Host Jason Henrichs kicks today’s episode off with song — it’s not to be missed and neither are the conversations with Michael Kitces, Nerd’s Eye View and then Theodora Lau, Unconventional Ventures. The markets are a bit frightful and there is strain on individuals and financial service providers. Our guests address the role of technology and empathy.
Michael covers the role tech plays in financial planning. Much has been said of robo-advisors but there are parts of the process and the trusted advisor relationship that can’t be digitized. Tech makes you efficient but advice delivery, expertise and deep financial advisor relationships can’t be automated. Tech doesn’t supplant the human, it augments the human relationship, the right combination changing individual trajectories.
Money is emotional and current situations have people stressed. Theo addresses empathy. People need help managing money; many don’t have the right data, tools to take action, and lack discipline. Debt is going up and, with record inflation, savings are dwindling. A recent Tik Tok trend shows younger generations budgeting the way the Greatest Generation did…a.k.a. the envelope method. How do we help people understand implications before it’s too late? We need to keep learning, Tech and empathy– opposite ends of the spectrum — are they at odds?