Embracing AI in your financial planning business

By: Francois du Toit, CFP® , PROpulsion

Francois du Toit

AI  is turning everything on its head, including the financial services industry, and you need to be ready for it. Whether you are a financial adviser, a financial planner, a business owner, or a stakeholder, you need to adopt a mindset that welcomes AI as an opportunity, not a threat. In this article, I will explain the difference between everyday AI and game-changing AI, and why you need to develop your AI communication skills – especially prompt engineering – to succeed in the AI era.

It starts with mindset

The right mindset is crucial for learning and adopting new technologies such as AI. The story we tell ourselves about our abilities and potential can either limit or expand our opportunities. Your mindset influences how you approach new challenges, how you cope with setbacks, and how you grow from feedback. By having a growth mindset, you can embrace AI as a tool for learning and improvement. By having an abundance mindset, you can leverage AI as a source of innovation and value creation. By having a gratitude mindset, you can appreciate AI as a gift of human ingenuity and collaboration. Mindset is the foundation of your learning and growth.

Everyday AI vs Game-changing AI

AI is not a single idea, but a range of technologies that can do activities that usually need human intelligence. Some AI applications are already part of our everyday lives, such as voice assistants, chatbots, facial recognition, and recommendation systems. These are examples of everyday AI, which are designed to augment human capabilities and make our lives easier. Everyday AI is often narrow in scope, focused on specific tasks, and limited by data and rules.

However, there is another type of AI that is more disruptive and transformative, and that is game-changing AI. Game-changing AI is the kind of AI that can create new value, generate new insights, and solve complex problems. Game-changing AI is often general in scope, adaptable to different domains, and capable of learning from data and feedback. Game-changing AI is the kind of AI that can challenge the status quo, create new markets, and redefine the rules of the game.

As a financial professional, you need to be aware of both types of AI, and how they can impact your business and your clients. Everyday AI can help you automate routine tasks, improve efficiency, and enhance customer experience. Game-changing AI can help you discover new opportunities, create new products and services, and differentiate yourself from the competition. You need to embrace both types of AI and leverage them to your advantage.

The importance of AI communication skills

One of the most important skills that you need to develop in the AI era is AI communication skills. AI communication skills are the skills that enable you to interact with AI systems effectively and efficiently. AI communication skills include understanding how AI works, what it can and cannot do, and how to provide feedback and guidance to improve its performance. AI communication skills also include knowing how to communicate the value and limitations of AI to your clients, and how to address their concerns and expectations.

One of the most critical AI communication skills you need to master is prompt engineering. Prompt engineering is the art and science of designing prompts that elicit the desired response from an AI system. A prompt is a question, a command, or a statement that you use to communicate with an AI system. Prompt engineering is essential because the quality of the prompt determines the quality of the output. A well-designed prompt can help you get accurate, relevant and useful information from an AI system. A poorly designed prompt can lead to confusion, errors and frustration.

Prompt engineering is not only a technical skill, but also a creative and strategic one. You need to understand the context, the goal and the audience of your prompt. You need to use clear, concise and specific language. You need to avoid ambiguity, bias and assumptions. You need to test and refine your prompt until you get the optimal result. Prompt engineering is a skill that you can learn and improve with practice and feedback. And best of all, it transcends tools. Once you acquire the skill, you can use it with any AI tool.

AI is here to stay, and you need to be prepared for it. As a financial professional, you need to adopt a mindset that embraces AI as an opportunity, not a threat. You need to understand the difference between everyday AI and game-changing AI, and how they can benefit your business and your clients. You need to develop your AI communication skills, especially prompt engineering, to interact with AI systems effectively and efficiently. By doing so, you will be able to leverage AI to your advantage and stay ahead of the curve in the financial services industry.

Stay curious!

Francois du Toit founded PROpulsion, a thriving community for financial planners and advisers focused on helping them belong, grow and thrive. He hosts the PROpulsion LIVE podcast (every Friday at 8am live on YouTube) with more than 249 episodes and counting, sharing his 2.5 decades of experience and engaging with local and international guests to inspire and inform. Committed to learning and utilising new technology, he is on a mission to change lives at scale. Visit www.propulsion.co.za for more information.

Tagged under:

Visit the official COVID-19 government website to stay informed: sacoronavirus.co.za