Financial advisers need to ensure they have the right tools to keep up with technological advancements to help meet their clients' evolving expectations and demands, FNZ has stated.

The wealth management platform provider noted that wealth management was traditionally about preserving, growing, and transferring wealth across generations.

However, it argued that today’s ‘tech-savvy’ investors had higher expectations, and the scope of wealth management had broadened “dramatically”.

Research by FNZ, Deloitte, and ThoughtLab found that investors' preferences were changing “rapidly”.

Nearly two-thirds (62 per cent) of investors were interested in alternative investors, while 41 per cent had interest in private banking, 39 per cent in ESG options, and 25 per cent in custom index funds.

FNZ analysis also showed that 42 per cent of investors had switched providers in the past due to a lack of product diversity.

“Retail investors have ever-increasing expectations,” said FNZ chief product officer, John Blackman. “What was once cutting-edge is now the baseline. Advisers who want to serve the next generation need to keep pace with these technological enhancements.

“Whether it’s sustainable investing, property wealth, private markets, or cash products, wealth management platforms now deliver a range of tools previously unimaginable."

FNZ added that services that used to be out of reach, such as private market investments, were no longer exclusive to ultra-high net worth individuals, as technology was making these areas accessible to a broader range of investors.

Looking at the emergence of artificial intelligence (AI), FNZ argued that, when used effectively, it excels in two key areas: Enhancing decision-making by processing vast amounts of data quickly; and automating routine tasks such as suitability statements, compliance checks, portfolio rebalancing, and data analysis, freeing advisers to focus on high-value activities.

“The future of wealth management won’t be a choice between AI and human advisers—it’ll be a partnership,” commented The Lang Cat CEO, Mark Polson.

“AI will handle the heavy lifting, but advisers will still be the trusted source of empathy, guidance, and strategic insight that clients rely on.”

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