There was a real opportunity for robo-advice to complement the work of financial advisers where an adviser-led robo-advice tool could become part of a financial planning group’s marketing process, according to Atchison Consultants.
Principal, Jake Jodlowski, said combining robo-advice into the marketing process through principles of customer centricity, connectivity, compliance and “contemporariness” could revolutionise financial advice in Australia.
Jodlowski also said that in order for more members to engage with robo-advice, it must be easy to operate, understand and access, with a low-cost, transparent pricing system that caters to different budgets.
“That’s version one. Version two will provide a much more holistic financial planning solution incorporating the simulation of human behaviour such as speech recognition,” he said.
More superannuation funds were looking at incorporating robo-advice into their service offerings for members as they moved closer to retirement, with Equip Super recently announcing it was investing in a Melbourne-based start-up robo-adviser, Clover.
“The medium-term objective is to provide a tailored solution for members that not only delivers asset allocation and investment advice but can take a more holistic approach to include insurances, transition to retirement strategies, estate planning, Centrelink entitlements, and asset and liability assessment and management,” Jodlowski said.
There was a significant discrepancy between what consumers were willing to pay for advice and what adviser charged for advice and robo-advice could help bridge that gap, as well as engage and educate clients earlier in their lifecycle, he added.
