AI still has a lot of catching up to do
Written by Kevin Okell on 12 June 2018
Feature first seen in Professional Adviser on 12/06/2018
A story in the press recently about a robot that is able to put together an IKEA chair touched upon something fundamental about robotics: that it is much tougher to programme physical dexterity than cognitive ability. It’s called Moravec’s paradox, and it explains why robots can beat the world’s best chess and Go players but cannot walk across a cluttered room. So when we talk about how AI and robotics are going to transform the financial services industry, we need to be careful.
By putting all our faith in robots, we are overvaluing the analytical side of financial advice and undervaluing its human elements. The FCA is guilty of this too, partly because it is harder to measure the value of human relationships than performance and portfolio management. What’s clear is that, at least for the foreseeable future, AI will augment financial advisers rather than replace them.
Company News
-
Improving treatment of vulnerable customers
Written by Sam Turner on 14 March 2019The financial services industry is lagging when it comes to identifying and servicing vulnerable customers, putting them at risk of both regulatory and reputational damage. While some businesses seem to be making progress – writing vulnerable customer policies, training staff and adopting front-line techniques – there is still a lot to be done.
-
Altus Consulting joins Insurtech UK as consultancy partner
Written by Mark Andrews on 12 March 2019Altus Consulting, a leading financial services consultancy, has officially become a partner of Insurtech UK, joining the first wave of associate members and partnership sign-ups of 2019. With the aim of becoming the definitive voice of the InsurTech community in the UK, the alliance has welcomed over 40 InsurTech start-ups since its launch in November 2018.