Andres Garcia-Amaya, CEO & Founder of Zoe, a wealth platform with the mission to help grow and protect wealth for RIAs and individuals.
In Part 1 of this series, we unearth the enduring principles of trust, wealth protection and personalization that should remain the bedrock of wealth management. In this piece, we will use the “future-back” vision framework developed by Mark Johnson and Josh Suskewicz to remove current technical and operational constraints and envision an ideal client-centric future for wealth management. This thought experiment can help us anticipate client needs, shape expectations and harness innovation to redefine the industry.
The Future And AI
Artificial intelligence (AI) is poised to play a transformative role in shaping the future of wealth management. Generative AI, in particular, can now enable the creation of human-like content such as voice, text and images at high fidelity and low cost. It goes beyond automating routine tasks, extending its support to complex, nonroutine decision-making.
With its ability to process vast amounts of data, learn patterns and provide real-time insights, generative AI has the potential to reshape industries by enhancing human capabilities. In wealth management, AI opens new possibilities for personalization and accessibility, redefining how advisors and clients interact and achieve their goals.
Hyper-Personalization At Scale
One of the most transformative possibilities AI brings to wealth management is hyper-personalization. Imagine a world where financial plans adapt dynamically to each client’s life, values and goals. AI can process vast data to create tailored strategies based on an individual’s financial life, helping ensure every recommendation is timely and deeply relevant.
Imagine, as a client, you get one question via a secure app: “What does financial success look like for you in 10 years?” You and your partner record a 30-second video response and hit send. Ten seconds later, a comprehensive financial plan and a customized portfolio that aligns with your risk tolerance, risk capacity, goals and values are in your inbox.
Via approved retinal scans, AI in the future could pull all past tax returns and credit card statements to understand your financial historical patterns and current situation. It could analyze not just the content of your video response but also visual and paralinguistic cues like tone, pace, pitch and emotional indicators to explain why each recommendation was picked for you and your family.
This technological breakthrough would enable advisors to focus less on the mechanics of document collection or portfolio management construction and more on providing a high-end concierge-like experience and building meaningful relationships with clients. This means transitioning from static, standardized solutions to dynamic, client-centric experiences at scale at a fraction of today’s cost.
Whether ordering food, requesting a car or booking tickets, today’s consumers expect a seamless, real-time, digitally integrated experience in every facet of their lives. Although wealth management innovation tends to move slower than other industries, financial advice is subject to these heightened consumer expectations. In the above example, the client could interact with an avatar of their advisor 24/7.
These avatars, equipped with the advisor’s expertise and personality, could provide immediate, accurate responses, enhancing accessibility and convenience for clients. As a result of all the heavy lifting of AI, human advisors would have a lot more availability to enrich their relationships with clients. After all, AI can deliver knowledge and insights, but it cannot replicate the nuanced wisdom, empathy and personal connection that human advisors bring to complex financial and emotional decisions.
Redefining Client Access
Technology and financial infrastructure advancements will break down the barriers that limit access to private investment products, making them available to a broader range of consumers. Today, becoming a limited partner investor in private equity or venture capital is primarily accessible only to the ultra-wealthy due to the high costs, complex structures and regulatory requirements.
However, the future of wealth management will democratize these opportunities, allowing more clients to benefit from the same tools and strategies used by the wealthiest investors today. Technology innovation will be crucial in driving this shift by lowering the operational and administrative costs of offering these products. For example, tokenization through blockchain technology could allow fractional ownership of traditionally high-entry products like private equity funds or real estate investments, making these opportunities affordable and accessible to a much larger audience.
Moreover, direct indexing, once a high-cost strategy for tax-efficient, personalized portfolios, is already beginning to scale down in cost. In the future, clients across wealth levels will likely be able to create fully customized individual security portfolios tailored to their tax situations, ethical values and financial goals at a lower price than we see today for passive ETFs.
Parting Thoughts
In Part 1, we explored the enduring principles of wealth management—the foundational elements that will remain constant despite the industry’s continued evolution. In this piece, we used the “End State” vision framework to imagine a future where these principles are enriched by transformative technologies like AI, delivering a more accessible, personalized and cost-effective wealth management experience. By 2035, hyper-personalization, real-time advisor access and democratized investment opportunities will become the new standard. Clients will garner significantly more value for a lower cost.
These enduring principles and vision of the future guide my company’s north star. Our mission is to protect and grow people’s wealth. As financial advisors, we can all aim to achieve this through an unwavering focus on exceptional client experiences and innovative technology.
The information provided here is not investment, tax or financial advice. You should consult with a licensed professional for advice concerning your specific situation.
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