VALLEY FORGE, PA — Financial advisors are adopting artificial intelligence and portfolio-management tools to reduce administrative work, but 72% still want more time for prospecting and strengthening client relationships, according to a national Vanguard survey of 549 U.S. advisors conducted in July.
The findings point to a productivity gap between technology adoption and realized capacity. Advisors reported using AI most often for drafting emails, conducting research and taking meeting notes rather than automating broader workflows.
Thirty-eight percent use AI for email drafting, 35% for research and 27% for meeting notes.
“Many financial advisors have only begun to scratch the surface of AI’s potential,” Lauren Wilkinson, chief information officer for Vanguard’s Financial Advisor Services, stated. She argued that firms will need to move from task assistance toward automation to free more time for higher-value work.
Compliance and home-office hesitance was the most commonly cited barrier to wider AI use, reported by 37% of advisors. Another 34% cited insufficient time to learn new capabilities, 31% pointed to limited proficiency and 22% expressed concern that AI could diminish their value.
Advisors are also turning to portfolio-management tools to make investment implementation more scalable, with model portfolios emerging as a leading option.
When evaluating those solutions, 68% ranked investment performance and track record as their most important consideration, followed by cost at 51%.
Despite broader adoption of portfolio-management tools, 32% of advisors continue to manage portfolios entirely on their own.
Vanguard cited research indicating that model portfolios can save advisors more than 400 hours annually, creating additional capacity for client service, prospecting and practice growth.
“Time spent with clients is the currency of growth for financial advisors,” Eve Cout, head of Advisor Solutions for Vanguard Financial Advisor Services, stated.
The survey also found that existing-client referrals remain advisors’ most productive source of new business. Vanguard linked that finding to investor priorities including trust, personalization and investment performance as factors influencing recommendations.
The July 2026 survey was conducted through Escalent’s Cogent Beat Advisor instrument and included a representative sample of 549 U.S. financial advisors. It covered practice growth, client acquisition, technology adoption, portfolio construction and business needs.
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