In the UK wealth management industry, there is just as much positivity about robotic technology as there is unease, according to new research.

Wealth managers in the UK are divided over the impact of "robo-advice", according to a survey by Vanguard.

Almost 40 per cent of the 70 wealth managers surveyed were optimistic about the rising trend, stating that robo-advice carried the potential for more efficiency as well as an opportunity to attract new clients to their business in the next five years. Equally, nearly 40 per cent of respondents said they viewed robo-advice as a threat to their business. 

A 7 per cent minority said there would be no impact to their business while 15 per cent were yet to form an opinion on the matter.

“The advent of the robo-advice age is creating significant hype and so it’s not surprising that wealth managers are considering the impact over the long-term,” said Janine Menasakanian, head of wealth for Vanguard’s UK business. 

Indeed, there have been an increasing number of industry players joining the robo bandwagon. Earlier this month, the UK arm of investment house Fidelity announced it was searching for a new programme manager to hold both discretionary and robo-advice responsibilities. In October, Pictet Asset Management launched a fund to invest specifically in robotics and artificial intelligence technologies.

“What we do know is that technology is here to stay, so wealth managers will need to consider how to embrace the advantages of technology whilst still emphasising the personal, trust and relationship-based parts of their value proposition,” Menasakanian said.