‘Not just a compliance tool’: How AI is transforming WT Financial
WT Financial managing director Keith Cullen has become the latest advice licensee to describe how artificial intelligence is transforming its business.
In a speech at the company’s annual general meeting on 28 November, Cullen said AI-enabled services are “a centrepiece” of the licensee’s value proposition.
Its risk management framework has reviewed more than 11,000 advice files during the past financial years, he said.
“A centrepiece of our value proposition is our AI-enabled risk management framework – the centre piece of which is our real-time peer review of advice and supporting files.
“More than 11,000 advice files – comprising tens of thousands of documents were reviewed by our team through the system this last year, with more than 7,000 improvements made.
“It is not just a compliance tool — it is a capability that improves advice quality, reduces consumer and regulatory risk, and speeds up integration when we acquire or onboard new networks and new practices.”
Not only is AI useful for compliance, Cullen said the technology has successfully improved the firm’s M&A activity. This has included the development of two Hubcos through its joint venture with Merchant Wealth Partners formed earlier this year with plans for two further Hubcos.
The first Hubco was with Titan Financial Planning, Darwin Financial & Retirement Services, and Wealth Connect Financial Services, and a second was enacted between Select Advice Group and Newleaf Tailored Financial Solutions.
Cullen said: “[AI] is one of the reasons our acquisitions have been so smooth and why our network cohesion continues to increase.”
“These Hubcos are designed to be long-term value engines – corporatised platforms backed by patient capital, able to grow organically and through M&A. This strategy is uniquely aligned with the structural realities of the profession and the financial services industry more broadly.
“Demand for advice is rising with a wall of people and a wall of capital headed for retirement and of course supply is constrained. Quality scaled networks like ours are exceptionally well positioned.”
AUTHOR
Laura Dew
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