Apple’s New Credit Card Keeps Advisors Guessing
The Apple credit card is the latest offering by a Silicon Valley tech giant looking for a ready-made avenue into the financial services’ sector. While the new card mostly benefits loyal users of Apple products, it’s also an unwelcome reminder of an ever present question on the minds of wealth managers: Will the FAANG companies like Facebook, Amazon, Apple, Netflix and Alphabet continue their land grab of services historically provided by the financial services industry — and at what cost to traditional RIAs?
Anonymously, a majority of investors considering switching financial services providers said they would consider banking with a tech company like Facebook, Google or Amazon if they could, according to a recent survey by Novantis. Indeed, for CEO of Carson Wealth Management Ron Carson, the question is not if tech giants will become a force in wealth management — but what could possibly stop them.
“We view Amazon as the competition,” Carson says. “Whenever they decide to get directly into our business, we have to be prepared. They haven’t yet because there is just so much low-hanging fruit. But, they are coming.”