In a world of increasing hype around artificial intelligence, experience from other industries shows that honing professional skills is the key to success.

A new study in healthcare offers a striking lesson for the age of artificial intelligence. Doctors using AI-assisted tools were more effective in spotting pre-cancerous growths — but once those same doctors returned to unaided practice, their detection rates fell by nearly 20 per cent. Reliance on AI had begun to erode some of their core professional skills.It’s a cautionary tale that applies beyond medicine. AI can begin as a powerful enhancement but, left unchecked, it risks breeding mindless dependence. For industries built on deep expertise and trust, wealth management among them, the question is not whether to use AI, but how to use it without hollowing out the very foundations of the profession.

When dealing with clients with significant wealth and complex needs, these lessons ring especially true. Their wealth manager is not just an adviser, but often a sounding board, a guide and someone who helps families work through difficult conversations. They don’t simply want a model that optimises returns; they want someone who can listen to their ambitions, their desire for legacy, their philanthropic goals and translate those into a financial reality. No algorithm, however sophisticated, can replace that relationship.

AI-driven tools are increasingly woven into the industry: financial analysis, portfolio management and even client communications. These tools are designed to improve efficiency, enhance decision-making and reduce human error.

At the mass market level, AI-driven tools like robo-advisers can offer cost-effective, automated investment recommendations based on near-instantaneous analysis of client risk preferences and goals. Unsurprisingly, AI-driven investment tools are predicted to become the primary source of advice for retail investors by 2027, according to consultancy Deloitte. Assets under management of robo-advisers are forecasted by PwC to reach nearly $6tn by that time. What was once considered a defunct business model is now very much back in the game.

Robo-advisers may be well suited to the mass market, offering algorithmic efficiency at scale. But for those with complex balance sheets, cross-border assets, or multi-generational ambitions, the stakes are too high and the nuances too subtle for automated decision-making. This is where wealth managers must resist ‘AI complacency’ — the temptation to let machines do the heavy lifting — and instead use AI selectively, as a tool to elevate their judgment rather than dull it.

For those with complex balance sheets, cross-border assets, or multi-generational ambitions, the stakes are too high and the nuances too subtle for automated decision-making

Advice must therefore blend personal and financial insight, with research from S&P Global showing that while AI can automate routine financial analysis, investors are less responsive to forecasts when they are aware that AI is behind it. Clients don’t confide in a data model. They confide in people they trust.

So where should wealth managers draw the line? AI has a clear role to play in processing large data sets, monitoring risks, or rebalancing portfolios. But its value lies in complementing, not replacing, human expertise.

Wealth managers must stay engaged in core activities to preserve their knowledge. Firms should invest in ongoing education and professional development to ensure their teams remain sharp and up-to-date on market trends, financial strategies, and client relations. Regular training can help professionals understand the limitations of AI tools and use them as a supplement rather than a crutch.

As an extension of this, AI should be used for what it excels at (such as processing large data sets or portfolio modelling), but wealth managers should remain involved in interpreting complex data, determining client preferences and making final recommendations.

Clients must also understand how AI is used in managing their investments. Transparency is key to a successful relationship, and firms should clearly communicate the role of AI in the advisory process and how it is used to enhance human judgment. Open discussions about AI’s strengths and limitations will allow clients to feel more secure in their dealings with wealth managers.

Transparency is key to a successful relationship, and firms should clearly communicate the role of AI in the advisory process and how it is used to enhance human judgment

To prevent over-reliance on AI, wealth management firms should establish regular review cycles for AI tools and their outputs. This ensures the tools are performing as expected, that human oversight is maintained and that the firm’s overall service quality remains high. Firms should regularly audit AI-driven decisions, ensuring they align with the business’ ethical guidelines and client needs.

While AI can offer valuable insights into client preferences and needs, it cannot replace the personal connection that wealth managers build with their clients.

For complex clients, wealth management will never be about simply optimising a portfolio. It will always be about optimising a lifestyle. AI can accelerate data analysis, but only a trusted adviser can interpret the complex reality that sits behind the numbers.

In a world gripped by AI hype, the firms that win will be those that strike the balance: embracing technology where it adds value but never losing sight of the enduring truth that human connection is the real differentiator.

Martyn Johnson, chief transformation officer, Multrees