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In an increasingly complex and data-driven advice landscape, the real frontier of competitive advantage is no longer just investment selection but how practices use technology to generate scale, precision and meaningful client engagement. At the INZ Investment Leaders Forum in Queenstown, two leading voices, Mishan Dahia of Atchison (pictured, centre) and Rousseau Lötter (pictured, at right) of Craigs Investment Partners, offered clear-eyed perspectives on where efficiencies from technology are best realised, and how to harness them without compromising a firm’s identity.

For Dahia, the starting point is always clarity of purpose. “The most successful practices we see begin with four foundational pillars: lead generation, client strategy, scalable investment capability and the client experience,” he said. From that framework, technology can be layered-in deliberately, aligned with the client type and the investment philosophy. Whether the practice is focused on high-net-worth clients and private markets or lower-cost diversified ETF models, understanding where technology supports the proposition is key.

Lötter agreed, but focused on the complexity of implementation in a large national firm. Craigs Investment Partners has more than 180 advisers managing assets for clients across the wealth spectrum, from modest portfolios to mandates in excess of $100 million. “We knew from the beginning that trying to integrate new systems and AI tools across a network of that scale would require ruthless prioritisation,” he said. “We used simple matrices to rank projects by cost, complexity and time saved. It became clear quickly which changes we should make now, and which were three-year plans”.

One of the more nuanced challenges for large institutions is the human aspect of change management. Lotter acknowledged the cultural resistance that can come with digital transformation. “You are effectively asking people to build systems that might one day replace part of their role. That is a hard message,” he said. Craigs chose to adopt the ‘cyborg’ metaphor, the idea that advisers are integrating tools to become more capable versions of themselves. “We framed technology not as a replacement, but as augmentation,” he said.

To support that narrative, Craigs hosted internal “bars and masterclasses” to showcase how advisers were using technology in small, practical ways. From voice-controlled itinerary assistants to automated report generators, these examples made the shift tangible and approachable. “It moved the conversation from fear to curiosity,” Lotter said. “And importantly, it tied back to one of our core values, that client intimacy is non-negotiable. We want scale, but not at the expense of personal connection”.

Dahia provided a window into how Atchison is embedding AI into both its internal and adviser-facing systems. “Our SMAs are run on Python models that advisers can access through a centralised portal. That portal doesn’t just show portfolios, it also uses AI to generate commentary at the asset class and manager level,” he said. “Instead of spending hours writing quarterly reviews, it’s automated. That frees-up time for strategic conversations with clients”.

However, both speakers cautioned against blind trust in AI. Lotter described his own role as that of an “enthusiastic idiot,” embracing experimentation but wary of over-reliance. “We have analysts who can spot hallucinations in output. The key is layering-in checks, prompt training, agent development and expert oversight. Style consistency also matters. We’re training our models to write in different voices for different audiences, from retail clients to institutional boards,” he said.

Atchison’s application of AI also benefits from its principal’s background in technology. “Our journey started with digital thinking, not retro-fitting tech onto an analogue process,” Dahia said. The firm’s SMA offering has become more compelling as a result, allowing financial advisers to scale from 80 clients to over 200, while reducing their compliance load and increasing portfolio consistency. “Adoption is accelerating, and the efficiencies are undeniable,” he said.

Lötter said New Zealand’s SMA adoption is still early in its development compared to Australia, but he sees significant opportunity. “We’re about one to two years into serious change management and about three to four years from full maturity. There is appetite, but also caution. Our job now is to train both advisers and clients for what comes next,” he said.

Internally, Craigs is shifting its core model from a hybrid advice service toward more fully discretionary mandates, supported by robust risk systems and investment infrastructure. Lötter noted that this shift will take time, but the trend is irreversible. “Clients want efficiency, but they also want oversight. Our co-pilot service still includes client input, which keeps them engaged. But increasingly, the actual investment engine is being professionalised and centralised,” he said.

The power of managed accounts, Dahia argued, lies in their capacity to align business operations with a firm’s strategic intent. “It is not just about investment management. It is about freeing-up adviser capacity, improving client outcomes and enabling growth. The conversations shift from product-picking to portfolio construction and life planning. That is a much higher-value dialogue,” he said.

Technology, though, is only as good as the people using it. Both speakers stressed the importance of upskilling and creating a culture of curiosity. Lötter described how Craigs is supporting both its junior and senior advisers in developing AI proficiency, while also developing standardised agents for common tasks. “We want everyone to engage with this, not just the ‘tech people.’ That means lowering the barrier to entry and making experimentation part of the culture,” he said.

As for the risks, both panellists were realistic. AI models can hallucinate; integrations can fail. Promises of scale can lead to client detachment if not carefully managed. But with the right philosophical underpinning, these challenges become design choices rather than crises. “This is not about tech for tech’s sake,” Dahia concluded. “It’s about making sure your firm is structurally ready to serve your clients better, faster and more sustainably”.

Lötter echoed that sentiment. “Efficiency is not the end goal. Relevance is. If we get this right, we are not just saving time. We are building firms that can survive the next decade of disruption. And that, ultimately, is what matters most,” he said.