AI adoption among RIAs has more than doubled since 2023, reaching 63% of firms according to the reports. Administrative work is the most common use case, with 43% of firms already using AI to improve day-to-day operations. 

As labor costs continue to rise and McKinsey projects a shortage of 90,000 to 110,000 advisors by 2034, many RIAs are using AI to reduce costs while serving more clients with the same team. 

Where Can RIAs Save the Most Time?

RIAs can reduce operational costs by automating repetitive tasks such as data entry, document processing, proposal preparation, reporting, and compliance reviews. AI-powered proposal tools can reduce preparation time from about 45 minutes to 10 minutes. 

Firms that automate reporting also report a 35% reduction in staff hours, creating average annual savings of approximately $450,000.

How Can RIAs Measure AI ROI?

RIAs should measure AI based on time savings, lower operating costs, and higher staff capacity. Industry data shows that AI-powered proposal tools can generate a first-year return on investment of 150% to 250%. 

Firms with broader AI adoption also report up to three times greater cost savings than their peers because automation improves multiple workflows at the same time.

How Can RIAs Grow Without Hiring More Staff?

Many firms are using AI to automate routine administrative work instead of expanding headcount. This allows advisors and operations teams to spend more time on client service while handling a larger number of accounts.

As advisor shortages continue across the industry, improving productivity has become an important way to support growth without increasing labor costs.

What Overlooked Areas Can Reduce Operational Costs?

Operational efficiency also includes work that happens after client accounts are opened. Securities class action settlements totaled approximately $8 billion in 2025, yet many eligible claims went unclaimed because identifying cases and filing claims required significant manual work.

Platforms such as 11th.com automate the whole process by identifying eligible cases, filing claims, and depositing proceeds directly into client accounts. Its AI infrastructure covers class action settlements, SEC Fair Funds, shareholder compensation, digital asset recovery, and other government and private recovery programs. This reduces administrative work while helping clients recover additional assets. 

What Should RIAs Prioritize in 2026?

In 2026, RIAs should focus on using AI where it saves the most time and reduces operating costs. Firms that automate routine work can serve more clients, improve productivity, and continue growing without increasing headcount at the same pace.

FAQ

How can RIAs use AI to reduce operational costs?

AI automates routine tasks, reducing manual work and improving operational efficiency.

Which advisory tasks can AI automate?

AI can automate data entry, proposal preparation, reporting, document processing, and compliance reviews.

How can RIAs measure AI ROI?

RIAs can measure AI by tracking time savings, lower operating costs, and increased staff productivity.

Can AI help RIAs grow without hiring more staff?

Yes. AI allows firms to serve more clients and improve productivity without increasing headcount at the same pace.

What overlooked AI opportunity can reduce operational costs?

AI-powered securities class action recovery helps automate claims, reduce administrative work, and recover additional assets for clients.