Vanguard today announced the launch of its Generative AI capability aimed at tailoring market summaries for clients based on financial acumen, life stage, and tone.
Vanguard’s Client-Ready Article Summaries provides personalized synopses of its highest-read market outlooks and generates necessary disclosures to accompany the summaries.
The investment manager says its new feature reduces administrative tasks for financial advisors wanting to maximize time and efficiency with clients. “Advisors are increasingly seeking ways to leverage trusted AI solutions that support their practice—giving them more time towards higher value-added services like behavioral coaching and financial planning,” said Sid Ratna, head of Digital and Analytics for Vanguard Financial Advisor Services.
While the capability is currently being beta-tested, Vanguard hopes to expand the technology across all content relevant to advisors and clients.
The Client-Ready Article Summaries feature is the latest AI capabilitiy intended to grow productivity among retirement plan advisors.
The usage of artificial intelligence has risen among industry firms and workplaces over the past year. A recent study from Transamerica last week found that 72% of employers acknowledged using robotics or AI in the workplace, while a Cerulli Associates report shows a slighter growth in interest. The Cerulli report found that 16% of defined contribution investment-only (DCIO) asset managers believe AI’s impact on legal document summaries will be “significantly positive” while 23% anticipate it to be “moderately positive” and 23% expect to see “slightly positive” results.
Industry experts anticipate interest to further rise in the coming years. A panel at the recent National Association of Plan Advisors (NAPA) 401(k) Summit in Las Vegas last week forecasted exponential growth in AI usage among advisory firms within the coming decade, especially as more firms use the technology towards administrative duties.
“Tools like AI and other scalable platforms are going to help reduce the time needed on those tasks, but it also freezes you up to be able to do more and be that trusted partner for your clients,” said Jesse Taylor, senior vice president of Business Development at RPAG. “In ten years’ time, I think AI is going to help the independent advisor out level the playing field. The AI is going to help provide that advice, and you can still focus on the business owner and the executives while using robo-solutions.”
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with nearly a decade of experience and a passion for telling stories and reporting news. She is originally from Queens, New York, but now resides in Denver, Colorado.