Why AI will never replace adviser/client relationships

Do we need emotional intelligence if we have artificial intelligence?

clock • 4 min read

Louis Williams looks at the developing world of AI and explains why emotional intelligence in advice has never been more important

The progress of artificial intelligence (AI) in recent years has led to the increase of digital advice within our industry. However, research showed that despite these developments, 73% of respondents had a preference for advice from a human, with 71% concerned that robo-advice would not be appropriate for their financial needs, according to data from Openwork in 2022. There are two major factors that may lead to these findings, firstly, a robo-adviser will have a limited understanding of a client's needs and objectives which may result in solutions that are not entirely appropriate. Sec...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Technology

What will the FCA's AI Lab mean for the wealth management industry?

What will the FCA's AI Lab mean for the wealth management industry?

Risk comes in how and where AI is deployed by wealth managers

Carl Woodward
clock 06 November 2024 • 4 min read
'Advice is on the brink of a tech-driven revolution'

'Advice is on the brink of a tech-driven revolution'

It’s advisers - armed with empathy and innovation - who will lead the charge

Tessa Lee
clock 04 November 2024 • 3 min read
FCA to support firms to overcome challenges in implementing AI

FCA to support firms to overcome challenges in implementing AI

Regulator launches an ‘AI Lab’

Isabel Baxter
clock 17 October 2024 • 3 min read