THANK YOU FOR SUBSCRIBING
The technological revolution has immensely impacted the financial services industry, which, in turn, has shaped the world. Wealth management has also been undergoing a lot of changes. The introduction of Big Data, AI, and ML has given a new direction to investment management.
Fremont, CA: Everyone wants to put their finances in the right place so that they can earn some profits in return. Wealth management has traditionally been a human-based professional service that offers financial and investment advice to people of high net worth. The wealth management industry is made lucrative because of its one set of the fee charged to clients. Even though technology has reshaped this industry to a considerable extent, investment advice is limited only to the well-off people. However, assets that were previously available to wealthy people are now gradually becoming accessible to non-wealthy clients.
Technology Introduction to Wealth Management
The technological revolution has immensely impacted the financial services industry, which, in turn, has shaped the world. Wealth management has also been undergoing a lot of changes. The introduction of Big Data, AI, and ML has given a new direction to investment management. All of these technologies help players in investment management mitigate risk, optimize portfolios, and evaluate investment opportunities.
Fintech companies are now focusing on the needs of the new generation of investors. For instance, millennials want easy and flexible access to every aspect of their lives. When it comes to managing finances, millennials prefer to use technology. Robo-advisers, Mobile apps, and AI tools offer enhanced control than traditional financial management methods.
The use of artificial intelligence has transformed the way financial advisors interact with their clients. Since then, the industry has been waiting for the disruption of the financial advisor model. The 80s and 90s witnessed the emergence of online trading. The 21st century has introduced Robo-advisers, which is the computer-generated investment platform offering augmented, algorithm-driven financial planning services with little human assistance. Robo-adviser gathers financial data from individuals through surveys and utilizes the collected information to provide advice to clients.