SIFA with Alan Gurung | E277

Bringing AI to advisor administration.

On today's episode, Jason Pereira is going to talk to Alan Gurung, CEO of SIFA. It is an artificial intelligence-powered platform for financial advisors to leverage their data, be more efficient, and garner insights from that data.

Episode Highlights:

  • 01:23: Advanced technology was mainly carried to the point of replacing financial advisors through things that move advisors. Jason and Alan will discuss generative AI and how much generative AI is being used in Robo advising.

  • 01:52: It is a man versus machine argument instead of a man and machine argument.

  • 02:51: Generative AI seems almost scary to many, but the reality is the future belongs to those who utilize the robot correctly.

  • 05:29: AI works on explicit rules and logic to solve specific problems and is very rigid. Prerequisite rules and logic have been put together, whereas generative AI works a lot more on patterns. It's able to create new content on the back of those patterns that's been exposed.

  • 06:37: In SIFA, Alan and his team gain data that financial advisors use. They analyze the endpoint of all financial advisors trying to do with that data and trying to streamline that process as much as possible. So, the moment when people come on to decipher, what they can do is they can import their unstructured data through recordings from meetings or notes from meetings and start to have a conversation with that data.

  • 07:32: Unstructured data means just dumping stuff that may not have a standard format in one place doesn't have to be standardized, and letting the system figure it out in this case, which is pretty fantastic, says Alan.

  • 08:31: It's important to reiterate that it's not only the advisor that's communicating the data but cipher can also communicate back with the advisor, and what this means is from the notes that you've imported either from an integration that we have with Red Tail or with Dropbox or any other custodians.

  • 12:20: Alan explains how they come right at the start of the process of individuals once they record the meeting, they can import them into the cipher as well as gather data from all the other areas.

  • 13:15: Think about where advisors tend to spend the most amount of time or rather where they pay people to end up, saving them a lot of time, it's the middle and back-office side of things.

  • 14:11: People just hire other people to do stuff they hate as opposed to improving that process.

  • 17:32: Alan explains what the future of their application is what other features they are planning to implement.

  • 19:53: Alan sees support chats on every website, but in some of these to date the bots have been very, very rudimentary.

  • 21:45: The main reason why individuals don't end up getting financial advice is because they don't see the benefit of themselves in that specific situation.

  • 23:45: The difficulty for Alan has been to work alongside data, and for a lot of financial advisors they realize the impact AI and machine learning might have on their overall business. 

  • 26:02: Alan says that if he and his foundation could create a future in which obtaining financial advice is so much easier than it is now known from the pricing perspective, but also from the technology, then he will be incredibly happy if this all the impact that they made in the world.

3 Key Points:

  1. Alan explains about AI and generative AI and how they are different. 

  2. Alan talks about the integrations that they have done. He explains custodial integrations and couple of other CRMs.

  3. Alan explains how they are fundamentally changing the nature of the work in the back and middle offices.

Tweetable Quotes:

  • "SIFA is a virtual assistant that allows financial advisors to communicate with their data and generate insights." - Alan

  • "A lot of individuals who seek out financial advisors one of the main reasons they do so is because they don't have the knowledge for certain questions they want to answer. But in actuality, a lot of people don't even know what questions to ask." – Alan

  • "Small finance advising has been a somewhat delicate dance between logical decision making and emotional decision." – Alan

  • "The interesting thing about the financial advice industry is that the demand for financial advisors is greater than the supply of financial advisors." – Alan

  • "If I can teach other people how to be better with their money, maybe I can be better with my money as well." - Alan

Resources Mentioned: