There is potential that far fewer regulatory problems should result from a carefully designed, tested and monitored automated process than traditional human-delivered advice.
We believe it is best to think of ’human-advice’, or ‘automated-advice‘ not as two separate activities, but in terms of using a flexible balance of automated components and skilled humans to make the advice process more structured, efficient and consistent.
Increasingly we are seeing advice firms consider ‘automated processes to expedite the vital para-planning process.
The necessary human touch points will always remain part of the process for some customers, but the speed with which an answer can be generated can be significantly faster, and the cost of human advisers leveraged across a much larger group of customer – essential in the post-pensions freedom world.
Dan Mahony is a member of EY's life, pensions, wealth and asset management practice