Wealth management sector of UK is experiencing a significant growth in recent years. They are handling around £948bn of assets, which are equivalent to about 46% of the UK GDP. The financial institutions and wealth management firms are looking to be early adopters of the latest AI technologies.
Wealth management is a data-rich industry, in which thousands of person-hours are devoted annually to repetitive, mundane data inputting tasks and simple data interrogation and cleansing. Data may be about clients or markets. The principle of the wealth management business model is usage of these two data wisely. But the latest artificial intelligence (AI) technologies is going to change this model. The employees become the go-between manually duplicating data between systems. Client deadlines are not met, and SLAs are breached, leading to monetary loss or penalties to the wealth management firm.
The AI helps by keeping the significant gains in the intelligent automation field. Robotic process automation (RPA), process mining, conversational AI, and automated decision-making are some technologies that can deliver improvements. To transform legacy systems RPA software can be used. In revolutionising the industry, communications mining tools are well set. Deep learning technology can convert unstructured communications such as emails, calls, chats, notes etc., into structured data. Users can educate the machine learning tools to identify what a Sedol, ISIN, gross return, or net return looks like. This tool will then find each entity’s nuances also.
AI can help to create enormous efficiencies for organisations, in IT. Metadata gathered from communications mining and wealth management firms can see where automation benefits could best be realised. AI can transform how the wealth management industry operates. This is by reducing the person-hours spent on repetitive tasks. In competitive industry, firms that embrace AI can keep competitive advantage by driving improvements in efficiency and customer service.