Standard Life Aberdeen has re-stated its commitment to developing a robo-advice proposition, following today's announcement it is selling its life and pensions business.
In its financial statements for 2017 the company said it is ‘developing our capability in offering automated advice based on customer data, or “robo-advice”.’
Previously Barry O’Dwyer, until now Standard Life Abderdeen’s life and pension chief executive, told New Model Adviser® the company was significantly investing in the digital proposition in order to fill the advice gap (see full video below).
‘If we think we have an advice gap now it is going to be massive in 10 years’ time. We could sit back and watch that happen but what we wanted to do is part of the solution.
‘1825 is about building for the future. We see a massive advice gap part in the middle market and we need to fill that gap. Actually we will probably fill it a lot with digital advice.
‘In 10 or 15 years I think the vast majority of people will get advice online, some people will need telephony back up to that, and then for some people face to face advice will be crucial,’ said O’Dwyer.
Standard Life Aberdeen is working with the FCA on its advice unit to make progress on its digital advice.
‘We are working with the FCA on the advice unit in trying to figure out how we deliver advice at scale, compliantly,’ said O’Dwyer.
In its 2017 financial statements, Standard Life Aberdeen said another reason for developing this area was to help the business grow.
‘We are investing in technology that helps us to become more scalable and operate more efficiently, and the merger allows us to bring together the best of our platforms.
‘Our work to improve the experience we offer our pensions and savings customers includes integrating our workplace solutions with our clients' existing technology, and developing our capability in offering automated advice based on customer data, or “robo-advice”,’ the company stated.
Hear about Standard Life's robo-advice ambitions in our exclusive video interview from November 2017, below.