Wealth Management Increasingly Turns to AI
What happened
Financial services firms are adopting AI to enhance client services. Guardian Life Insurance announced a partnership with Avantos to accelerate its AI-driven transformation. Separately, Matt Wiltshire of Niche Private Clients discussed on BBC Radio 4 how artificial intelligence is reshaping the financial advice sector.
Why it matters
- The global market for AI in asset management was valued at $3.8 billion in 2025 and is projected to grow at a compound annual growth rate of over 27.7% between 2026 and 2034. - A recent survey found that 91% of investment managers are either currently using (54%) or planning to use (37%) AI in their investment strategy and research. - JPMorgan Chase has committed $18 billion to technology in 2025, with a significant focus on AI, and has already provided its 200,000 employees with access to a proprietary large language model suite. - Morgan Stanley has developed several AI tools for its advisors, including the "AI @ Morgan Stanley Assistant" for quick information retrieval and an "AI @ Morgan Stanley Debrief" tool that summarizes client meetings. The firm reports that 98% of its wealth management advisors are actively using its AI chatbot. - AI is being used to automate administrative tasks, which can free up financial advisors to spend more time on client-facing work; currently, only 58% of an advisor's time is spent on direct client interaction. - AI algorithms can analyze market data, economic indicators, and a client's risk profile to construct optimized investment portfolios and simulate thousands of scenarios to help minimize risk and maximize returns. - "Robo-advisors," which provide automated, algorithm-driven investment advice, are expected to see assets under management grow from $2.5 trillion in 2022 to a projected $5.9 trillion by 2027. - AI-powered CRM (Customer Relationship Management) platforms can analyze client communication sentiment, account activity, and other behaviors to generate "churn risk indicators," allowing advisors to proactively address client concerns.
Key numbers
- Separately, Matt Wiltshire of Niche Private Clients discussed on BBC Radio 4 how artificial intelligence is reshaping the financial advice sector.
- - The global market for AI in asset management was valued at $3.8 billion in 2025 and is projected to grow at a compound annual growth rate of over 27.7% between 2026 and 2034.
- A recent survey found that 91% of investment managers are either currently using (54%) or planning to use (37%) AI in their investment strategy and research.
- JPMorgan Chase has committed $18 billion to technology in 2025, with a significant focus on AI, and has already provided its 200,000 employees with access to a proprietary large language model suite.
What happens next
- "Robo-advisors," which provide automated, algorithm-driven investment advice, are expected to see assets under management grow from $2.5 trillion in 2022 to a projected $5.9 trillion by 2027.
Quick answers
What happened in Wealth Management Increasingly Turns to AI?
Financial services firms are adopting AI to enhance client services. Guardian Life Insurance announced a partnership with Avantos to accelerate its AI-driven transformation. Separately, Matt Wiltshire of Niche Private Clients discussed on BBC Radio 4 how artificial intelligence is reshaping the financial advice sector.
Why does Wealth Management Increasingly Turns to AI matter?
The global market for AI in asset management was valued at $3.8 billion in 2025 and is projected to grow at a compound annual growth rate of over 27.7% between 2026 and 2034. A recent survey found that 91% of investment managers are either currently using (54%) or planning to use (37%) AI in their investment strategy and research. JPMorgan Chase has committed $18 billion to technology in 2025, with a significant focus on AI, and has already provided its 200,000 employees with access to a proprietary large language model suite. Morgan Stanley has developed several AI tools for its advisors, including the "AI @ Morgan Stanley Assistant" for quick information retrieval and an "AI @ Morgan Stanley Debrief" tool that summarizes client meetings. The firm reports that 98% of its wealth management advisors are actively using its AI chatbot. AI is being used to automate administrative tasks, which can free up financial advisors to spend more time on client-facing work; currently, only 58% of an advisor's time is spent on direct client interaction. AI algorithms can analyze market data, economic indicators, and a client's risk profile to construct optimized investment portfolios and simulate thousands of scenarios to help minimize risk and maximize returns. "Robo-advisors," which provide automated, algorithm-driven investment advice, are expected to see assets under management grow from $2.5 trillion in 2022 to a projected $5.9 trillion by 2027. AI-powered CRM (Customer Relationship Management) platforms can analyze client communication sentiment, account activity, and other behaviors to generate "churn risk indicators," allowing advisors to proactively address client concerns.
