Consumers in New Zealand are open to using robo-advice as long as human advisers are also involved, a new survey has found.
According to the survey, commissioned by New Zealand wealth management company Kiwi Wealth, one in five respondents would consider using a robo-adviser to manage their retirement planning.
However, nearly half said they would prefer a human financial adviser over a robo-adviser for professional opinions and views, or for when there are changes in financial and personal circumstances.
"The survey findings clearly show that Kiwis see robo-advice as complementary to human financial advisers, rather than as a total replacement of experts,” said Joe Bishop, head of retail wealth and marketing at Kiwi Wealth.
“That reflects how new robo-advice is as a concept, and the lack of a proven track record for the technology here. However, that’s changing, and we expect things to only accelerate.”
The survey comes after the New Zealand government signalled its intention to allow robo-advice to be part of its review of the Financial Advisers Act 2008 in June.
Mr Bishop added that robo-advice is important, as it can make financial advice available to more New Zealanders.
“There are 2.6 million of us enrolled in KiwiSaver but only around 1,800 authorised financial advisers available to provide personalised advice,” Mr Bishop said.
“The human element will remain important in the advice mix, but robo-advice has the potential to democratise access to financial advice for all New Zealanders, particularly as KiwiSaver accounts grow and other investments play a role.
“The long-term well-being of the country requires us to manage our retirement investments well. New technology will make it easier for Kiwis to get the financial advice they need.”
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