- AI-driven Financial Advisory Adds a Tool for Customer Loyalty
- Assets under management in the Robo-Advisors market will surpass $2 trillion this year
- An expert shares her view on the impact of these tools on the industry
In a world that never stops, where customers operate 24/7 with their financial institutions, the demand for tools and services is at its highest.
Since a large part of a financial advisor’s role revolves around building trust-based relationships, AI-driven financial advisory is becoming a positive tool for banks and fintechs to build customer loyalty through more personalized and efficient solutions.
According to Statista, assets under management in the Robo-Advisors market will surpass $2 trillion in 2025. The total amount projected for 2029 is $2.38 trillion, with the number of users exceeding 34 million. Globally, the largest volume of assets under management is expected to be reached in the United States.
Recently, N5, the Brazilian fintech focused on Open Finance, raised $20 million to invest in AI agents for banks.
Perspectives in Latin America
While we talked about the United States, Latin America is also a market where these tools will grow.
This is how GPTAdvisor, a company already working with 10 international financial companies in Europe, sees it, and it has just announced its expansion into this market.
Camila Rocha is the co-founder and CEO for the region of the company, with expectations to connect with private banking, neobanks, fintechs, and also traditional banks looking to modernize. With an extensive background in both the tech and financial sectors, she emphasizes the relevance of artificial intelligence in today’s business environment, pointing out that many companies still don’t know how to integrate it into their daily operations. When asked about the product’s target audience, she shares: “Traditionally, wealth managers have focused their services on high-net-worth individuals because the business model and complexity of financial advisory limit their time. With GPTAdvisor, we aim to democratize client service in Wealth Management.” She adds: “Our technology allows advisors to optimize their time and serve more clients efficiently, without compromising service quality.
Regarding the product’s functionality, the expert details: “GPTAdvisor guarantees precise, reliable responses aligned with the rules and data of each financial institution. To achieve this, it uses a Trust Layer, a control layer that integrates various sources of information and business regulations, ensuring that each response meets the highest security and reliability standards.”
Benefits for Financial Institutions
The integration of AI solutions in financial advisory offers multiple advantages to banking institutions. According to a study by Forrester, AI tools from Morgan Stanley increased customer satisfaction by 30%.
A successful formula that is often repeated is the combination of human agents assisted by AI tools: this allows advisors to manage between 5 and 10 times more clients by automating routine tasks, according to a report by consulting firm Deloitte.
The benefits for financial institutions offering this Wealth Management tool include:
Personalization of Services
AI analyzes large volumes of data to provide financial recommendations tailored to each client’s specific needs and goals, improving satisfaction and loyalty.
Operational Efficiency
The automation of processes through AI reduces the time and resources needed for repetitive tasks, enabling advisors to focus on higher-value activities.
Risk Management
AI tools detect patterns and anomalies in real time, facilitating the early identification of risks and the implementation of preventive measures.
More Effective Fraud Detection
AI-based systems monitor transactions and suspicious behaviors, strengthening security and trust in financial services.
Global Landscape
Several companies are leading innovation in this sector, providing advanced solutions that redefine the interaction between financial institutions and clients:
TIFIN
This company transforms investment and wealth management through AI-powered financial tools. Its platform integrates various AI technologies to provide personalized investment strategies, enhancing the advisory experience for clients.
Asfin
An advanced digital platform aimed at small and medium-sized enterprises (SMEs), Asfin uses AI to offer personalized financial solutions. Asfin helps SMEs meet their financial and banking needs independently and accessibly.
NetApp
Offers AI-powered financial services, focusing on areas like simplifying credit decision-making, advanced risk management, and continuous fraud detection. Their solutions aim to improve efficiency and personalization in the financial sector through the implementation of AI technologies.
Prophero
A Hispanic-Australian startup connecting real estate owners with investors interested in renting their properties. Founded in 2021, Prophero manages €480 million in assets and has more than 2,000 global clients. Recently, it raised €16 million in a Series A funding round led by the Australian fund Bailador, with the goal of expanding in its current markets and developing generative AI-based technology.
Créditoclic
A company that highlights the opportunities of digital credit in Europe, emphasizing the ability to offer personalized services and improve financial inclusion through advanced technology and big data analytics. However, it also points out challenges such as the diverse regulations among EU countries and concerns about data privacy.