The Intermediary – March 2025 - Flipbook - Page 78
T E C H N O L O GY
Opinion
Why we should
embrace AI
in advice
T
he use of artificial
intelligence (AI)
in financial services
is under the spotlight
at the moment.
The Treasury Select
Commiee recently announced it
would be conducting an inquiry into
the subject, as well as whether it poses
a risk to our economic stability.
Meg Hillier, the Labour MP who
chairs the group, said that the probe
would look into not just how financial
firms can make the most of the
technology, but also what risks need to
be guarded against.
As she put it: “It’s critically
important the City can capitalise on
innovations in AI and continue to be a
world leader in finance.
“We must, though, also be mindful
of ensuring there are adequate
safeguards in place to mitigate the
associated risks, particularly for
customers. This piece of work will
allow us to see the full picture.”
That distills the challenge well, in
my view. So, how can we harness this
ever-present technology in a way that
genuinely benefits our customers?
How can financial services firms –
advisers and providers alike – leverage
AI to enhance customer outcomes
while mitigating potential risks to
their financial wellbeing?
Delivering for advisers
It’s easy to talk about the potential that
AI offers our industry, and financial
services more generally, but it won’t
happen without firms grasping the
opportunity.
We need to be hands-on in
understanding how AI can be
integrated into the way we work
on a daily basis, to not only clearly
recognise the opportunities, but to
also devise solutions to the hurdles
78
The Intermediary | March 2025
AHMED BAWA
is CEO of Rosemount Financial
Solutions (IFA)
which will inevitably emerge. It’s a
challenge we are proactively taking
on at Rosemount. Last year, we
recruited an AI specialist to oversee
how we can leverage this technology
to support our advisers. There are
certain areas where we can see an
immediate benefit, puing AI to work
to streamline tasks for advisers, or to
support them with the data they need
when working with clients.
But we want to push beyond that,
with the development of our own AI
chatbot. We see the potential for the
chatbot to act effectively as a digital
assistant, bringing together not
only real-time client data, but also
outlining market trends, what may lie
ahead, and providing suggestions for
the client and adviser to consider.
When utilised properly, we believe
this technology can not only help
advisers to be more efficient, and get
more from their time, but also make a
genuine improvement to the standard
of advice on offer.
Of course, it’s worth bearing in
mind that while AI has been grabbing
headlines, it’s only one example
of how technology can deliver for
advisers. On a daily basis, most
advisers will rely on all sorts of portals
and tools for sourcing products,
calculating costs and submiing
applications.
There is much work for all of us to
do in ensuring that the technology we
use each day is providing our clients
with a smoother, more satisfying
experience. As an industry, we cannot
afford to stand still.
Reaching potential
One of the biggest hurdles any adviser
faces is a simple lack of time. They
may have ambitions to expand into
certain areas, or deliver a more
comprehensive service, but don’t feel
able to because they are so stretched.
This is certainly true of sole trader
firms. Given these time pressures, AI
likely feels out of touch – the sort of
technology they are unable to engage
with properly to understand it fully.
It’s something they can look at again
in the future, at some undefined date
and time when the workload isn’t
quite so heavy. However, it’s a time
that will never arrive.
I strongly believe that this is where
networks can add real value to their
members. A good network puts in the
work to identify how their advisers
can truly reach their potential,
whether that’s puing on bespoke
training, integrating and developing
technology, or even something as
simple as working with each adviser
as an individual, rather than viewing
them as a number on a balance sheet.
By handling the heavy liing,
networks enable advisers to focus on
what they do best – servicing the needs
of their clients.
Rather than spending days or
weeks mastering AI applications,
advisers can rely on their network
to do the groundwork and deliver a
refined solution.
AI has the potential to dramatically
improve the way that advisers
work, and the service they deliver.
But if all advisers are to benefit,
including the one-man-bands, then
networks must take a leading role in
establishing how the technology can
be incorporated. ●
