As more advisory firms start leveraging AI, advisors are increasingly viewing that technology, along with automation, as growth and success drivers for their businesses, according to Orion’s fourth annual Advisor Wealthtech Survey, released on Wednesday.
Although 73% of advisory firms are leveraging AI in some capacity, just 6% are using agentic tools and only 5% have implemented cross-system AI integration, the survey’s findings showed.
Fifty-five percent of advisors surveyed said AI and automation will have the greatest impact on firm success in 2026 and beyond, Orion pointed out.
The survey said, “In 2026, most financial advisors will focus on optimizing technology integration and using AI.”
But Orion said there are obstacles to expanding AI use, including concerns about accuracy and client trust (cited by 49% of survey respondents), uncertainty about compliance/regulation (42%) and limited internal expertise or training (37%).
“Advisors are telling us two things at the same time, and the contrast is what stands out,” Chris Shutler, Head of Strategy at Orion, told WSR by email.
“First, advisors view AI and automation tools as the number one ‘force multiplier’ for their firm’s growth and success,” he said. “In fact, half of advisors cited AI and automation as a top force multiplier, and 60% say using AI and automation to drive efficiency and personalization is a top priority for 2026.”
“The maturity curve is still early.” – Chris Shutler
He added, “Second, when you look at where firms are today, the maturity curve is still early. Nearly one-quarter of advisors (23%) report having no AI tools in place, and only about one in ten are using more advanced capabilities like agentic tools (6%) or cross-system AI integration (5%). That gap matters because AI is moving fast, and the firms that go from standalone tools to AI that’s truly integrated across workflows will create real capacity, deliver more personalized experiences at scale, and pull ahead with advice that’s AI-powered.”
Other Findings
Half of advisors surveyed said they expected their firms to increase their technology budgets by an average of 19%, according to Orion.
Sixty-seven percent said streamlining operations and reducing manual work will “supercharge effectiveness,” while 44% expect technology to free up more time for advisors’ clients, Orion said.
Advisors are now using 60% of their tech stacks, with 54% of their tech integrated, according to the survey.
Merely 3% reported fully unified, free-flowing data across systems, while 60% said their systems were mostly unified but still required manual steps.
For 2026, 61% of advisors surveyed said they are prioritizing better tech integration and data use.
A growing number of advisors are using alternatives across their client base, with the highest adoption among high net worth households, according to the survey findings.
Allocation to alternatives increases with investor AUM and peaks in portfolios with more than $10 million in investments, where alternatives represent about 9% of total assets, Orion said.
Additionally, the survey findings showed seven out of 10 advisors are using third-party tax optimization services and 52% of advisors surveyed said they plan to adopt or expand such usage over the next five years.
Advisors also plan to adopt or expand their use of direct indexing (46%), Unified Managed Household (UMH) capabilities (42%), SMAs (38%) and UMAs (36%), Orion said.
The survey also said, “Orion clients report their firms’ organic growth rates were nearly 40% higher than non-Orion firms in 2025.”
The findings were based on the results of an online survey of 571 advisors conducted for Orion by AMS Research in December, Orion said.
Ascent
Some of the survey’s findings were announced by Orion CEO Natalie Wolfsen at the firm’s Ascent conference at the San Diego Marriott Marquis.
“The energy in our industry is unmistakably positive – advisors are innovating, collaborating, and executing with a relentless focus on client outcomes,” according to Wolfsen.
“At Ascent 2026, we’re bringing the advisor community together to share what works, learn from one another, and advance a mission we all believe in: building a wealthtech community where advisors and investors thrive,” she said in a news release.
She added, “Orion is proud to be a growth partner to advisors – unifying data, integrating the stack, and bringing AI into everyday workflows so firms can do more of what matters.”
Jeff Berman, Contributing Editor and Reporter at Wealth Solutions Report, can be reached at jeff.berman@wealthsolutionsreport.com.
