St James’s Place (SJP), the UK’s largest wealth manager, has implemented AI technology in its call centres to detect and provide support to customers identified as potentially vulnerable. The move reflects a broader industry trend towards incorporating AI for operational efficiency and improved customer service amidst increasing regulatory scrutiny.
St James’s Place Implements AI to Identify and Assist Vulnerable Customers
St James’s Place (SJP), the UK’s largest wealth manager, has introduced artificial intelligence (AI) technology in its call centres to identify and support customers deemed potentially vulnerable. Announced by CEO Mark FitzPatrick at the Investment Association conference, the AI listens to call interactions for specific intonations and language cues indicative of vulnerability.
FitzPatrick, who joined SJP last year from Prudential, emphasized the company’s commitment to leveraging technology to enhance the productivity and effectiveness of its nearly 5,000 advisers. The introduction of AI comes as part of broader efforts by wealth managers to integrate technological solutions for operational efficiency and customer service.
Both wealth managers and regulatory bodies have heightened scrutiny of customer treatment practices, especially following the UK’s implementation of “consumer duty” rules in the previous year. In response to a surge in client complaints about service quality, SJP set aside £426 million in compensation for affected customers earlier this year.
SJP’s AI initiative is part of a wider trend within the asset management industry to use AI not only for client support but also for making informed investment decisions, identifying market opportunities, and streamlining administrative processes. FitzPatrick highlighted that the integration of AI should be a key topic in board discussions, acknowledging the significant investment and learning required in implementing these technologies.
The company, which manages approximately £170 billion in assets, has also faced criticism regarding its fee structures and was demoted from the FTSE 100 recently. In response, SJP has decided to eliminate the exit charge on some products for new customers starting next year and has announced other fee-related reforms.
In the broader context, other major financial institutions, such as JPMorgan, are also expanding their use of AI to enhance decision-making processes and ensure regulatory compliance. Despite the growing reliance on AI, many wealth management clients still prefer direct interactions with human advisers, pointing to the ongoing balancing act between technology and personal service in the industry.
