Why do advisory channels persist despite digitalisation?

Advisory channels remain dominant where products are complex, long-term, or require personalised advice. Wealth management and insurance exemplify high cognitive load and trust dependency, limiting complete digital substitution. Advisors provide guidance on suitability, risk tolerance, and portfolio construction. Digital tools augment advisors rather than replace them, improving efficiency and compliance adherence. Studies highlight that hybrid advisory models increase client retention and LTV while maintaining fiduciary oversight (Deloitte, 2021; CFA Institute, 2022).