Discussing the role robo-advice would play in the future of the financial services industry, the roundtable argued that IFAs are both naturally resistant to the idea of robo-advice but that they are starting to see it as an opportunity to build a future client base.
The general consensus was that robo-advice should be seen as a tool to expand advisers’ markets and create new consumers, rather than cutting into current client base. Thirty- and forty-somethings today are looking to online advice first and may well be the people who seek face-to-face advice later.
Andrew Storey, Technical Sales Director at eValue, said:
“Many advisers are seeing robo-advice as a threat, as something which will take over their job. However, it is clear that robots can’t provide the human touch but can support the advice process for customers who wouldn’t otherwise access advice. As a result, it’s a great opportunity to bring on board future face-to-face clients to those adviser firms that can embrace it.
“The fears of advisers need to be understood and they need to be taken on the digital journey. Just as the betting industry encouraged cashiers to get involved in the digital transition, financial services providers should empower staff to keep advice in-house and prevent potential clients from going to online competitors. Digital must be used as a way of catering to current clients and engaging with new customers.”
