6
vritti
March 2018
Robo-advisors are just about finding their
feet in the fintech world, despite being around
for nearly a decade. Now, let's be objective-
what's there not to like in a software-based
platform performing the role of a financial
advisor? After all, the integration of artificial
intelligence (AI) into portfolio management
software offers several advantages-both in
terms of saved time and gathering data and
interpretation of the same. With zero human
intervention, financial services are available
at any time of the day, all based on the
customer's propensity for risk in new and
existing investments. Sounds viable? In any
Trending Now
case, this technology isn't shifting out of
focus anytime soon, what with robo-
advisors under full control of AI systems
pegged to reach $987 billion per annum in
assets under management (AUM) by 2022,
as per Juniper Research. Just a brief side-
note, this forecast refers to “hybrid” robo-
advisors, which, as per Juniper, will dominate
66 per cent of global robo-advisory AUM in
2022. In other words, the input of a human
advisor will play a key role, primarily to mitigate
a customer's fears of leaving financial
decisions in the hands (or design, in this
case) of an algorithm. Ironic, isn't it?