In conclusion, the industry is certainly aware of AI and interested in potential use cases and the benefits they could confer. But as things stand, firms have bigger fish to fry in getting the basics right in-house. Data is a particular issue. AI relies on analysing large volumes of data to give accurate and actionable insight. If the data is not right, then nor will the output be, and the whole thing falls down.

That said, there is recognition of the benefits that AI could bring and an acceptance of its eventual adoption in some shape or form. Our respondents, in the main, are sitting back and watching things evolve and waiting for a suitable use case.

Respondents are most enthusiastic about AI in relation to scale, automation and efficiency, probably as a part of broader RPA efforts which are already underway in some firms. There is also widespread recognition of the role that AI can play in enabling the adviser and providing a boost to service. This can take many forms, from pinpointing investment opportunities, prospecting, marketing, onboarding, personalisation and sentiment analysis. The idea is that the AI does the hard work for the adviser and presents them with the right thing to do or say next.

There is a clear need for the thought leaders of AI and those vendors providing it to inform and help when it comes to AI deployment and its benefits. The general consensus was that vendors would weave it horizontally through their functions as opposed to the wealth manager applying it as a layer. The role of the regulator will also be important; many see AI as a double-edged sword; potentially a great opportunity, but also opening up a whole chasm of potential risks and downsides if regulators do not get things right and work with the industry to evolve the proposed processes and procedures to adopt AI.

Read the full report here.