The Rise of the Robo Manager


To embrace or not to embrace, is the question posed by many a firm in the current technological climate. The wealth management sector has long been one of the slowest technological adapters with many firms staunchly believing that the sector has and always will be solely built on human knowledge and client-facing service. Whilst these will surely remain the cornerstone of the industry, increasingly it is looking more and more like artificial intelligence may have its place. In this article, we’ll be talking the adoption of artificial intelligence in financial services, its particular implementation in the wealth management sector via robo-advice and how we at AGL are embracing technology.

AI in Financial ServicesĀ 

The digital revolution has begun. Fintech is a powerful, thriving industry and it’s here to stay. Within financial services, many firms are not only implementing aspects of AI but are also funnelling significant funds into research and development to prepare for the future.

Forms of artificial intelligence are currently being utilised in many parts of the world in banking. Customer services is being revolutionised by chatbots, lowering the cost of advice for firms and allowing customers to receive information such as expenses tracking and account info. Given the aptitude of algorithms for tracking patterns in transactions, AI is increasingly being used in compliance- particularly to uphold anti money laundering legislation.

AI in Wealth ManagementĀ 

Within the wealth management sector, AI has come in the form of robo-advice. This form of advice relies on the analysing of a person’s specifications which can then be used to develop a portfolio. It will then monitor and react accordingly, always working within the initial specifications of the user.

Wealth management has long been one of the sectors most sluggish to the adoption of new technologies. Therefore, robo-advice is still seen as a very new and for some, a radical development despite its acceptance by the FCA. However, whilst the uber tech-savvy millennial may not currently be the typical client of the majority of wealth managers- they are pushing for market change. On the whole, they way we communicate is changing. In a social media/internet/text-driven world, instantaneous access to information is the new norm. The delivery of many financial services products has had to shift to compensate. Wealth management is not exempt.

Simply InvestĀ 

One of the main advantages of being a boutique firm is the ability to be extremely responsive to change. We can adapt- and we have. The incorporation of the Simply Invest online platform is our foray into the world of robo-advice, where clients can develop a portfolio in just 30 mins. The portfolio can then be accessed online anytime through a secure login portal. It is perfect for someone for whom the face-to-face aspect of advice is not crucial. If you would like to learn more about Simply Invest, visit its dedicated page here.

The big question for most out there in relation to artificial intelligence is ‘will my job be replaced by a machine?’ It is true that many tasks may soon become automated. However, we truly believe that there will always be a place for the tacit knowledge of humans. Here at AGL Wealth, we have sought to blend both- embracing the benefits that technology can bring whilst still putting face-to-face client communication at the heart of our operation. To learn more about our approach or to set up a free 30 minute chat with one of our senior wealth managers, get in touch.