SUBSCRIBE NEWSLETTER
  • Change Language
  • English
  • Hindi
  • Marathi
  • Gujarati
  • Punjabi
  • Tamil
  • Telugu
  • Bengali
  • MF News What is the impact of AI on financial planning?

    What is the impact of AI on financial planning?

    A majority of financial planners have integrated AI in their existing practice, says a report released by FPSB India.
    May 8, 2025

    Listen to this article

    As artificial intelligence (AI) rapidly becomes an invaluable tool, FPSB India, the Indian subsidiary of the Financial Planning Standards Board shared the global research report titled “How AI is Reshaping the Financial Planning Profession.”

    The research reveals insights into the use and impact of AI in financial planning, with two in three financial planners reporting that their firms are already using AI or planning to adopt it within the next 12 months. FPSB conducted the study by surveying over 6,200 financial planners across 24 territories worldwide, in collaboration with its global network of organizations.

    Key findings from FPSB’s Impact of AI on Financial Planning global research include:

    •  Improved client services: Over three quarters of financial planners (78%) believe AI will help them better serve clients, while 60% believe it will enhance the quality of financial advice.

    •  Widespread AI adoption: Of the two-thirds of firms that either have or are planning to leverage AI in the next 12 months, adoption rates are highest among small or very large firms. 50% of financial planners have a positive outlook on AI, while only 8% view it negatively.

    •  Lower cost and increased access: 59% of financial planners see AI as a tool to help reduce the cost of financial planning services and 60% believe it will increase access to financial planning for underserved populations.

    • Usage of AI in financial planning: Almost half of financial planners using AI have deployed it to support delivery of client services such as client communications (41%), client data collection (33%) and client risk profiling (30%). One in three are using AI to improve operational efficiency, for example in marketing and promotions (35%) and the client onboarding process (34%).

    •  Concerns with AI: Despite the benefits, financial planners expressed reservations regarding the use of AI, with 47% citing data privacy and cybersecurity concerns and 42% concerned about the accuracy and reliability of AI output.

    •  Need for professional development: To better adapt to AI, 49% of financial planners expressed a need for professional development to improve their data analysis and interpretation skills. Over a third (36%) believe both the public and the financial planning profession will greatly benefit from general education and training on AI.

    In a press release,  Krishan Mishra, CEO, FPSB India said, “This global research reinforces our belief that when technology is integrated with the human-centric approach and empathy, and ethical commitment of CFP® professionals, it can lead to truly transformative client outcomes.”

    “With financial planners recognizing AI’s potential to lower costs and believing it will expand access to underserved communities, AI is paving the way for more affordable financial advice. This technology is not just reshaping the practice of financial planning but may also open doors for those who have historically lacked access to critical financial services,” said FPSB CEO Dante De Gori, CFP.

    Have a query or a doubt?
    Need a clarification or more information on an issue?
    Cafemutual welcomes all mutual fund and insurance related questions. So write in to us at newsdesk@cafemutual.com

    52
    Click to clap
    Disclaimer: Cafemutual is an industry platform of mutual fund professionals. Our visitors are requested to maintain the decorum of the platform when expressing their thoughts and commenting on articles. Viewers are advised to refrain from making defamatory allegations against individuals. Those making abusive language or defamatory allegations will be blocked from accessing the web site.
    0 Comment
    Be the first to comment.
    Login or Sign up to post comments.
    More than 2,07,000 of your industry peers are staying on top of their game by receiving daily tips, ideas and articles on growth strategies. Join them and stay updated by subscribing to Cafemutual newsletters.

    Fill in the below details or write to newsdesk@cafemutual.com and subscribe to Cafemutual Newsletter now.
    Cafemutual is an independent media platform and focuses on providing knowledge and information for the benefit of finance professionals. We do not promote any particular brand or asset category.