ParaplanningFeb 24 2023

'AI will change the role of a paraplanner'

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'AI will change the role of a paraplanner'
Frazer Cronin, technical analyst at First Wealth (Carmen Reichman/FTAdviser)

Artificial intelligence will change paraplanning, but those in the profession should embrace this, according to one paraplanner.

Speaking to FTAdviser, Frazer Cronin, technical analyst at First Wealth, said he is ready to welcome all artificial intelligence can offer paraplanning with open arms.

“It’s going to be one of those things that help make our jobs a little bit more seamless,” Cronin said.

“The impact this is going to have on most professions is going to be profound. When you look at its capabilities, I think the role of the paraplanner will of course change.

“It will take a lot of the arduous jobs - say suitability writing - away from the paraplanner. The ability to really dive into a topic and understand clients needs and objectives will become the key point of the role, and paraplanners will have to become a hybrid between the technology and the adviser.”

Cronin believes the advances AI will bring will mean that paraplanners need to focus more on the personable side of the role as the days of “sitting behind a computer and doing calculations” will be over. 

Cronin said: “I don’t see why in the future AI won’t be able to do calculations. Obviously a lot of a paraplanner's job is to be able to do tax calculations and the like, so I don’t see why it won’t seep into there and take away that element of the role. 

“I don’t know when this will happen but it looks as though it is on the horizon, which I find exciting.

“I imagine a paraplanner’s job 10 years ago was totally different to what it is now, in terms of how firms have evolved their processes.”

Cronin believes paraplanning is not well known more widely because it is not seen as a career in its own right (Carmen Reichman)

Cronin first started at First Wealth as a client relationship manager back in 2020 during the pandemic with no experience in financial services, having come from a marketing role in the travel and tourism industry. 

He spent the first two years at the firm learning the skills of the trade and completed the Chartered Insurance Institute diploma in regulated financial planning in the space of 12 months. 

Back in July, he was promoted to a technical analyst/paraplanner and now is studying to gain chartered status with the CII. 

Cronin told FTAdviser that he is not one of those people who fell into the world of financial advice, it was a career he actively aimed to get into after becoming absorbed in a number of finance books and podcasts.

“I don’t know if you have listened to Pete Matthews before? He’s a financial adviser and I listened to a podcast he did around the time I was becoming dissatisfied with my job. 

“He spoke about the route in and taking the CII exams, so I did a bit of research about firms in the area - firms that aligned with my investing philosophy -and I found First Wealth and booked my first exam off my own back. 

“I thought if I at least booked one exam it would show I’m willing and have got some skin in the game. From there I was fortunate enough to start off as an administrator,” Cronin said.

A career in its own right

Looking ahead at his career options, Cronin explained that when he first joined First Wealth his plan was to eventually become an adviser, but he said now he is interested in exploring different areas and staying as a paraplanner. 

“The nature of the job at First Wealth suits me down to the ground,” Cronin said. 

He explained this is largely because of the hands-on nature of the role. He gets to be involved in client conversations and is not purely focused on the technical aspect of the role each day.

“Now I’m in the role, I look at what an adviser does and I don’t think it would suit me at the moment or in the near future. 

There’s very little positive news out there about financial advice

"Obviously paraplanners aren’t spoken about in the same esteem as advisers, it’s definitely not a role that is well-known. I still to this day don’t say to my friends that I’m a paraplanner because they definitely wouldn’t know what that is,” Cronin said. 

Frazer Cronin, outside the First Wealth offices in London, February 2022. (Carmen Reichman/FTAdviser)

He thinks partly the reason for paraplanning not being a well-known job is because it often does not look like a career path in its own right.

“You can push yourself to become an adviser in a relatively quick space of time and unless you express a need to, nobody really stays in the paraplanning role for too long. 

“So it’s just about building awareness and making it feel as though it can be a profession and career path,” Cronin said.

Looking at the profession as a whole, Cronin believes more awareness needs to be raised about the positive elements of the sector to help bring new talent into it. 

He pointed to a lot of the advertising that surrounds financial products, and the adverts around avoiding financial scams and said these automatically build a negative perception of the profession with the public.

“There’s very little positive news out there about financial advice, so it's about getting success stories out there - that would be a great start,” Cronin said.

jane.matthews@ft.com