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Humanizing A.I. to Deepen Client Relationships

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Today’s Speaker

EVAN CARROLL

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Today’s Webcast

1. Understanding Artificial Intelligence

2. Applications of AI for financial advisors

3. Preparing my practice for AI

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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HIGH-TECHor

HIGH-TOUCHthat is the question…

LET PEOPLE DOWHAT PEOPLE DO BEST

LET TECHNOLOGY DOWHAT TECH DOES BEST

Understanding A.I.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Understanding A.I.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Narrow AIWhen a machine is trained to do a particular task

General AIWhen a machine capable of handling any generalized task

Understanding A.I.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Conversational AI

Pattern Recognition

Decision Analysis

Big Data

Deep Neural Networks

Machine Learning

Understanding A.I.

machine learningnoun. the study of algorithms and statistical models that computer systems use to effectively perform a specific task without using explicit instructions, relying on patterns and inference instead.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Input ▶ Output

x ▶ ?

x ▶ ?

Understanding A.I.

machine learningnoun. the study of algorithms and statistical models that computer systems use to effectively perform a specific task without using explicit instructions, relying on patterns and inference instead.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Input ▶ Output

x ▶ ?

x ▶ ?

Understanding A.I.

Identify when a portfolio is out of balance and suggest new investments to correct the allocation

Suggest possible investments based on a client’s investment strategy and current performance

Execute transactions based on a set of pre-determined rules

Manage an ETF on its own, selecting an allocation and ordering trades

Determine what’s important to a client and set up plans and goals to serve the client

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Narrow A.I. is good at completing tasks given a specific goal.

Who will determine those goals?

Applying A.I.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

How can A.I. help you deepen client relationships?

Deeper Relationships

Always-on portfolio monitoring

Proactive insights and alerts

Unbiased trend analysis

Frees up human time to focus on relationship building

Predict client attrition

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

How can A.I. help you be more responsive?

Increase Responsiveness

Automatic response to client queries

Proactive next best actions

Real-time allocation adjustment

Real-time response to changing markets

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

How can A.I. help you be more ready to serve your clients?

Improve Readiness

Access to more data than a single human

Easily understand the entire tax code

Learns from all of the clients in your practice

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Preparing Your Practice

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Preparing Your Practice

Fact: A.I. is as good as the data available for learning.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Action: Organize your data into one system.

Preparing Your Practice

Fact: A.I. is not going away—it’s here to stay.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Action: Embrace change to remain competitive.

Preparing Your Practice

Fact: Intuition still plays a role in decisions.

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

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Action: Use A.I. as a tool, but not as a crutch.

“Although the potential for success is enormous, delivering business impact from AI initiatives takes much longer than anticipated”

— GARTNER

Personal Financial Planning SectionTax | Retirement | Estate | Risk Management | Investments

Questions?

Personal Financial Planning Section Tax | Retirement | Estate | Risk Management | Investments

AICPA PFP Section Member Resources

Personal Financial Planning Section Tax | Retirement | Estate | Risk Management | Investments

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PFP Section members, inclusive of CPA/PFS credential holders, have access to resources on the latest planning strategies and trends in personal financial planning services so that they can practice competently and profitably. Visit aicpa.org/pfp/resources.

Estate

Investment

Legislative/Regulatory

Tax

Insurance & Risk Management

ProfessionalResponsibilities

Retirement

PracticeManagement

ConsumerContent

Upcoming PFP Section EventsWebcasts (View complete schedule for 4 free events per year with CPE for PFP/PFS members)

Conferences

Personal Financial Planning Section Tax | Retirement | Estate | Risk Management | Investments

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May 131 – 2:45pm ET

Addressing your clients’ tax and planning needs after tax season(Free CPE)

May 221 – 2:15pm ET

Rethinking risk tolerance for retiring clients

June 191 – 2:45pm ET

The risks of uncompensated risk in investment portfolios

June 9-13, 2019 AICPA ENGAGEAdvanced PFP ConferenceAdvanced Estate Planning ConferenceTax Strategies for the High Net Worth Individual

CPA/PFS News and Events• PFS Referral Program

– Receive 100% credit to apply toward future CPA/PFS dues by referring a CPA to become a PFS or sit for the PFS exam

• PFS Exam– Register now for upcoming exam windows– Discounts, sponsorships and volume pricing available

• Education Opportunities– PFP certificate program: in-depth courses in estate, retirement, tax, investments, insurance,

and PFP process– In-person and online PFP Boot Camp – Self-study PFS exam review course

• Learn more at aicpa.org/pfs

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