As the industry has shifted from distribution to service, one young advisor explains how these AI tools are enabling a higher standard
Holistic wealth management is as much a promise as it is a watchword — or even a cliché — in this industry. In working to shift the investment advisory business away from distribution and towards service, advisors and firms have promised clients a higher degree of holistic service. They’ve woven in offerings like estate planning and tax planning, and positioned themselves as the hub from which all a client’s financial services needs can be met. While that has been an attractive offering for clients, it puts a far greater onus on the advisor to meet those demands with a high degree of quality service.
Skyler Soper says that the rise of generative AI may help advisors live up to their promise. The consultant with IG Wealth Management is still in the early stages of his career, and building a book of business around his ability to meet those client expectations. Soper talked through some of the tools he’s been equipped with now, from automated note-takers to will-building estate planning platforms. He outlined why these tools are worthwhile investments for firms and advisors and emphasized how he believes advisors can approach these innovations with an eye to growth.
“We’ve seen a democratization of investment access with online brokerages and self-directed tools, so investment have become a commoditized aspect of our job. But people have an emotional connection to their money and they work with advisors to be that hub of information, because we work to understand our clients the best we can,” Soper says. “And I think there are AI tools that can help with that. There are still lots of clients who don’t fully understand the scope of what an advisor should be able to do for them, with older advisors who are still just focused on investments. I think those types of advisors will get left behind in the next few years.”
While Soper sees expanding scope of practice and service as the necessary future for financial advisors, he admits that it takes a great deal more effort than simply focusing on investments. Working with estate plans, tax plans, and advanced financial plans takes a huge amount of personal education — including possibly working towards a CFP certification — and firm investments in resources that can support these services. This is where AI tools may be able to help.
While he discussed more sophisticated tools, Soper’s first area of focus was on the use of AI to help with meetings, note taking, and synthesis. He noted that most of the finance industry runs on Microsoft, and that most client meetings are now held via virtual calls. An AI co-pilot can help advisors quickly transcribe and synthesize those calls, generating more immediate insights and action items from the most important part of their jobs: talking with clients.
Beyond the simple transcription support, though, Soper notes that his firm has recently given him access to a tool called Clear Estate. Chief among its capabilities for advisors is the ability to create basic wills. According to a 2023 study by Angus Reid, only about 40 per cent of Canadians have an up-to-date will. With a tool like this an advisor can quickly and affordably aid in creating or updating a will, though Soper notes that for clients with greater financial complexity, he’ll continue to refer to estate lawyers and his firm’s in-house estate planning specialists.
While these tools can add efficiencies and free up capacity for advisors, Soper isn’t of the view that they will result in a shift that wins back the mass market from DIY channels. Even if advisors have more time to serve their clients, there’s a basic limit to one human being’s capacity for relationships, and the incentives in the industry still point towards serving higher net worth clients.
For those ideal clients, who expect advisors to function as the hub of their financial lives, Soper says that these tools have become essential. Beyond background notes and estate planning, he highlights connections to medical clinics, or tools to help business owners with their own financials. As the scope of advisors’ work widens, technology is a key part of what they will offer clients. Soper believes that advisors need to now embrace these tools.
“It's evolutionary, you have to adapt. Technology now is moving at a faster pace than it ever has. Ai, you could very well argue, is going to be as transformational as the internet in terms of how it helps us work,” Soper says. “It does take time to learn these things but you really have to. I think that your clients will begin to expect that, and there will come a time when they can get these for a much lower cost, without even working with an individual advisor. If you can provide them now, I think that you're going to be in a space where you have much more defensibility in your practice.”
