SKN | Schwab Study Shows RIA AI Adoption Surges, but Strategic Integration Still Lags

Key Takeaways

• AI adoption among RIAs has more than doubled since 2023, with 63% now using AI tools in some form.

• Most firms remain in early-stage use, focused on administrative tasks rather than core strategy.

• Only about 10% of AI-using RIAs have fully integrated AI into their business model.

A new study released by Charles Schwab Advisor Services™ shows that artificial intelligence adoption among independent registered investment advisors (RIAs) has accelerated sharply, even as most firms remain at an experimental stage. According to the research, nearly two-thirds of RIAs now use AI tools, highlighting rapid uptake but uneven maturity across the industry.

The findings point to a growing divide between early adopters embedding AI strategically and firms still testing isolated use cases.

Adoption Is Rising, but Mostly Tactical

Among the 533 RIAs surveyed, 63% reported using AI tools in some capacity, up from roughly 30% in 2023. However, usage remains concentrated in low-risk, productivity-oriented functions such as meeting notes, email drafting, and workflow assistance.

While 82% of AI users rely on generative AI, most adoption is happening at the individual advisor level rather than through firm-wide systems. This suggests that AI is improving efficiency, but not yet reshaping operating models for the majority of firms.

Strategic Integration Remains Limited

Despite rising usage, only about one in ten RIAs currently using AI said it is fully integrated into their broader business strategy. This gap underscores a key challenge: many firms recognize AI’s potential but lack the data infrastructure, governance frameworks, or internal expertise to scale it meaningfully.

Expectations, however, are increasing. Nearly 60% of advisors believe AI will have a measurable impact on client relationships within the next year, and more than two-thirds expect it to be transformative to the advice industry within three years.

Schwab Responds With Education-Focused Initiative

In response to the widening gap between experimentation and execution, Schwab Advisor Services launched Schwab Advisor AI in Action, a multi-year initiative aimed at helping RIAs move from curiosity to capability. The program will run through 2026 and includes monthly AI webcasts, in-person summits in major U.S. cities, executive education programs, and expanded access to vetted AI vendors.

The focus is on practical application, peer learning, and helping firms define what they want AI to enable—rather than adopting technology for its own sake.

Broader Implications for the Advisory Industry

The study highlights a pivotal moment for RIAs. As client expectations rise and operating margins come under pressure, firms that can use AI to enhance personalization, risk detection, and advisor productivity may gain a durable competitive edge.

At the same time, the cautious pace of full integration suggests that AI-driven differentiation will likely emerge unevenly, favoring firms with clearer strategic vision and stronger data foundations.

Forward-Looking Perspective

AI adoption among RIAs is no longer a fringe trend—it is becoming mainstream. The next phase will be defined not by whether firms use AI, but by how deeply it is embedded into advice delivery, client experience, and operational decision-making.

For a confidential discussion on how AI adoption trends within the RIA and wealth management space can be evaluated as part of a broader financial and advisory-services allocation, contact our senior advisory team.