Half (51 per cent) of UK consumers want to receive information electronically from their financial adviser, research has revealed.
Research from AdviserSoftware.com and commissioned by Dynamic Planner, which surveyed 4,000 consumers, discovered a rising demand for digital solutions among consumers, ideally working in tandem with human interaction.
Looking at specific age groups, three in four 18-34 year olds want to track investments and access financial planning content via an app.
Of those aged 35-64, 65 per cent would like to have the ability to access an app, along with just over a third of those aged 55 plus.
Overall, 61 per cent of those surveyed would like to track their pensions, investments and to access personalised financial content via a mobile phone app.
Ian McKenna, founder of the Financial Technology Research Centre, said: "The results of the consumers research demonstrate why it is crucial to understand how different clients now prefer to consume their financial planning.
"While not always decided by demographics, the study delivers compelling reasons for firms to embrace change to capitalise on intergenerational wealth transfer.
"The report should be particularly valuable to firms wanting to put digital communication at the heart of their operations. It provides objective analysis which will help any advice business looking to maximise the benefits of technology in 2025 and beyond."
Human interaction remains
The research additionally revealed that, despite high demand for technology, the need for human interaction remains strong.
Across the age groups an average of 57 per cent still want to speak to a financial adviser to obtain investment advice, and 62 per cent want digital solutions and human interaction to work in tandem.
However, alongside in-person meetings with their financial adviser, consumers would like to track their financial information on a mobile phone app, highlighting the complementary value of digital engagement and in-person financial advice.
This desire to combine the two increases to 80 per cent of 18–34-year-olds, who are at the start of their accumulation journey.
Dynamic Planner CEO, Ben Gloss, said: “Younger generations will increasingly set the agenda for how they want to engage with financial advice.
“Their worlds are mobile and app led and if financial planning can be offered in the way they consume services elsewhere, we will look back on technology as the catalyst that finally engaged and educated young people with investing.
“The findings in this report show that for our industry, embracing technology is an opportunity that should be ignored at its peril.
“To hold the financial plan in the palm of your hand via a mobile app will increasingly be an expectation across all age groups.
“With the ability to reduce costs and increase efficiencies for advice firms, technology will enable advisers to serve a larger number of people and the potential to bring a new generation to access high quality, engaging digital financial advice.”
tom.dunstan@ft.com
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