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Technology and the role
of financial advisors

Latin Americans rely on online channels as their main source of information when making long-term savings and investments decisions, and three-quarters use them to monitor and manage their finances online.

Most influential sources used in making long-term savings and investment decisions

Online channels are most used and influential resources

When looking to make long-term savings and investment decisions, many Latin Americans (52%) are turning to online sources, followed by speaking to family and/or friends (37%), their banks in person or over the phone (37%), and consulting a financial advisor (32%). When looking at most influential sources, online resources remain the most influential, but speaking to a financial advisor rises to second place (21%) followed by talking to banks in person or over the phone (20%).

Majority of Latin Americans are satisfied with their advisors

7 in 10 Latin Americans are satisfied with their advisors. Yet, fees are a pain point for many investors, given their high premium, and frequency of contact with their financial advisors. Moreover, among lapsed users, finding advisors that investors can trust to put their interests first, can provide advice which is relevant and work for a stable, reputable firm would most likely increase advice usage.

Factors likely to increase usage of Financial Advisors (among lapsed users)
Impact of monitoring investments online.

Technology enables Latin Americans to feel in control of their finances

Approximately three quarters of Latin Americans monitor their investments and savings online at least once a month. Enabling investors to explore, monitor, and think critically of their investments technology, has helped investors feel more in control, reassured, knowledgeable about their investments’ performance and encouraged to keep investing.

Technology complements advice offerings

While technology is a leading force in motivating diverse demographics to engage with their finances, as almost a quarter say it has encouraged them to keep investing, it is not necessarily competing with advisors. Instead, it can complement their offerings. While 64% of respondents say they would consider buying an investment online, 46% of those say they would do so after having spoken to an advisor, and another 12% say they would do so if an advisor was available online or on the phone.

Willingness to buy investments online.
Adoption of digital advice.

Adopting digital advice

Digital advice is another technology Latin Americans can use to start and build their investments. While few currently use a robo advisor, 70% would consider the service. According to digital advice considerers, the most appealing aspects of this technology are its ease and convenience, simplicity, and the ability to use it at any time. Robo advisors are not necessarily seen as a replacement to advisors, as 69% of considerers say they would use this technology in addition to an advisor, not instead of one.

Take action

A personalized combination of financial advice, transparent risk management and technology can help Latin Americans assume control of their financial futures and accomplish their long-term goals.