The gap between those who can access financial advice and those who cannot is growing wider. Traditionally, financial advice has been seen as something for the wealthier in the population – a service with seemingly high fees that many people cannot afford. For those who do not have a large portfolio or significant assets, getting expert financial help often seems out of reach. As a result, millions of people are left to figure out important financial decisions on their own.

But technology is starting to level the playing field. It is allowing more advisers to introduce or prioritise online financial advice services to increase access to affordable and convenient advice. From robo-advisers offering guidance to virtual consultations, these digital solutions are making it easier for people to get the help they need, regardless of income.

Let us explore how these services are closing the advice gap, and what this shift means for both individuals and businesses.

Understanding the advice gap
Due to the nature of traditional financial advice, a major portion of the population, especially low to middle-income earners, are often left without access to guidance on managing debt, saving for retirement, or investing for the future. The Financial Conduct Authority (FCA) found in its Financial Lives survey that in 2022 only 8% of UK consumers received financial advice.

One obstacle to closing the gap is that it affects various people differently. Millennials, for example, are often trying to balance paying off student loans while saving for a home and investing, yet many cannot afford professional advice or even know where to look for it. Retirees, or those nearing retirement, might find themselves underprepared due to a lack of earlier financial guidance. Small business owners face their own set of financial challenges, often with little support.

The consequences are serious. Poor financial planning leads to long-term risks, not just for individuals but for the broader economy. Without proper advice, people are more likely to face financial insecurity, increased debt, and inadequate retirement savings. This is why it is critical to find ways to close the advice gap.

The rise of tech-enabled advisory services
With a mix of technology and human expertise to provide a more personalised service remotely, it is easier and more affordable for people to get the guidance they need. Think of services like virtual financial advisers and AI-supported models like Aveni Assist, which combine tech-driven insights with human support. Tools like these are changing the way we access financial advice and bringing it to a much wider audience.

Though it often feels hard to think of life before the pandemic, the shift towards these services was already underway. COVID-19 just gave us a jump through the warp drive. As in-person meetings became impossible, both consumers and advisers had to get comfortable using virtual channels, like video calls, emails and messaging apps to communicate. This opened the door for more people and companies to explore tech-driven solutions for financial advice.

These platforms typically use generative AI and automation to assess your financial situation. Based on the data you provide, they offer tailored financial recommendations, which can then be delivered remotely.

One of the key advantages of tech-enabled services is their scalability. Traditional financial advisers often have limited time, which means their services come at a premium. Tech-based platforms, on the other hand, can help advisers cut out the time-consuming, low-value aspects of their role to better serve more clients at an affordable cost. This broader reach is a major reason why these services are helping to close the advice gap.

Benefits of online financial advice for your business

• Affordability: Since these services eliminate the need for travel and reduce overhead costs, the cost to serve is typically lower. Advisers no longer need to maintain expensive office spaces or spend hours commuting, leading to greater cost efficiency for advisers and clients. 

• More time to schedule calls: With less (or no) travel time, there is more opportunity to increase the number of clients an adviser can see virtually, whilst still providing an excellent level of service. With recording and transcription tools, the ability to speed up note-taking and flagging of any issues is also greatly enhanced and gives financial advisers more time back.

• Convenience and flexibility: Clients can access advice anywhere and at any time, making scheduling easier. On-demand support means clients can get help when they need it, without waiting weeks for an appointment. Remote services expand the financial adviser’s reach, not just across wealth gaps but geographically too. With online financial advisers at the end of a laptop or app, more clients can access their services, regardless of location. 

  This flexibility also allows businesses to scale faster, as they can grow without needing to hire significantly more staff. With the increased use of AI tools, repetitive admin tasks like suitability reports or document checks are automated, allowing advisers to dedicate their time on what matters most: direct client interactions.

• Personalisation leads to trust and loyalty: It is the interactions with clients that will remain most important. Financial advice is a sensitive subject that balances nuanced variables. Clients will continue to need a personalised service, understanding and empathy that can only come from a human adviser. 

  According to research by the Association of British Insurers (ABI), 76% of individuals make better financial decisions when they receive personalised guidance. But only 14% make a good financial decision when seeing generic guidance based on existing regulations. This is why financial businesses are increasingly focused on using generative AI to more accurately gauge the specific needs and goals of each client. While human intervention and advice will still be the driving factor, building high-quality, up-to-date personal data will be key to making tailored recommendations work effectively.

• Personalisation also strengthens customer loyalty. A Twilio survey found that 56% of customers felt more loyal to a brand after experiencing a tailored customer journey. In financial services, AI is increasingly looking to engage with clients to generate more accurate personalised information, enabling it to offer guidance that feels truly tailored to their unique financial situation.

• Service quality: Generative AI tools also improve overall service quality, making it easier to securely share documents, record interactions, and maintain transparency, which also enhances compliance. These services not only reach a broader audience, including underserved communities but also align with sustainability goals by reducing the need for travel, thereby lowering the carbon footprint of both advisers and their clients.

Challenges and limitations
Despite the benefits, remote advisory services face several challenges. One is the tech barrier – many people still lack access to high-speed internet or struggle with digital literacy, limiting their ability to use these services effectively.

A significant number of people are not even aware that they are entitled to financial advice. This misconception leaves the feeling that advice is not available or affordable for them when, in fact, there are numerous accessible options today. Firms should be more proactive in clearly communicating advisory services through their websites, via social media, and highlighting flexible, lower-cost options like online financial advice consultations or sliding-scale fees. In addition, resources like free online financial education platforms, virtual workshops, and introductory sessions can help broaden access and show clients that quality advice is within reach for most.

Another issue is the human touch. While tech solutions are improving, they cannot currently fully replace the reassurance that comes with face-to-face interactions. As Thoreau wisely said, “It is not about what you look at, it is about what you see.” Generative AI helps identify personalised content to aid the human adviser, as many clients still prefer the personal connection of speaking with a real person.

Trust and security are also major concerns. Many people are hesitant to share sensitive financial information online, and the rise of cybersecurity threats only heightens these fears. While the shift towards more personalisation will help with trust issues, financial institutions will still need to ensure strong data protection and transparent practices to build trust in these services.

The future of financial advice
The future of financial advice looks exciting, especially with generative AI and machine learning advancing quickly. As online financial advisory services become even more personalised and accurate, more people will get access to smarter financial recommendations. And as it continues to improve, it will better understand complex financial needs, offering advice that feels more customised for each person’s situation.

That said, regulatory considerations will be a big focus. It will be crucial to make sure consumers are protected and their data is secure. Regulators will need to ensure financial institutions are taking the right steps to safeguard sensitive information, so people can feel confident using these services.

We will likely also see more hybrid models in the future. These will combine the efficiency of AI with human advisers. It is the best of both worlds – automated solutions when speed and cost are important, and human support when clients need that extra reassurance. This mix will make financial advice more accessible while still offering the personal connection many people value.

Conclusion
The growing advice gap is a significant challenge, but tech-enabled remote advisory services provide a promising solution. They make financial advice more affordable, accessible, and personalised for a wider audience, especially for those who have traditionally felt left out by high-cost, in-person models.

If you have ever struggled to get the financial guidance you need, now might be the time to explore them further. With advancements in AI and automation, these platforms are helping to democratise financial advice, giving more people the opportunity to improve their financial future.

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