Financial advisors are increasingly optimistic about artificial intelligence—but they are equally clear that AI will not replace human judgment anytime soon. New research from Advisor360 shows advisors embracing AI as a productivity tool while drawing hard boundaries around decision-making, compliance, and client trust.  

Advisor360’s 2026 Connected Wealth Report: AI Edition, based on a survey of 300 U.S.-based advisors across RIAs, broker-dealers, and banks, found that 74% say AI already helps their practice. Yet 93% insist that retaining final control over advice and decisions is non-negotiable.  

“Advanced AI in wealth management will be evolutionary rather than overnight, with trust as the primary gating factor—and trust is built over time,” said Darren Tedesco, President of Advisor360, told Connect Money. “Advisors want to understand how AI reaches conclusions, how it can be audited, and where responsibility ultimately sits.”  

That caution is reflected in adoption barriers. Fifty-five percent of advisors cite compliance and regulatory concerns as the main reason they haven’t expanded AI use, while 46% say they simply don’t trust AI outputs yet. “Until compliance frameworks mature, advisors are going to move deliberately,” Tedesco said. “That’s not resistance—it’s professionalism.”  

Validation matters. Nearly 39% of advisors want proof that AI tools have been tested by peers before allowing unsupervised use, and 34% say explicit compliance approval is required. “Trust isn’t theoretical,” Tedesco noted. “It’s earned through proven use cases, peer endorsement, and clear guardrails.”  

Skepticism is strongest around investments. Just 14% of advisors use AI to help identify investment opportunities, and only 3% rely on AI-generated recommendations. “Advisors who’ve been in the industry a long time are understandably skeptical of ‘black box’ models,” Tedesco said. “History shows very few approaches deliver durable outperformance.”  

Where trust already exists is administration. Advisors are using AI for meeting summaries, CRM updates, client preparation, and routine communications. “As trust grows,” Tedesco added, “AI will increasingly handle the repetitive work—freeing advisors to focus on judgment, relationships, and outcomes.”  

Even so, client conversations lag. Only 21% proactively discuss AI with clients, while 30% avoid mentioning it altogether, underscoring that in wealth management, transparency and trust move at the same deliberate pace as technology itself. 

Pictured: Darren Tedesco, President, Advisor360 

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