SC: Financial planners need to embrace technology

"Robo-advisory services can be complementary tools to financial planners to get more people to start investing early, and subsequently planners can deliver more personalised services," says Awang Adek.

PETALING JAYA: Financial planners need to embrace technology to better serve their clients, as digital tools can enhance the effectiveness and efficiency of their services, as well as increase their appeal to more technology-savvy investors such as the younger generation.

Citing an example, Securities Commission chairman Datuk Seri Dr Awang Adek Hussin said according to a survey by the Institute of Capital Market Research, millennials and Gen Zs are more inclined to use robo-advisory services, but as their portfolio grows, they would prefer to interact with a human adviser.

“This suggests that robo-advisory services can be complementary tools to financial planners to get more people to start investing early, and subsequently, planners can deliver more personalised services that require a human touch.

“This is especially as investors’ needs evolve and grow more sophisticated over time,” he said in his keynote address during the Malaysian Financial Planning Council (MFPC) Professional & Ethics Forum 2022 yesterday, as reported by Bernama.

As such, Awang Adek said financial planners should not view robo-advisory services and other technology-driven services as their competition.

“By attracting new investors, they can co-exist with services that offer more bespoke advice.

“As the pool of investors grows with more diverse needs, this will ultimately feed into your businesses as well as the wider industry,” he said.

He added that in the current age of digitalisation and disruption, it was heartening to note that the MFPC was rethinking its e-learning management system.

He said he hoped that the move would also support the growth and promotion of syariah financial planning to local and regional markets.

Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

SC , AwangAdek , financialplanners , robo-advisory


Next In Business News

KPJ Healthcare 3Q net profit soars to RM90.31mil
KLCCP Stapled Group posts higher 3Q net profit of RM185.34mil
Bank Islam 3Q net profit for slips to RM140.54mil
Leong Hup nearly doubles earnings in 3Q, declares 1.2 sen dividend
Samaiden expects satisfactory FY24 performance
Press Metal net profit dips to RM306.1mil in 3Q
Ringgit strengthens against US dollar amid weak US housing data
MAHB registers over 10mil total passenger movements in October
IOI Corp 1Q net profit surges 81.5% to RM304mil
Gas Malaysia's net profit falls to RM86.16mil in 3Q on lower sales, higher operating costs

Others Also Read