M&G Wealth has appointed Ignition Advice to develop a low-cost hybrid robo-advice offering.
Expected in the last-quarter of 2021, the firm said advice will still be provided by a human adviser but backed by digital technology.
It will be targeted at the company’s existing customers before being offered more widely.
M&G said the new robo-adviser would reduce the time and cost to deliver advice, allowing improved outcomes for those seeking to invest or retire with smaller sums of money.
The service will be delivered through its existing advisers and be complementary to the support M&G provides to independent financial advisers.
Richard Caldicott, deputy chief executive officer at M&G Wealth Advice, said: “We want as many people as possible to access advice in an efficient, understandable, convenient, affordable and sustainable way.
“There is no doubt that there is a large population of investors who would benefit greatly from financial advice but they perceive it to be inaccessible and too costly.
“This is at the root of the advice gap and something we are fully focused on addressing.”
This latest launch follows a raft of changes as the firm set out plans earlier this year (February 2021) to launch its own adviser academy as part of plans to “radically increase” numbers in its self-employed arm.
Additionally, in March, adviser platform Ascentric and Prudential Financial Planning confirmed a rebrand to the M&G name.
Ignition Advice specialises in enabling large organisations to develop direct to customer advice solutions and experiences.
It is headquartered in Sydney and announced its move into the UK in May 2021, establishing new teams in London and Edinburgh, following on from its Dublin presence since 2017.
Caldicott added: “We want to be innovative, flexible and accelerate our delivery in all aspects of advice through first class digital experiences for our customers.
“Our whole focus in M&G Wealth is to enable our clients to have the best possible financial futures by building a planet friendly advice service which is accessible and inclusive for all.
“After a thorough due diligence process Ignition Advice is a fantastic partner to enable us to do just that”.
Terry Donohoe, CEO Europe at Ignition Advice, said: “Digitally-led solutions make advice more accessible, easier to navigate and more cost effective, while still retaining the benefits of human relationships.
“We share M&G’s commitment to delivering accessible, inclusive advice for all and are delighted to be partnering with them to both evolve their offering to clients and further scale their proposition in the market.”
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