The wisdom of the web: The future of wealth management is data-driven
Why should wealth management be any different? The investors of today rely on advice from a host of sources while making any financial decision. They seek advice online, through blogs, forums, news, social media, stock trading platforms and peers before any buy or sell.
People are increasingly soliciting financial advice online and are comfortable making decisionsleveraging on their digital outreach. In this landscape, it becomes essential for wealthmanagement firms to markedly differentiate themselves by providing in-depth analysis and datato back up every decision.
Information overload: The crippling effect
However, when it comes to relying on multiple sources to make a decision, there is always a crippling effect due to an overload of information. Financial advisors and Portfolio managers often suffer decision paralysis due to the overwhelming amount of information available on the internet that confuses rather than helps the reader. This often leads to a bias for inaction, rather than action.
The unlikely savior: AI-based Robo advisory
Robo advisory, financial advisory tools that leverage proprietary AI and self-learning algorithms to create customized portfolio recommendations, are becoming the preferred research and decision making platform for the tech-savvy investor.
It is a technology solution that is breaking new ground in the wealth management space as it combines the benefits of going to multiple news sites, channels, review sites, and neatly delivers it in the form of actionable advice and intelligence.
The promise of better tomorrow: Chasing the alpha