Type of Job:

White collar
Generative AI will change white-collar jobs by automating tasks and enhancing work. High-paying jobs may face more impact, while blue-collar jobs could see growth in demand and wages.

What Constitutes Artificial intelligence (AI)?

Artificial Intelligence (AI) is a technology that allows systems, whether software or machine-based, to autonomously make predictions, recommendations, or decisions that impact both real and virtual environments without the need for constant human guidance or intervention.

Sources

Author:

Juan D. Montoya

Juan D. Montoya

Economist and AI researcher.

Will Personal Financial Advisors be replaced by AI & Robots?

Personal Financial Advisors risk of being automated:

Medium

This job has a medium likelihood of substantial automation within the next 20 years, placing it in the third quartile for automation probability among occupations.

Current Degree of Automation:

35
(1-100)

Source

Key findings

In the future, GenAI will impact the work of Personal Financial Advisors by enhancing tasks like data analysis, decision-making, and client interaction.

It will streamline processes such as market analysis and regulatory compliance, allowing advisors to focus on complex problem-solving and strategic financial planning.

GenAI’s capabilities in generating text and multimedia content will aid in client communication and information dissemination.

While it won’t transform the core functions of financial advising, GenAI will augment efficiency and productivity in the profession.

How could AI or automation replace or complement job activities?

AI, automation, or LLMs could automate activities like digital data processing, memorization, and number facility for Personal Financial Advisors.

These technologies could assist in analyzing financial information, preparing reports, and monitoring market trends.

For instance, AI algorithms could process client data swiftly, allowing advisors to focus more on strategic financial planning and client interaction.

Job description

Assist clients with financial planning by providing advice on tax and investment strategies, securities, insurance, pension plans, and real estate. Responsibilities include evaluating clients’ financial situation, such as assets, debts, income, insurance, taxes, and goals. Some tasks may involve purchasing and selling financial assets on behalf of clients.

Consequence of Making Errors

48

(1-100)

Moderately serious Source
The seriousness of errors in personal finance doesn't directly indicate automation potential; focus is on tasks, not consequences.

How Repetitive is the Job?

52

(1-100)

Important Source
Jobs like Personal Financial Advisors face automation risks due to repetitive tasks. However, automation usually targets specific tasks, meaning some roles may evolve rather than disappear entirely in the coming years.
Average Anual salary USD$
$137,740
Number of profesionals in USA
506,000

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