Honeymoon over for robo advice
By Tom Carnegie, 24 May 18
The UK’s Financial Conduct Authority (FCA) has made it clear it will hold robo advice firms to the same high standards as human advisers, with experts saying the honeymoon is now over for those trying to curb the rules.
Jon Greer, head of retirement policy at Old Mutual Wealth, said the UK’s journey the round-the-clock financial advice provided by robots has not been as swift as anticipated.
“The FCA’s review into automated advice has noted some problems with these models, for instance how they can identify vulnerable customers. As these growing pains are worked through we are likely to see more hybrid models which combine the strengths of face-to-face advice with those of an automated process.
“Findings from the regulator’s further investigations will be hotly anticipated,” Greer said.
Tags: FCA | Old Mutual | Robo-advice
