The machines are coming…

Despite starting with zero AUM in 2012, the growth of robo-advice has surged to touch $14 billion in AUM at the end of 2014 and could grow to $5 trillion in 10 years, believe Citi analysts. However, Haley A Tam and team at Citi also said in their Sept. 3 research report titled: “Rise of Machines: Retail revolution” that there will always remain a place for face to face, bespoke “quality” advice for those with higher value portfolios.

Get The Full Series in PDF

Get the entire 10-part series on Charlie Munger in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues.

Robo-advisors could pose substitution threat

Tam and team note that the financial industry has witnessed a lot of technology-led innovation and change, and the analysts see robo-advice as a new and growing disruptive innovation in this field. The following sets forth SWOT analysis on robo-advisers:

SWOT analysis Robo-Advisors AUM Robo-Advisors AUM

Please login to view the rest of this article - Not subscribed? Get our adfree exclusive content for only a few dollars a month.

It also helps us fund our operations so think of it as supporting quality journalism.