Nutmeg's financial advice service has not poached clients from advisers, but it may lead to downward pressure on costs, Lisa Caplan has said.
Speaking on the FTAdviser Podcast, the robo-adviser's head of financial advice said: "When I think about the people I have seen through the advice service, just thinking about them, I don’t think I have taken anybody’s clients. No one had an existing relationship with an adviser, of that I’m sure."
But she said one of Nutmeg's clients had come across its advice service, which costs £350, while looking at more expensive services offered by traditional advisers and opted for the robo-option.
Ms Caplan said: "One person was shopping around for advice and he had to choose between thousands of pounds somewhere else and £350 with Nutmeg and he thought he would try the £350 version so perhaps there is some competition there but I think there is enough room for everybody and I certainly haven’t taken anyone’s clients away from them, for sure.
"I think it is a good thing if advice is affordable to those who need it. Creating advice is expensive because of the regulatory burden among other things and technology is a good way of reducing the cost.
"So if we are creating a pressure to use technology more to reduce costs, that may happen."
Ms Caplan also discussed how Nutmeg is rolling out its robo-advice service, the challenges the company has faced and how this service might evolve.
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