‘Now that’s AI’: Could advisers double their client capacity in 2 years?

The rise of AI in most aspects of life has brought with it a sense of apprehension among advisers amid concerns that this new technology could put their jobs at risk, despite the evidence indicating that this is unlikely to occur.

According to Melissa Gill, DASH product manager of digital advice, while some industries might be at risk of being taken over by AI, financial advisers have little to worry about in that regard, predicting the technology will act more as an assistant to advisers than a competitor.

“I think with financial planning we have a little bit of time in that AI, so far, hasn’t been great mathematically. So, I do think that in that piece where it’s developing strategies and recommendations, I think we’ve got some time there,” Gill said on a DASH webinar.

“On the administrative side, I do think there’s scope that AI will be able to create efficiencies within businesses to help manage that process, as well as the compliance processes. It can interpret that legislation. It can help your staff really just comprehend what’s happening.”

Building on this, Peita Diamantidis, Caboodle Financial Services financial adviser and coach, suggested this technology will not only assist advisers, it will also boost their client capacity significantly.

“My assessment is, I reckon in about two years we’ll be able to see twice as many clients. We’re already seeing a high number of clients per adviser in an ongoing sense, but I think it’ll double,” Diamantidis said.

“It’s not going to be the actual advice. It’s everything around it that’s going to change and I think this is a mindset shift. For me, I see AI as electricity. It’s going to be in everything we have around us.”

Even with the potential benefits of AI, Diamantidis noted that advisers still need to be weary of safety and compliance concerns when using these tools.

“We’re going to need to not touch a live wire, so, we’re going to need to know some safety things. That’s a given, but it’s just going to be in everything, so I would hesitate for anybody out there to be fearful or resistant,” she said.

“To be frank, you won’t even know you’re using it already. It is already there and you’re living it. The difference is, I think there’s opportunity in advice to accelerate our efficiency.”

One particular area where AI tools have proved particularly useful is in file note-taking, which can turn something that is traditionally onerous and time-consuming into an automated part of the advice process.

“The good ones out there take it further. So, you know, think about logging in and the tools says, ‘Oh, you’re seeing Bob today. Here’s the context from the last four meetings you had and here’s a couple of things you haven’t followed up on or he hasn’t. Get ready for the meeting’,” she said.

“Then, after the meeting, it’s not just done your file notes, but [it’s] templated the email to go to Bob that you then just tweak and it pre-populates the brief for the paraplanner.

“Now that’s AI. That’s the electricity.”