Investment advisers in Asia Pacific (Apac) see artificial intelligence (AI) enabled tools for self-directed investors as the biggest threat to their business in the next five years.

This is according to the Natixis Investment Managers’ (Natixis IM) 2026 Financial Adviser survey, which found that while most investment professionals globally believe AI will enhance adviser capabilities, it is proving to be a significant competitive threat.

Natixis IM found that half of the advisers surveyed from Apac see improved tools for self-directed investors as their biggest competition in five years’ time. One third of advisers worry that AI will put advisers out of business entirely.

However, only 9% of advisers acknowledge this as the biggest competition today, with the biggest threat coming instead from automated advice platforms and other traditional advisers.

Dora Seow, CEO, Natixis IM Singapore, said: “In today’s geopolitical environment, advisers are under real pressure to offer clients genuine diversification and the confidence to stay invested.”

“At the same time, they’re weighing what AI means for the industry – aware they must adapt quickly, but clearly focused on the opportunity rather than the threat.”

“We are seeing this on the ground in the region, with firms actively rethinking their strategies, integrating digital tools, and looking beyond traditional markets like the US toward liquid products in other geographies.”

Natixis IM found that across the 2950 investment professionals it surveyed, including 650 from the Apac region across Australia, Japan, Hong Kong, Singapore and South Korea, most also view AI as an advantage.

Three quarters of Apac advisers (75%) surveyed believe that AI could drive market growth over the next two decades and be a competitive advantage in their business.

Meanwhile almost 80% of Apac advisers said they believe AI will give them more time for client engagement, and two thirds say they are using AI to write emails, take meeting notes and send out educational materials.

However, amid pressure from some firms encouraging their staff to use AI in their practices, 70% of Apac advisers said implementing AI into their workstreams has been more challenged than expected.

Amid the threat of AI taking over the advisory business, 83% of those surveyed in Apac say they are focusing on personal relationships and their fiduciary responsibility when they position their value for clients compared to AI.