{"id":9359,"date":"2021-04-12T10:30:56","date_gmt":"2021-04-12T02:00:56","guid":{"rendered":"https:\/\/people.utm.my\/razman-ayop\/?p=9359"},"modified":"2021-04-12T10:31:12","modified_gmt":"2021-04-12T02:01:12","slug":"will-robots-replace-human-financial-advisors","status":"publish","type":"post","link":"https:\/\/people.utm.my\/razman-ayop\/will-robots-replace-human-financial-advisors\/","title":{"rendered":"Will Robots Replace Human Financial Advisors?"},"content":{"rendered":"\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"Will Robots Replace Human Financial Advisors?\" width=\"1080\" height=\"608\" src=\"https:\/\/www.youtube.com\/embed\/suUVjOi5tHA?feature=oembed\"  allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>Robo-advisors have had a meteoric rise in popularity since their debut in 2008 thanks to the support from millennials and Gen Z. Today, Robo-advisors manage $460 billion, with some analysts predicting it will become a $1.2 trillion industry by 2024. Watch the video to find out why some investors believe it will never replace traditional human financial. Since their debut in 2008, robo-advisors have had a meteoric rise in popularity. In 2020, they managed $460 billion, a 30% increase compared with 2019. Some analysts predict robo-advising will become a $1.2 trillion industry by 2024. &#8220;Investors historically have had two options when it comes to managing their investments. They could do it themselves through something like an online broker or you can work with a financial advisor,&#8221; explained Brian Concannon, head of Digital Advisor at Vanguard. &#8220;Now, with the advent of robo-advisors, there&#8217;s a third option, and that&#8217;s to merge the benefits of professional money management and advice with the convenience of an all-digital application.&#8221; Robo-advisors&#8217; sudden rise to prominence was made possible due to massive interest and support from millennials and Gen Z. According to a recent survey by Vanguard, millennials were twice as likely as young baby boomers to consider using a robo-advisor for investments. &#8220;I believe that there are things that technology or algorithms can do better than humans can,&#8221; said Taylor Crane, a robo-advisor customer. &#8220;And I have no problem trusting a software to do that.&#8221; Skeptics do not expect robo-advisors to replace human advisors entirely in the near future. &#8220;Clearly, there&#8217;s always going to be a human element that&#8217;s missing,&#8221; said Jason Snipe, chief investment officer at Odyssey Capital Advisors. &#8220;My problem always will be the emotional response. Take a situation like last year when we&#8217;re going through Covid-19 and markets are moving a lot, dramatically. &#8230; You can&#8217;t talk to the technology, right?&#8221; To combat this, many robo-advisor companies including Betterment and Vanguard began providing the option of hybrid services that combine both human and digital advice. &#8220;[Some] investors we see crave validation from a financial advisor,&#8221; said Concannon. &#8220;So for those investors, being able to pick up the phone and have a video conference with a financial advisor, have a discussion about their needs and wants goes an incredibly long way to providing them the peace of mind that they so desperately need.&#8221; Time is on the side of the robo-advisory industry as the technology continues to improve and the younger generations accrue more wealth. &#8220;I think some combination of the two probably is where we are headed for in the future,&#8221; said Snipe. &#8220;I think the robo space has room to grow. I think it will obviously modify and change and become even more sophisticated.&#8221;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Robo-advisors have had a meteoric rise in popularity since their debut in 2008 thanks to the support from millennials and Gen Z. Today, Robo-advisors manage $460 billion, with some analysts predicting it will become a $1.2 trillion industry by 2024. Watch the video to find out why some investors believe it will never replace traditional [&hellip;]<\/p>\n","protected":false},"author":24954,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"video","meta":{"_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-9359","post","type-post","status-publish","format-video","hentry","category-variety","post_format-post-format-video"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/posts\/9359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/users\/24954"}],"replies":[{"embeddable":true,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/comments?post=9359"}],"version-history":[{"count":1,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/posts\/9359\/revisions"}],"predecessor-version":[{"id":9360,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/posts\/9359\/revisions\/9360"}],"wp:attachment":[{"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/media?parent=9359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/categories?post=9359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/people.utm.my\/razman-ayop\/wp-json\/wp\/v2\/tags?post=9359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}