By 2027, AI-driven investment tools are projected to become the primary source of advice for retail investors, with usage reaching 80% by 2028. Firms like Morgan Stanley are already integrating AI into advisory workflows, enhancing efficiency and reshaping client interactions. While AI excels in data processing and consistency, challenges remain in replicating human empathy and trust-building, suggesting a hybrid model for the near future, write Alexis Calla Chief Artificial Intelligence (AI) Officer, Alpheya and Sandeep Mukherjee Senior Adviser, Alpheya

The future of wealth management lies in hybrid models, combining AI’s data-driven precision with human empathy and ethical oversight. While AI can process vast datasets and detect market trends, human advisors provide emotional intelligence and personalized engagement. This collaboration ensures transparency, trust, and scalability, addressing both technical and emotional needs of investors in an evolving...