There is a fine balance to strike when it comes to introducing new technology and passing potential increased costs to end clients.
Jen Paice, CEO of Aberdein Considine Wealth, said it is about balancing the costs of new technology with the benefits it could bring to clients.
She said: “When you're trying to run the business, and you are having to think about bringing in that technology, it is about balancing it with cost to serve - Is it costing the client more?”
Paice said she was concerned there could be an increased cost to the end client rather than a reduction.
She said companies need to consider the cost of new technology alongside platform and investment charges, as well as the cost of running the business.
“There is a point where you ask, is it actually going to cost the client more?” said Paice.
“That is what I'm worried about. We want to deliver better and want to deliver to more people so therefore you need the technology and there is a really fine balance of whether all of this technology is actually going to make it cheaper for the client."
However, Matt Wiltshire, adviser and co-founder of ZeroKey, argued the use of technology can save advisers time.
He said using technology for the fact finding process can mean time with clients is “as efficient as possible”.
He added: “My view is that it's about making sure the time we're spending with clients is as efficient as possible, and we're using that time to, show off our expertise.
"We do all these exams have all this knowledge but half the time is spent asking 'is that actually what your pension is?' or 'Where is it invested?'"
Alastair Conway from FNZ Wealth said the “magic” of financial advice is the human element of the job which technology can help with.
He said technology has the opportunity to reduce costs for advisers.
The comments were made in a panel on the benefits of technology at the Lang Cat's conference in Edinburgh on Thursday (October 3).
tara.o'connor@ft.com
What's your view?
Have your say in the comments section below or email us: ftadviser.newsdesk@ft.com
