Key Challenges For Asset &Ā Wealth Managers

According to Deloitte, client's expectations for more personalized solutions and timeliness are at an all-time high

More complex markets means explaining in a clearer way performances and writing reports is becoming tougher than ever

KPMGĀ says that institutional investors are facing rising costs and profit margins are facing increased pressure

Source: Deloitte, 2024 Investment Management Outlook; KPMG, Improving Margins For Institutional Investors; KPMG, Cutting Through Complexity


ā€Market complexity and client demands are higher than ever


Asset & Wealth Managers Are Solving Challenges With AIĀ Integration

By the end of 2024, Gartner says that global tech spending is projected to reach an impressive $5 trillion, indicating the escalating significance of technology as a competitive advantage. Institutional investors are increasingly prioritizing fee reduction, technological advancements, and tailored solutions.

Due to their ability to streamline investment processes and augment overall value, AI applications are confirmed to have a leading role for asset and wealth managers.

AIĀ Integration Brings Numerous Benefits

Artificial Intelligence (AI) is providing new opportunities which extend beyond cost reduction and efficient operations. Deloitte Globalā€™s latest report, Artificial Intelligenceā€”The next frontier for investment management firms, showcases how AIĀ integration translates into numerous benefits across organisation as a whole.

Enhance Operational Efficiency
Customer Experience

AI is helping Asset & Wealth Managers tackle market complexity

AI-Driven Investment Insights &Ā Market Outlook
Thanks to AI, CIOs, Portfolio Managers & multi-asset teams can leverage unbiased investment insights to combine their own view with AIā€™s suggested positioning and enhance their strategic and tactical asset allocation at sector and industry level

Higher Margins &Ā Faster Growth
According to Deloitte, AIĀ integration can increase productivity by 13.8%, AuM by 8.1%, and revenues by 7.7%

Source: MDOTM, The Science Behind Sphere; Deloitte, Wealth and Asset Management 4.0; CFA Institute, ā€œArtificial Intelligence in Asset Managementā€


Investment firms are leveraging AIĀ to improve productivity and profit margins

Tommaso Migliore
CEOĀ &Ā Co-Founder

AIĀ Adoption Brings Profitability & Streamlines Processes

"A growing number of institutional investors is actively seeking the integration of AI to achieve highly personalised solutions, optimise portfolios, and enhance risk management.

As shown in PwC's Global Investor Survey, more than three-fifths of investors perceive AI as indispensable for value creation, signaling a trend unlikely to stop anytime soon."

How Artificial IntelligenceĀ Can Enhance The Investment Process

Drag the cursor to see in which areas AIĀ can support your investment process.

MDOTM - How AI can add value to the investment process.

Top AIĀ Use Cases For Investment Professionals

Portfolio Construction & Rebalacing At Scale
With AI, investment managers can systematically achieve an optimal portfolio construction that overperforms traditional mean-variance approaches and reduces deviations from their targets

Automated Reports & Commentaries
Automatically give your clients AI-powered commentaries that explain your portfolioā€™s positioning.

Hyper Customization At Scale
Asset & Wealth managers can now offer hyper-customized portfolios to their final clients and manage thousands of portfolios simultaneously

Sources: CFA Institute, ā€œArtificial Intelligence in Asset Managementā€; MDOTM, The Science Behind Sphere; BCG, ā€œReshaping Business with Artificial Intelligence; Deloitte, ā€œWealth and asset management 4.0ā€


AIĀ can help investment professionals build &Ā rebalance portfolios at scale


ā€œImagine a customer asking the names of top drivers of alpha in their portfolios. A fully developed, generative AI Ā could perhaps answer that question in a matter of seconds, which might be hours faster than pre-generative AI processes could generate.ā€

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Watch The Full Research Podcast

In this podcast session, Tommaso Migliore, CEO & Co-Founder of MDOTM Ltd, and Peter J. Zangari, Partner & Head of Americas of MDOTM Ltd, delved into the implications of the previosuly mentioned findings for investment professionals. They explored the path of AI adoption among asset and wealth managers, shedding light on what these insights mean for the industry as a whole.