The FSC has released new research highlighting the growing role of digital advice in improving access to financial guidance and supporting better retirement outcomes.
The report, The Role and Value of Digital Advice in Australia, draws on analysis by CoreData and Borromean Consulting, exploring the evolution of digital financial advice through industry interviews and national consumer research.
The findings show that these tools are emerging as a trusted, accessible alternative to unregulated online sources, but are not replacing professional human advice.
The report notes that a majority (56%) of Australians with an ongoing relationship with a financial adviser see digital advice tools as valuable alongside human advice, with strong support also among those with ad hoc (47%) or no prior advice relationships (42%).
“With the cost of full financial advice remaining high under current regulatory settings, digital tools are playing an increasingly important role in bridging the advice gap, the report’s authors state,” states the report.
FSC CEO Blake Briggs said: “Digital advice is complementing traditional advice by meeting Australians where they are – providing simple, accessible guidance that can scale with their needs over time.
“In an environment where many are seeking financial peace of mind and turning to unregulated ‘finfluencers’ and artificial intelligence for information, digital tools from trusted providers offer a more reliable pathway to informed decision-making and greater confidence.”
Briggs added that progress in providing accessible advice is happening regardless of the pace of Government reform.
Key conclusions of the report
- The industry is no longer questioning whether digital advice has a role, but how it should be deliberately and coherently integrated
- Capacity constraints, rising costs, and demographic changes mean traditional advice models alone cannot meet demand
- Digital advice is widely used across super funds and advice businesses for engagement, modelling, implementation, and adviser support
- Within advice businesses, digital tools are increasingly seen as productivity enhancers rather than replacements for human advisers
- Clients need help building confidence to act, not just more information
- Digital tools work well for simpler decisions, while human advice remains critical for complex, high-stakes choices
