UK Wealth Managers Spend More Time on Admin, Avaloq Finds

The report says 90 per cent of UK wealth managers believe AI will benefit the industry, but 44 per cent of UK investors want it removed from product recommendations. Avaloq said the gap points to a need to build client trust as firms adopt the technology. “Trust, when it comes to wealth management, is a long game,” said Suman Rao, the company’s managing director for the UK and Ireland. She added that the need for human engagement remains “still very much intact.”

Administrative workloads are a barrier to spending more time with clients for 63 per cent of UK managers, while 40 per cent cite insufficient automation. Only 28 per cent are satisfied with their firm’s technology, and 58 per cent say their organisation is moving too slowly on digital transformation, compared with 50 per cent worldwide. A further 63 per cent identify poor internal collaboration as an obstacle to personalising data.

The research drew on surveys of 480 wealth management professionals and 4,256 investors across 21 markets. Globally, two-thirds of professionals rely on four to nine systems, and 40 per cent say those platforms are not tightly integrated. Administrative work and compliance requirements were each named by 54 per cent as barriers to client-facing work. Thirty-seven per cent said their systems were outdated, while 48 per cent said they helped provide a high-quality client experience.

Investors are frequent digital users: 70 per cent access banking or wealth platforms at least weekly. They prefer self-service for checking balances (72 per cent) and making payments (68 per cent), but complex tasks such as mortgages still prompt demand for in-person support (43 per cent). Financial planning leans more toward digitally assisted support (37 per cent).

The report’s release coincided with Avaloq’s US market entry and launch of Avaloq Mosaic, a modular platform connecting investment data and portfolio processes across existing systems. Its initial capabilities are Portfolio IQ, which consolidates holdings, transactions and portfolio information from multiple sources, and Allocator, which applies investment strategies across client portfolios. The wider suite includes Agent Connect, giving firms’ AI tools governed access to verified investment data. Avaloq plans additional Tax, Asset Servicing and Lending modules. Managing director of Avaloq US Joel Lewis said US firms need technology for business transformation, M&A consolidation and data aggregation.