More Than Half of Advisers Already Use AI, per Betterment
The firm’s second adviser survey identified how younger advisers—Millennials and those in Gen Z—use artificial intelligence differently than older colleagues.
Millennials and Generation Z are stepping into financial power—and they’re bringing a new set of expectations that advisers cannot afford to ignore. With trillions of dollars expected to pass to younger generations from Baby Boomers —a phenomenon often referred to as the Great Wealth Transfer—and artificial intelligence reshaping nearly every aspect of financial services, traditional advisory models are under pressure to evolve. According to Betterment’s 2025 Advisor Survey, this shift is about more than generational wealth—it is about how younger clients want to engage and how a new cohort of tech-savvy advisers is stepping up to meet them.
Unlike older generations, who favored in-person meetings and hands-on portfolio reviews, today’s investors are gravitating toward digital-first experiences that prioritize convenience, automation and transparency. Many want to interact with their adviser the same way they manage the rest of their lives: through intuitive tech and on-demand access.
In turn, there is an influx of newer, more tech-forward advisers. According to Charles Schwab’s 2024 compensation report, 46% of employees at registered investment advisers are younger than age 40.
“Younger investors desire a more digital experience and prefer to spend less time managing their investments,” said Betterment CEO Sarah Levy in a statement. “Advisers who embrace new technology will be the ones to win tomorrow’s clients.”
The Rise of AI in Wealth Management
An important trend highlighted in the survey is the growing adoption of AI across advisory practices. Most than half (53%) of surveyed advisers told Betterment they use AI to stay informed on industry trends—outpacing even social media, used by 48% of respondents for the same purpose.
AI is being leveraged differently across age groups. Gen Z and Millennial advisers reported using AI primarily to simplify administrative tasks, freeing up more time for strategic client interactions. Older advisers, meanwhile, reported turning to AI to improve the quality and consistency of their client communications.
But with innovation comes worry. The survey found that, despite their comfort with technology, younger advisers were the most concerned about competition from AI tools like ChatGPT. The idea of a robo-adviser offering comparable guidance at scale is not just a hypothetical threat—it’s something 65% of advisers, across all age groups, are actively worried about, according to Betterment’s data.
The Betterment online survey, now in its second year, was conducted from June 12 through June 17 and completed by from 500 independent RIAs nationwide, each managing between $10 million and $250 million in assets.