The US-based organization spells out what it sees as top priorities for different parts of the wealth management space.

Berwyn, PA-headquartered Envestnet, the US platform and tech group that was bought by Bain Capital in 2024, argues that two themes will dominate the advisor and RIA landscape going forward: Enhancing portfolio outcomes for clients by addressing underperforming products, and leveraging tax strategies such as tax-loss harvesting.

The firm has issued its report at a time when more advisors are turning to advanced technology to enhance their decision-making, with a clear trend in the industry toward the adoption of artificial intelligence.

While only 9 per cent of practices surveyed offer AI tools, nearly three-quarters (72 per cent) plan to incorporate AI into their practices within the next three years, Envestnet said, citing figures from Cerulli Associates. 

Envestnet said it is integrating AI through its Insights Engine, which it says helps advisors uncover data and make more informed decisions. 

In its list of top 10 A-driven insights for RIAs, Envestnet puts “address underperforming products” in first place, followed in second spot by “optimize tax loss harvesting” and “flag high-fee products” in third. For its list of insights as applying to enterprise financial advisors, the first and second themes are the same as for RIAs; in third place is the theme of “fill life insurance gap.”

The firm said that in 2024, enterprise advisors and RIAs have prioritized identifying underperforming products and opportunities for tax-loss harvesting. However, there are notable differences in their third-ranking insights, Envestnet said.

Another prominent theme is "retiring this year" – showing how many RIAs and advisors are looking to exit the workforce.

"Having underperforming products and tax-loss harvesting at the top of both lists shows that advisors are increasingly turning to these insights in an effort to improve client outcomes, regardless of advisor type," Jeremi Karnell, head of Envestnet Data Solutions, Envestnet. said. "These strategies help mitigate risk and optimize tax advantages, making them valuable in any market environment."

In September 2024, Envestnet unveiled research showing that 30 per cent of advisors say they cannot spend enough time with clients. Envestnet drew a total of 290 responses across the wealth management sector.