insight to theirsales channels.62% of firms plan to increase focus on advisor insights in thenext year, with 38% saying they plan to strongly increase theirfocus. At a time when COVID has forever changed how advisorswant to engage with asset managers, equipping sellers withthose insights is more important than ever.“74%52%62%[We will be] continuing to build out ouradvisor data set and AI efforts ontriggers and alerts to get relevant data infront of sales people ASAP.- VP, Strategyof firms think advisor insights are “extremely”or “very important” to a successfulDistribution Enablement program.However Over half of the firms today are performing at orbelow average in equipping sellers with relevantinsights to engage their advisors.Next year Over 60% of companies plan to increase their focuson advisor insights over the next 12 months.“We will continue to build our customer 360framework to master our customer data andobserve and respond to customerengagement throughout the journey.- Head of Distribution EnablementCopyright 2021. All Rights Reserved.18

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eFirms that Perceive Content Development as a CriticalComponent of Distribution Enablement PerformanceCORE FINDING:Firms face challenges creating theright content to arm sellers atdifferent stages of the advisorjourneySellers need the right content at the right time to effectivelycommunicate firm and investment value and fit.40% of firms indicated that the inability to create and tailorrelevant content throughout the advisor journey was one oftheir top three advisor insight challenges.“83%0%20%40%Current PerformanceFirms currentlyperforming ator belowaverage oncontentdevelopment48%60%80%Planned Focus Next 12 MonthsFirms planningto place agreater focuson contentdevelopmentnext year57%We are building out content marketing team and product specialist team internally, as well asoutsourcing some investment writing, to build muscles in content development area, to show upwith timely insights that can help advisors make better investment decisions.- Head of Distribution EnablementCopyright 2021. All Rights Reserved.19

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c eClient-Facing Content59%CORE FINDING:Financial Advisors identified aneed for improved Client-FacingContent and Educational ContentImportance46%Qualityof FAs rated the Qualityas Very High or High-13%There is a clear need for Asset Managers to provide greatersupport in these two areas moving forward, especially withwirehouses and bank/insurance platforms.Offering more online "events" for clients, educational events,and user-friendly technology will be most important!- IBD AdvisorI would prefer to have marketing, client-facing and educationalcontent be the largest components.- Bank/Insurance““39%of FAs rated this asExtremely/Very Importantof FAs rated this asExtremely/Very ImportantBoth client-facing content and educational content wereidentified by financial advisors as important, but they had thehighest gaps in terms of the quality of the content beingdelivered.““Educational Content23%of FAs rated the Qualityas Very High or HighGap-16%More content that helps with client education.- Wirehouse AdvisorWould love additional training in effective clientcommunication; joint client events.- RIACopyright 2021. All Rights Reserved.20

L eE rMPNREIXOTR GI TEYN 2D: I DS eTsRi gI Bn Uf oTrI Ot hNe EC uNsAt oBm—Ea Nn dTt Oh Ue TCL uOsOt Ko m2 e0 r2 2E x p e r i e n c e“Top 3 Advisor“[WeInsightsAll Firmswill]Challengescontinue toAcrosssegmentourCORE FINDING:clients and prospects to provide specificmessaging.- Director of Business IntelligenceEnabling sellers to effectively position valuerequires custom messaging that is relevantgrowingcomplexity!Reachingand connectingwith advisors and prospects has become harder than ever. The requirement to deliver just the right message based on abuyer’s personalized needs can be a task that many distribution enablement teams have had considerable difficulty with.Moving forward, messaging must vary based on specific personas and be implemented in a scalable way to create competitive advantage in seller’sengagement.60%But Firms that believe custommessaging is “extremely” or “veryimportant” to Enablement success.67%Over half of firms are performing at orbelow average on speaking directly toa customer’s unique needs.and57%The majority see an increasing focuson Custom Messaging over the next12 months.Copyright 2021. All Rights Reserved.21

NEXT GEN DISTRIBUTION ENABLEMENTBuild for Agility—and Scale1.Next Gen Distribution Enablementdemands agile innovation andexecution at scale to adapt tocontinuing changes in customerbehavior and to deliver requiredimprovements in productivity. This willrequire tighter alignment across theorganization, the right measures andmetrics, and a greater return ontechnology and data investments.OUTLOOK 20223.Digital First—andData-DrivenDesign for the Customer—and theCustomer Experience2.The pandemic has been a catalyst foroperating model innovation and exposedgaps in traditional “feet on the street”distribution. Client needs continue toLeadersevolve. Firms must become evenmore will continue to invest in data-drivencustomer-centric. It will requiredeeperenablementprograms and digitally-enabledclient insights, enabled with personalizedcustomer experiences. This includes theand relevant content and messaging(for utilization of third-party dataexpandedadvisors and end clients), all aligned tosources, integrated distribution enablementthe buyers journey based on thoseplatforms across the lifecycle, additionalinsightsinvestment in AI and analytics, and anenhanced focus on driving adoption of thesecapabilities by the distribution teams.Copyright 2021. All Rights Reserved.22

PNREIXOTR GI TEYN 3D: I DS iTg Ri tIaBl UF Ti rIsOt –Na nEdNDAaBt aL -EDMr i Ev Ne nTOUTLOOK 2022Top 3 Advisor Insights Challenges Across All FirmsCORE FINDING:90% of firms see tools and technology, and data and measurement ascritical to successful distribution enablement. overwhelmingly view tools and technology, and data and measurement as critical to successful distribution enablement as they look toFirmsdigitally-enable more go-to-market processes and to develop and deploy data-driven enablement programs.growingcomplexity!But most are still challenged to execute at the appropriate level despite significant investment and the recognized importance of these capabilities.90%of firms believe tools andtechnology and data andmeasurement are critical todistribution enablement success.But 52%say they are performing at orbelow average with theirtools and technology.and 43%say they are performing at orbelow average in their use ofdata and measurement.Copyright 2021. All Rights Reserved.23

PNREIXOTR GI TEYN 3D: I DS iTg Ri tIaBl UF Ti rIsOt –Na nEdNDAaBt aL -EDMr i Ev Ne nTOUTLOOK 2022CORE FINDING:Disconnected technologyplatforms are still a majorchallenge for many firmsTop 3 Biggest Tools and Technology ChallengesDisconnected tools and technologiesacross marketing, sales and serviceLack of skills needed to supportdistribution technologyFinally, existing tools and technologies are not providing neededleverage—making the business case for additional investmentmuch more challenging.55%Effectively leveraging the tools andtechnology we already have43%Underinvestment in technology tosupport distribution43%60% of firms say disconnected technologies is a top threechallenge. And the larger the firm, the bigger the challenge.A lack of technology skills—particularly for smaller firms—wherecompetition for talent and lack of scale is an issue.60%TieRank Top 3Top Tools and Technology Challenges By Firm Size 100B 100B 250B 250B59%Lack of skills needed to supportdistribution technology62%Underinvestment in technology tosupport distribution77%Disconnected tools and technologiesacross marketing, sales and serviceCopyright 2021. All Rights Reserved.24

PNREIXOTR GI TEYN 3D: I DS iTg Ri tIaBl UF Ti rIsOt –Na nEdNDAaBt aL -EDMr i Ev Ne nT69%OUTLOOK 2022CORE FINDING:Leaders are increasing focus onand investment into technologyand working to create anintegrated platformExpect to see a significant increase in investment and focus ontechnology and data moving forward. Both are critical toenabling greater digital engagement and delivering a superiorclient experience.Hybrid selling will change the sales coverage model, requiringgreater emphasis on analytics and “AI-augmentation” of thesales process.Content management tools will help map content to personasand buyer journey stage, with delivery to the seller at the righttime.Of firms are increasing focus next year,into tools and technology, the secondlargest focus area after data andmeasurementIncreased Tools and Technology Focus by Firm Size 100B71%““ 100- 250B 250B62%75%Better data—move to moredigital engagement, andsmarter selling.- Head of Distribution Enablement“Integrated DistributionEnablement platform—CRM,Marketing Automation, Seismicand analytics.Implementingmarketing automationtool; new third-partydata sets; revampingcertain features of CRMincluding customdashboards.- Head of Distribution Enablement- Head of Distribution EnablementCopyright 2021. All Rights Reserved.25

PNREIXOTR GI TEYN 3D: I DS iTg Ri tIaBl UF Ti rIsOt –Na nEdNDAaBt aL -EDMr i Ev Ne nTOUTLOOK 2022CORE FINDING:A lack of third-party data toenhance firm and advisor profilesis a top issueEffective use of data to build 360 client profiles, to identifytimely advisor insights, and to support predictive analytics is amajor impediment to building effective data-driven enablement.The transactional nature of asset management, and correlatingseller activity with sales results, makes it difficult for firms tooptimize their coverage.Managing constantly changing advisor team data and team rolesfurther contributes to coverage optimization challenges.Top 3 Data and Measurement ChallengesLack of third-party data to enhancefirm/advisor profilesAligning sales results with seller activityUnderstanding and managing advisorteams a

OUTLOOK 2022 Distribution enablement is a multi-function collaboration – to . Asset management firms are challenged with driving scale at a time with tremendous change and focusing on enablement of tea