Human advisers will not be made extinct by robo-advice

HNW demand for digital is on the rise, but without doubt human advisers are here to stay

Demand for digital and automation will only increase, but advisers and bankers will not be made extinct, according to GlobalData Financial Services.

November 2017 has seen a number of developments in the digital wealth management space.

In the UK, Natwest became the country’s first incumbent bank to roll out a robo-advice service.

Just a few days later Nutmeg, the regional pioneer online investment platform, announced its assets under management had surpassed £1bn, with the number of clients doubling in the last 12 months.

GlobalData’s survey found that providers expect demand for their algorithm-driven offerings to increase to a greater extent than for discretionary or human-driven advisory services.

Nevertheless,. personal relationships between advisers  and investors are and will remain essential across the world.

Wealth management and private banking is a personal business where trust and face-to-face guidance are essential. Robo-advice cannot replace this.