Advisers embrace AI while keeping human connection central
For the past two years, articles and commentary have warned that artificial intelligence (AI) could make many jobs obsolete. Unsurprisingly, surveys show 65% of Kiwis now fear AI will take their job. More recently, the message has shifted: unless advisers use AI in every corner of their work, they risk being left behind.
Adrienne Begbie (pictured), managing director of Prospa NZ, said both extremes need to be debunked.
“Yes, AI and digital tools are reshaping the way we work, but they cannot replace the relationships and nuanced judgment that advisers bring to the table. In fact, when used thoughtfully, they’re making advisers more indispensable than ever,” Begbie said.
Trust remains firmly with people
When it comes to financial decisions, Begbie said clients continue to trust human advisers over automated platforms.
Research supports this: a CFA Institute survey found 81% of Australian investors trust human financial advice over robo-advice. Deloitte found 74% preferred dealing with people, not chatbots, for banking tasks, while Northwestern Mutual’s 2025 Planning & Progress Study showed Americans still favour human advisers for major financial decisions.
“The reason is simple, because money is personal,” Begbie said. “Financial conversations are about people’s businesses, livelihoods, and ambitions. They’re emotional discussions around life goals. A digital quote can spark the conversation, but clients still want an adviser to interpret it and provide judgment.”
Alternative lending needs human judgment
Begbie said this is especially true in the SME and alternative lending space, where funding decisions can’t be reduced to a formula.
“Every small business is unique, with seasonal cash flow, unusual income structures, or growth plans that don’t fit neatly into a template – each case demanding considered discussion,” she said.
Unlike large banks that rely heavily on automation, Begbie said advisers add value by applying judgment to complex cases.
“Complexity requires context, and context requires people,” she said.
Using AI strategically
Begbie emphasised that advisers should not ignore AI. Used wisely, it can enhance productivity and free up time for client relationships.
“Our new Partner Portal is a good example. Designed specifically for advisers, it streamlines the process of managing leads. Advisers can enter and track leads, view commissions, and see status updates in real time. It makes it easier to manage the business side of advice, without cutting advisers out of the picture,” she said.
“The key is to be strategic. AI is only as good as the data and direction it’s given. Feed it the wrong information or fail to apply human judgment, and it won’t deliver the right outcomes.”
Advisers and AI adoption in New Zealand
In New Zealand, 73% of respondents said AI could help them serve clients better, 67% said it could improve advice quality, and 71% believe it could increase access to financial advice. Globally, similar trends emerged, with 78% of planners believing AI will improve client service and 60% saying it could reduce costs.
“It’s here today, it’s not something that’s happening at some point in the future,” Hakes said. “Like all technology, it moves quicker than regulation and data privacy risks. However, from an advice perspective, this is an enabler. We’re looking at what the best AI-enabled tools are to deliver improved client outcomes and efficiency.”
FPSB global chief executive Dante De Gori agreed, calling this a pivotal time for the profession.
“Now is a pivotal time in the financial planning profession as financial planners embrace AI to work smarter, allowing more time to engage in deeper human connection with clients,” De Gori said.
Ethical risks and regulation
While optimism is high, advisers are also cautious. Concerns include data privacy, cybersecurity, unreliable outputs, and the loss of the human touch. Both FPSB and FANZ emphasised the need for ethical standards and regulatory guidance to support adoption.
“Our engagement and dialogue with regulators is critical, as is their engagement with the advice profession,” Hakes said. “We want the financial advice profession to be confident in adopting and implementing these tools … but we also want to ensure that this is done in the right, proportionately risk-managed environment.”
Advisers are here to stay
Begbie concluded that while AI will support the industry, it will not replace advisers.
“In 2023, over 80% of people who consulted a financial adviser said it gave them peace of mind, and 41% regret not seeking it sooner,” she said. “Use AI to quote faster, process paperwork, and get sharper insights, but you are still the one clients turn to and need for judgment. You won’t be going anywhere.”
Stay informed with the latest housing market trends and mortgage insights — subscribe to our free daily newsletter
