CFA considers AI, robo-advice in exams

The CFA Institute believes artificial intelligence, fintech and robo-advice will have the greatest impact on the financial services industry - to the extent it is considering including such topics in its examinations.

An overwhelming majority (70%) of CFA members globally who took part in a study said affluent investors will be positively affected by automated financial advice tools in the form of reduced costs, improved access to advice product choices.

But such tools will unlikely replace engagement with human advisers for institutional investors and ultra-high net worth individuals as these groups of investors, with large portfolios and potentially diverse and complex investment needs, are likely to continue to favour personalised, human advice, the institute said.

CFA Institute analyst Svi Rosov said: "Fintech is attracting increasing attention from consumers, investors, the investment management industry and regulators across the globe."

"Our survey confirms the intuition that rapid technological innovation has the potential to shape and even disrupt the asset management industry, but also reveals that investment professionals are not yet convinced that investors will be made unambiguously better-off," he said.

Respondents (46%) however, were concerned about automated financial advice algorithms being the biggest risk emanating from robo-advice, followed by mis-selling (30%) and data protection concerns (12%).

It is believed the CFA Institute will deliberate the inclusion of artificial intelligence, machine learning, and automated advice to its exams and curriculum.

Read more: AICFA InstituteFintechSvi Rosov
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