As Margins Shrink, Advisors May Need To Charge Hourly, IBM Watson Exec Predicts

One engagement mechanism that's quickly emerging in fintech this year is augmented intelligence, which is technology that supplements human technology rather than replacing it.

“Augmented intelligence is the method that financial advisors will be using to help their clients conceptualize the reasoning they need to make financial decisions by relating events in the current financial market and scouting out potential declines very fast,” said Sironi. “Augmented intelligence as opposed to artificial intelligence accelerates the reasoning services of a financial advisor that otherwise might take a lot more time by helping clients understand the pros and cons of the decisions they are faced with.”

Sironi further informed the audience of financial advisors that the high-net-worth market will no longer be the haven it has been.

“Segmentation will not be by wealth but rather technical literacy because high-net-worth individuals are known to adopt solutions that were designed originally for the lower-income demographic but because it's convenient and it adds value, the wealthy use it," Sironi said. “Whatever market you are serving, whether it’s wealthy or not, experience will need to be consistent because added value will be measured according to the complexity and richness that an advisor's services bring to the equation.”