"The growing acceptance of the important role that robo-advice can play in tackling the advice gap and increasing business for adviser firms is striking."
49% of firms plan to offer robo solutions alongside traditional services in the next 12 months and about 56% of those questioned believe robo-advice can help grow their business.
Prudential also saw a huge swing in advisers’ attitudes to the role robo-advice can play in closing the advice gap. In 2016 just 17% believed robo was a credible solution, rising to 69% in 2017 and 75% in 2018.
Growing support for technology-based solutions could partly be explained by the rising number of hours advisers spend on non-fee earning activity, including CPD, regulatory reporting, administration and marketing.
Prudential’s research found strong support among advisers for improving their qualifications and for CPD in general. Around three-quarters (75%) say they have focused on improving qualifications since the introduction of the Retail Distribution Review while 66% intend to increase qualifications as their career progresses.
However around two out of five (41%) believe increased certification is an unnecessary burden on their business.
Kirsty Anderson, business development manager at Prudential, said: “The growing acceptance of the important role that robo-advice can play in tackling the advice gap and increasing business for adviser firms is striking.
“Views are changing rapidly as advisers recognise how to adapt and integrate technology to complement the value of the bespoke advice they already offer. It is partly driven by making the best use of advisers’ time and expertise. They are increasingly dealing with a wide range of other important issues in addition to the main job of providing advice.”
