Asset and wealth managers are increasingly embracing artificial intelligence to enhance growth prospects.
- PwC’s report reveals a potential 12% revenue boost by 2028 for those adopting AI.
- 81% of asset managers plan strategic partnerships or M&A for tech advancement.
- An ‘extended tech ecosystem’ is a focus for innovation among managers.
- The majority of firms aim to consolidate technology capabilities.
Asset and wealth managers worldwide are increasingly turning to artificial intelligence as a strategic tool to drive growth. According to a recent report by PwC, the adoption of AI is not just a trend, but a significant move expected to yield a 12% increase in revenues by 2028. This projection underscores the profound impact that integrating AI could have on financial strategies globally, as firms seek to stay competitive and innovative.
The report, drawn from the opinions of 264 asset managers and 257 institutional investors, indicates that a substantial 81% of these professionals are looking towards strategic partnerships, mergers, and acquisitions as a method to bolster their technological frameworks. This trend highlights a collective shift within the industry towards embracing advanced technological solutions to enhance service offerings and operational efficiency.
Furthermore, there is a clear intention among these managers to establish an ‘extended tech ecosystem.’ This concept involves the integration of various technological resources and capabilities to foster innovation and provide comprehensive financial solutions. By doing so, asset managers aim to not only improve existing services but also create new opportunities for growth in a rapidly evolving market.
Overall, the move to consolidate and advance technological capabilities is not just about keeping up with industry trends. It’s a forward-thinking strategy focused on long-term growth and sustainability. As asset managers work to integrate these technologies, they position themselves to better address the changing needs of their clients and the market.
The strategic embrace of AI in asset management signals a transformative shift towards enhanced growth and innovation.
