Robo-Advice - Thematic Research

Robo-Advice - Thematic Research


This report analyzes the impact of robo-advice on financial services, with a focus on the prospects of different types of robo-advice in wealth management. It discusses technology trends, strategic trends, regulatory trends, and consumer trends in detail. The report also provides insights on optimization of the industry and the value chain through robo-advice. In addition, it covers the different types of provider entering the robo-advice market.

The market for direct-to-consumer robo-advice is crowded and ripe for acquisition, with many players pivoting to B2B. But the idea that robo-advice has failed is a misnomer. The tech and consumer mega-trends driving digitization are much bigger than any one robo-advisor - and they are irreversible. The question is how that’ll play out in the wealth space.

At the HNW end, wealth is a very human business. Change has been slow, but digital modules (or pieces of robo) are automating menial tasks and empowering advisors to have more high-value, high-impact interactions across a much larger book of clients. Incumbents are even white-labeling proven digital tools to independent advisors.

At the mass affluent end, the economics of that business make digital the only viable distribution model. This segment - soon to inherit vast wealth and already managing most of their lives through digital - represent the next generation of HNW individuals, and incumbents that are under-invested in digital today risk becoming less relevant to key decision-makers.


  • For HNW individuals, digital change has been slower, more contested, and patchier than elsewhere in financial services.
  • Social media has improved the research process both for individual financial advisors and for assessing robo performance.
  • As digital tools become more important across various parts of the value chain, providers are transitioning slowly towards cloud-native, API micro-services.
  • Investment advice is a heavily regulated part of financial services, with specific processes and procedures governing transparency, suitability of advice, and eligibility.
Reasons to buy
  • Understand the evolving robo-advice market and increasing digitalization in the wealth space.
  • Identify the key trends driving robo-advice.
  • Receive detailed insights related to changes in different aspects of the value chain.
  • Understand the changing market by learning about different providers entering the robo-advice space.

  • Introduction
  • Players
    • Table Figure 1: Who are the leading robo-advisors within different provider types?
  • Trends
    • Technology trends
      • Table Technology trends
    • Strategic trends
      • Table Strategic trends
    • Regulatory trends
      • Table Regulatory trends
    • Customer trends
      • Table Customer trends
      • HNW reasons for self-direction
        • Table Figure 2: Reasons HNW individuals self-direct
      • Robo drivers
        • Table Figure 3: Drivers of robo-advice usage among HNW individuals
        • Table Figure 4: Drivers of robo-advice usage among millennials
        • Table Figure 5: Drivers of robo-advice usage among mass affluent individuals
        • Table Figure 6: Mass affluent liquid assets are growing
      • Robo-advice deterrents
        • Table Figure 7: Deterrents of robo-advice use among HNW individuals
      • Robo-advice use
        • Table Figure 8: Types of asset management in each HNW portfolio
  • Industry analysis
    • Startup robos offer a better user experience than incumbents
      • Table Figure 9: Wealth managers agree startups provide a better user experience
    • Robo-advice will disrupt incumbent wealth services
    • Robo-advice is a prerequisite to attracting millennials
      • Table Figure 10: Wealth managers expect robo-advice to disrupt their business
    • Incumbents source robo capabilities through partnerships
      • Table Figure 11: Wealth managers see various opportunities
    • Cybersecurity is a bigger threat than robo-advice
      • Table Figure 12: Wealth managers are concerned about various threats
    • Wealth managers are investing in various technologies
      • Table Figure 13: Wealth managers are investing in various technologies
    • Market size and growth forecast
      • Table Size of the robo-advice market
      • Table Figure 14: Current robo-advice service provision globally
    • Deals, mergers, and acquisitions
      • Table Figure 15: Wealthtech deal value globally
      • Table Key M&A transactions
    • Timeline
      • Table Figure 16: Evolution of robo-advice
  • Value chain
    • Table Figure 17: All elements of the wealth management value chain will be impacted by robo-advisors
    • Impact of robo capabilities
      • Table Figure 18: All elements of the wealth management value chain will be impacted by robo-advisors
    • Customer acquisition
    • Onboarding
    • Needs analysis
    • Strategy and planning
    • Implementation and monitoring
      • Table Figure 19: Wealth managers' most important features
    • Disrupting the existing value chain
      • Table Figure 20: Digitization of wealth management will drive disruption
  • Companies section
    • Independents
      • Table Independents
    • Asset management firms
      • Table Asset management firms
    • Retail banks and credit unions
      • Table Retail banks and credit unions
    • Private banks/investment banks
      • Table Private banks/investment banks
    • Tech companies
      • Table Tech companies
    • Adjacent verticals
      • Table Adjacent verticals
  • Appendix: Our thematic research methodology
    • Viewing the world's data by themes makes it easier to make important decisions
    • Traditional research does a poor job of picking winners and losers
    • That is why we developed our "thematic engine"
    • How do we create our sector scorecards?
      • Table Figure 21: Our five-step approach for generating a sector scorecard
    • What is in our sector scorecards?
    • How do we score companies in our thematic screen?
    • How our research reports fit into our overall thematic research ecosystem
    • About GlobalData
    • Contact us
    • Disclaimer

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