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Wealth Wizards is bringing AI to financial advice


Top Uses of Applied AI

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Wealth Wizards, a UK-based provider of digital financial advice services, has launched Turo, an AI tool that aims to provide access to faster financial advice software to financial advisory firms of all sizes, from startups to large incumbents.

The AI will tailor the insights it gives individual financial advisors to their company's advice policy and style by training itself on historical client interaction data. This will allow it to generate recommendations for advisors to give clients quickly, ensure the advice advisors give is in line with company policies, and boost case load efficiency by reducing the time spent on handling a case, allowing advisors to serve more clients, and drive revenue.

Wealth Wizards' approach to streamlining the process of giving financial advice via automation is unusual. The UK's Financial Conduct Authority (FCA) makes a clear distinction between "digital wealth management"— allowing software to invest your money for you — and "financial advice," and allows only the former to be conducted by computers.

When it comes to financial advice, for example, guidance on how to manage one's pension, the FCA prohibits delegation to software programs, and requires anyone dispensing recommendations to pass extensive exams. Wealth Wizards' strategy of using AI to generate insights for human advisors is a savvy way of bringing efficiency to the advice sector, as it maintains a human buffer between the AI and end clients.

While AI is still a nascent technology, it’s rapidly proving to be very capable at number-crunching large data volumes to produce actionable insights. As such, when applied to a sector that currently depends on humans processing increasingly unmanageable data troves to arrive at sensible conclusions, it promises to produce a lot of added value.

Given the prohibition of automating the dispensing of financial advice directly to clients, Turo will likely see high demand from financial advisors due to its ability to help advisors make more informed decisions and recommendations, where they may have done this more slowly or inaccurately without AI. This seems like a niche ripe to benefit from automation, and we will likely see more startups trying to capitalize on the opportunity, so Wealth Wizards is off to a good start by getting in early on the game.

Artificial intelligence (AI) is one of the most commonly referenced terms by financial institutions (FIs) and payments firms when describing their vision for the future of financial services. 

AI can be applied in almost every area of financial services, but the combination of its potential and complexity has made AI a buzzword, and led to its inclusion in many descriptions of new software, solutions, and systems.

Business Insider Intelligence, Business Insider's premium research service, has written a detailed report on AI in banking and payments that cuts through the hype to offer an overview of different types of AI, and where they have potential applications within the finance industry. In full, this report:

  • Offers an overview of different types of AI and their applications in payments and banking. 
  • Highlights which of these applications are most mature.
  • Offers examples where FIs and payments firms are already using the technology. 
  • Provides descriptions of vendors of different AI-based solutions that FIs may want to consider using.
  • Gives recommendations of how FIs and payments firms should approach using the technology.

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