Morgan Stanley has recently made strides in incorporating artificial intelligence into its financial advisory services with the introduction of its new AI assistant named Debrief. This assistant is designed to streamline the work of the bank’s financial advisors by automating tasks that would typically take up thousands of hours of labor. Debrief keeps detailed records of advisors’ meetings and generates draft emails and summaries of the discussions, significantly reducing the manual effort required from advisors. This move marks a significant step in the utilization of generative AI within a major Wall Street bank.
Unlike previous AI efforts within the company that focused on research assistance, Debrief directly impacts advisors’ interactions with their most valuable asset: their relationships with high-net-worth clients. According to Jeff McMillan, Morgan Stanley’s head of firmwide artificial intelligence, Debrief, powered by OpenAI’s GPT-4, is capable of participating in client Zoom meetings, taking over the note-taking responsibilities from advisors or their junior staff. The program’s ability to produce high-quality and comprehensive notes has proven to be superior to that of the average human note-taker, according to McMillan.
Client Consent and Future Applications
It is worth noting that clients must consent to being recorded whenever Debrief is being used. Future iterations of the program are expected to enable advisors to utilize it on corporate devices during in-person meetings as well. This rollout serves as a testing ground for the potential productivity gains associated with generative AI, a technology that has been gaining momentum on Wall Street and impacting various sectors, including chipmakers, tech companies, and the broader U.S. stock market.
Morgan Stanley’s wealth management division conducts approximately 1 million Zoom calls annually, providing a significant opportunity for Debrief to optimize advisors’ workflows. Early estimates suggest that the program saves around 30 minutes of work per meeting, allowing advisors to allocate more time towards client service and lead generation activities. By eliminating the manual note-taking process, advisors can be more attentive and engaged during meetings, ultimately enhancing the client experience and relationship.
As Morgan Stanley ventures into this “grand experiment in productivity,” the anticipated outcome is an increase in advisors’ focus on client service and business development. The technological advancements are expected to drive growth in assets under management and improve client and advisor retention rates. With the bank’s ambitious goal of reaching $10 trillion in client assets, the successful implementation of AI tools like Debrief will play a pivotal role in achieving this target.
AI adoption in the financial services industry, particularly in wealth management, has the potential to revolutionize the sector by automating routine tasks such as proposal generation, portfolio management, and report creation. By simplifying these processes through AI prompts, advisors can redirect their energy towards more value-added activities. Finance jobs, as highlighted in a recent Citigroup report, are among those most susceptible to displacement by AI, signaling a shift in business models and operations within the industry.
Looking ahead, Morgan Stanley envisions AI as a foundational element that seamlessly integrates into advisors’ daily tasks. The ultimate goal is to create a technology layer that assists advisors in various functions, ranging from administrative tasks to client interactions, ultimately enhancing efficiency and performance. As AI technology continues to evolve, the need for prompt engineers to train AI systems and optimize outcomes will become increasingly crucial, requiring adaptability and new skill sets from professionals in the field.