Stiftung Warentest has suggested that Germany's banks advise their customers “terribly badly” on investments. In one test only three out of 21 banks achieved the grade “satisfactory”, while six achieved “unsatisfactory”. This year the results are said to be “more disastrous” than in 2009, according to Stiftung Warentest. The conclusion: the banks have evidently learned nothing.

Ulrich Dietz, Chairman of the Board of GFT Technologies AG, comments:


The repeat of poor results from Stiftung Warentest show that there is need for urgent action to improve the quality of consulting by banks. However, it should not be overlooked that it is no easy task to ensure constant high quality of consultation in all areas of such an immense organisation. This task would be impossible without the intelligent use of IT.

The faults exposed by Stiftung Warentest are hardly excusable. Ultimately this is an important matter for the consumer: their investment. This applies all the more as the main accusation concerns the handling consulting protocols, which is in fact subject to legal regulation.

In a consulting meeting the people on both sides are in many cases interested primarily in a personal exchange relating to potential financial investment and perhaps see the consulting protocol as simply a bureaucratic obligation.

So merely relying on each advisor’s sense of responsibility would seem to be a risk from the bank's point of view. Ultimately it concerns liability risks. Remedies are to be found in the implementation of information technology. IT solutions, i.e. refined, compatible combinations of software and hardware, offer the possibility of creating a framework for consulting meetings which are fully compliant with the requirements and quality concepts of the bank. The IT system forces the advisors to enquire about the customer's risk preference and submit the consultation protocol.

It also provides each customer with a choice of suitable financial products. In this way the banks do justice to a trend which is increasingly being discussed under the term “Suitability”. This is exactly why banks must provide central guidance for consultation talks. Without IT this will not be possible. The banks now acknowledge this and intend to make the necessary investments