Ezra Group WealthTech Integration Scores™
The Ezra Group WealthTech Integration Scores™ are built on a 10-point scale which is designed to rate an application’s ability to integrate with other applications used by wealth managers, as well as popular custodians.
The scoring is based on three weighted criteria:
- Breadth – number of integrations, including both Key and non-key integrations
- Depth – how many integration points are supported? How many are SSO vs push/pull vs bi-directions? Miscellaneous – Security certifications, presence and functionality of APIs, authentication protocols, developer support including developer portal, quality of documentation, sandbox, etc.
Each integration is qualified based on the following scoring criteria and plays a significant part in the overall weighting.
|1||Single Sign On – After having signed on to the application being scored, it is possible to sign on to the other application with a single “click”. The login information is transferred from the scored app to the integrated app without the need to provide additional credentials. However, the two applications do not share or transfer data. This is the most common “integration” (in part because it is easy to implement).|
|2||Ability to perform one or more functions from either of the applications while “inside” the other. Typically allows for creation/viewing of reports or iframe. Data is not transferred between the two.|
|3||Transfer of (some) data from either Integrator to Integratee or vice versa. The assumption is that the Integrator will have determined which direction the data should move based upon the respective categories of the Integrator and Integratee. For example, since CRMs often are the first app where prospect contact information is entered, it is useful for this information to flow out of the CRM into other applications like Financial Planning, Digital Marketing, Office, etc. Similarly, the Score generated by Risk Tolerance applications should flow out and into CRM, Financial Planning, etc.|
|4||Transfer of (some) data both to and from Integrator and Integratee (aka bidirectional sync).|
|5||Highest level of integration; what precisely this is may differ from category to category.|
There are three weighted criteria that make up the Ezra Group WealthTech Integration Score™:
- Breadth measures the raw number of integrations versus others in the category and is worth 15% of the total score. This is the only category where the scoring is relative. The application with the most integrations in each category gets a perfect score of 1.5, and all other applications will be scored relative to this. how many integrations they have another application has 50 they would get a 50/100=1/2 score for that category, which counts for 15% of the total score.
- Depth measures the robustness of the integrations and is worth 60% of the total. We score the level of integration for each of the 30 applications and custodians we have determined are the most popular in US Wealth Management (we use three different surveys to triangulate). Each integration is scored on a scale of 0 to 5. Each category has its own set of popular applications that we think should be integrated as a ‘best practice’ (for example we don’t expect an application to integrate with its competitors in the same category). So if we imagine an application’s best practice is to integrate with 20 popular applications, if it were to do so at the highest level it would be scored as 20*5=100. We don’t expect any application will be integrated at a level of 5 with every other key application, so we normalize scores by assuming “par” is a score of 3 (unidirectional data transfer) on each. For example if we consider an application in the category mentioned above, which best practice dictates should be integrated with 20 other applications, and it didn’t integrate with 5 apps, had SSO integration with 3 apps, had the ability to pull up reports from 2 apps, was integrated uni-directionally with 3, integrated bi-directionally with 4 and was in a close partnership with 1 that gave it a score of 5, it would be scored as (5*0+3*1+2*2+3*3+4*4+5*1)=37/(3*20)= 0.61*6=3.7 (out of 6).
- Miscellaneous measures the level of support provided by the vendor (documentation, tools, sample code, etc.) as well as authorization and security protocols. This criteria counts for the final 25% of the total score. We ask what certifications the vendor has (i.e., SOC2, PEN tests, ISO 27001) and the specific authorization process and software they have implemented, along with questions about their developer support.
The Ezra Group WealthTech Integration Score™ is developed through a partnership with Kitces Financial AdvisorTech Directory. Vendor products and services are categorized through expert analysis, industry standards, as well as vendor and consumer insights. We recognize that each category has unique integration needs. For example, billing applications may need to connect to custodians but not to rebalancing or financial planning applications. Therefore, an application’s overall integration score will also depend on its category.
We serve the wealth management industry including RIA’s, Broker/Dealers, Investment Advisors, and other industry professionals. If your firm provides services or products to this segment of the industry, your firm will be included in the Ezra Group Integration Score and Kitces Financial AdvisorTech Directory. Like Consumer Reports™, once your service or product is categorized, it will be measured with similar vendors in that specific category. There is no opt out option.
If a vendor would like to open a conversation to change categories on either the Ezra Group Integration Score and/or the Kitces Financial AdvisorTech Directory, please use the link here to develop your category change case.
Leadership for Ezra Group and Kitces meet periodically to review market trends, vendor and consumer feedback, and may make changes accordingly to our methodology, scores, and categorizations.
The integration scores are assigned a color code as indicated below that will appear in the Kitces Financial AdvisorTech Directory in Q3 2022 as follows:
|Integration Rating||Color Code||Weighted Score|
|Superior||Blue||8.0 – 10.0|
|Excellent||Green||6.0 – 7.9|
|Fair||Yellow||4.0 – 5.9|
|Poor||Red||0.0 – 3.9|