Wealth management is no stranger to tough times. Ongoing issues, like meeting high customer expectations and adapting to ever-changing regulations continue to this day. On top of that, the industry faces new obstacles, including geopolitical risks, higher interest rates, and inflation.

These concerns arise amid a race among Swiss financial institutions to tap into a growing treasure chest of wealth. The number of Swiss High-Net-Worth-Individuals (HNWIs) is expected to increase by over 430,000 individuals, up 39 percent between now and 2027, according to UBS’s 2023 «Global Wealth Report».

Last year Switzerland attracted over 1,800 millionaires from abroad, according to VisualCapitalist. Wealth managers must capitalize on this new gold rush, although this requires navigating both old and new challenges.

Much-Needed Change

The emergence of Generative AI onto the global stage, with its countless applications and incredible potential, will also bring much-needed change to the wealth management industry. What impact will Generative AI have on the industry? How will it influence the future trajectory of wealth management? These questions are at the forefront of Prometeia.

As we delve into the analysis of Generative AI’s potential, we aim not only to understand its implications but to also provide answers to the questions that hover over the industry’s evolution. Many financial institutions recognize that embracing technology can unlock unprecedented opportunities but struggle to prioritize this imperative.

The rapid ascent of Generative AI onto the global stage has taken many by surprise, particularly in the wealth management industry where advisors grapple with time constraints and diminishing resources for day-to-day activities. To stay competitive and relevant, a commitment to service quality is crucial, and here is where Generative AI can play a key role.

Make a Difference

Unlike its cousin, Informative AI, which focuses on providing relevant and useful information based on processed data, Generative AI refers to systems or models that can generate new and original content. While its potential for wealth management is still being explored and tested, it can already make a difference.

By relegating cumbersome daily processes to the pages of history books, Generative AI has the potential to boost advisor efficiency. The integration of Generative AI tools offers a chance for incremental productivity growth, freeing wealth managers to focus on what truly matters – serving clients without drowning in administrative and operational activities.

Yes, risks accompany any new technology, and the socio-economic impact of AI raises challenging questions, while ethical and security concerns still loom large. However, within this evolving landscape, the opportunities for wealth management are quite transformational.

ChatGPT-ing To Success

The current wave of innovation fueled by Generative AI capabilities has left no stone unturned at Prometeia. Throughout 2023, we have embarked on a myriad of experiments to discover the most effective application of these new AI methods in enhancing our client's business operations.

One notable example is the integration of OpenAI's ChatGPT into our Digital Wealth Management Platform, facilitating personalized storytelling within investment proposals. Advisors can now adjust the tone, vocabulary, level of detail and length of the story for each investor.

This helps boost advisor efficiency, increases proposal acceptance with tailored messages to clients, and gives the financial institution a competitive edge through improved engagement and customer loyalty. But that’s not all. We are also harnessing ChatGPT to uncover hidden signals within sustainability reports.

Accurate and Efficient Analysis

Specifically, we are employing a Generative AI model that understands linguistic nuances and can make sense of complex information. It goes through a vast quantity of reports, extracting signals from text, tables, and figures, and looks at how everything is connected and related.

The AI tool ensures an accurate and efficient analysis of sustainability reports and provides in-depth insights, cutting down on manual work and boosting overall efficiency. These are just a few previews of the industry’s countless opportunities we continue to explore, test, and bring to market. The inclusion in this year’s AIFinTech100 is a further testament to our strong position in AI-driven wealth management solutions.

PromNEXT: Igniting Innovation

A cornerstone of our innovation strategy is a robust investment in research and development, underlining the company’s obsession with advancing and staying at the frontline of technological evolution. We are constantly fine-tuning our tools to ensure clients can capitalize on emerging opportunities in this ever-evolving landscape.

Demonstrating our dedication to fostering an entrepreneurial spirit, we have recently launched the PromNEXT initiative. This company-wide program is designed to seek and reward the most innovative ideas from our young, diverse, and international community.

We have turned to our entrepreneurial-minded people to propose ideas capable of reshaping the company’s core and generating new business opportunities. The goal of PromNEXT is to gather Generative AI use cases with substantial business potential.

The response to the call for proposals has been remarkable, and the selected projects, revealed by year-end, will see substantial investments.

Revolutionary Tool in Our Hands

It is still too early to say exactly how Generative AI will shake up wealth management. Currently, the focus is more on the question itself, as the answer will unfold over time. What matters most to us is keeping these questions alive and conducting extensive research to explore possible solutions.

We know we have a revolutionary tool in our hands with tons of potential and countless applications. But to lead in AI for wealth management, you need the dedication to take on bold projects, like PromNEXT. We believe in our people and that is why we are allowing them to take the lead.

Our commitment to improving advisor efficiency has only strengthened with these recent developments and initiatives. As we gear up for the future of wealth management, there has never been a more exciting time to be in the industry.

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