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AI Is an Advisor’s Co-pilot, Not Its Competitor

Understanding generative artificial intelligence to maximize opportunities in estate planning and beyond.

With the introduction of programs like ChatGPT and Google’s Gemini, the integration of artificial intelligence into the advisor’s tech stack has become a hot topic of discussion in the financial advice community. Although the advent of generative AI applications signals a new era in AI’s evolution, it’s worth noting that much of the foundational technology has existed for decades. Advisors, whether knowingly or unknowingly, have benefited from AI for quite some time. In this context, advisor Justin Castelli observes, “There is a seemingly overblown fear of AI by the advisor community.”

Despite the apprehension many advisors feel toward this technology, the truth is that AI is already integral to their daily tasks. Moreover, the advent of generative AI brings more opportunities than threats. To assist advisors in overcoming their hesitation about this new frontier, we aim to clear up some common misconceptions and explore how AI serves as a co-pilot rather than a replacement.

Busting AI Myths

Financial advisors harbor numerous misconceptions about AI, which risk obscuring the true potential of this transformative technology. On one end of the spectrum, there’s a segment of financial advisors who believe AI will not directly impact their work, underestimating its growing influence in the industry.

However, the data reveals a different reality. According to Hostinger, 35% of companies are already using AI in their current business model, with financial services demonstrating one of the highest adoption rates.

Contrastingly, at the other end, some advisors envision a doomsday scenario, fearing AI might render them obsolete. This concern, though, overlooks AI’s inherent limitations. While AI excels in tasks such as pattern recognition, it lacks the human intuition that’s crucial for nuanced financial planning, including the ability to interpret a client’s facial expressions and tone. AI’s inability to 'read the room' underscores the irreplaceable value human advisors bring to the table.

There's a common belief among some seasoned advisors that they are ‘too old to learn AI.’ This notion is unfounded, as advisors of any age can—and should—utilize tools such as ChatGPT. With AI becoming increasingly prevalent in areas ranging from fraud detection to estate planning, it’s essential for advisors from all generations to adapt to stay competitive. While concerns about security are understandable, as with the adoption of any new technology, generative AI can indeed be securely integrated into a practice with the right due diligence and implementation.

AI is Already in the Water We Are Swimming In

Artificial intelligence has been playing the role of co-pilot to the advisor since long before the onset of the generative AI tools receiving so much attention at present. Let’s talk through a few examples. For one, nearly every advisor has technology in their stack that assists them with forecasts and projections. Machines are excellent at detecting patterns and trends, and therefore AI features of this kind lie under the hoods of nearly all predictive models and similar tools. Another example would be optimization. The robo advisor solutions available in today’s market largely rely on AI for automated portfolio optimization, showcasing another practical application of this technology in the financial advice profession.

Prospecting has also been heavily impacted by this technology long before ChatGPT came into the picture. Advisors who engage in paid advertising on key social platforms like Facebook and LinkedIn are essentially using AI-driven tools. These mainstream social media platforms use AI to determine the best audience for a given ad, once again showing up as the advisor’s teammate, not their competitor.

More recently, the integration of AI into estate planning is serving to transform the process into a more efficient and client-centric experience. Advisors can now leverage AI to quickly upload and summarize key estate planning documents, providing clarity for both the advisor and the client. Some platforms also offer the ability to intelligently incorporate previous client actions into their guidance, streamlining the update of essential documents. This serves to ensure that wills, trusts and other important documents accurately represent the client’s current intentions and life circumstances, safeguarding their legacy.

Why Generative AI Really Is Worthy of the Hype

For advisors, generative AI has the potential to provide countless additional benefits beyond its existing applications. Unlike traditional AI, which is designed to perform specific tasks using predefined algorithms and rules, generative AI introduces the ability to create original content, including text, images, audio and more–capabilities that advisors ought to wholeheartedly welcome. This technology can improve efficiencies in administrative tasks like drafting client communications, summarizing vast amounts of important information, identifying the best tools to educate clients about various financial planning concepts, and much more.

Just as the internet revolutionized the profession, AI offers a similar transformative potential, augmenting productivity and enabling advisors to allocate more time to client-centric activities. With appropriate safeguards in place, advisors can leverage generative AI to streamline processes, improve decision-making and enhance client satisfaction. It does not have the capability to replicate the personal engagement advisors are known for, especially in understanding and navigating clients’ emotional and complex needs in areas like estate planning, but AI serves as an invaluable complement to these essential human skills.

Adopting generative AI enables advisors to redefine their service offerings, accentuating the value of personalized advice in an increasingly automated world. This technology should be considered as an extension of the advisor’s capabilities and a value multiplier, facilitating a shift towards more strategic and meaningful client interactions. As advisors harness the power of generative AI, they not only streamline their processes but also underscore their commitment to delivering exceptional, client-centric advice. When viewed through this lens, it’s clear that generative AI is more co-pilot than competitor.


Rafael Loureiro is the co-founder and chief executive officer of

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