Independent, privately owned fiduciary and investment services company
The next generation of private clients and practitioners globally will engage with wealth, technology and trust in radically diverse ways. Firms that fail to evolve risk being left behind, warns Lancaster’s Head of Client Services, Matthew Gilligan.
What is the issue?
AI and the expectations of a digitally native next generation (next gen) are reshaping fiduciary services. Clients and practitioners now demand immediacy, transparency and seamless digital experiences.
What does it mean for me?
Technology will redefine value, requiring greater digital literacy, data awareness and the ability to interpret AI-driven insights while maintaining fiduciary judgement and trust.
What can I take away?
Embrace smart automation, invest in skills, design for next-gen needs and balance technological innovation with human insight and stewardship.
Current issues
For decades, the fiduciary world has thrived on its ability to adapt to new regulations, globalisation and shifting client needs. Yet few changes have been as rapid, unpredictable or profound as the one now taking shape. Artificial intelligence (AI) and the emergence of a digitally native next generation (next gen) of both clients and practitioners are converging to redefine what it means to deliver trusted, high-quality fiduciary advice.
Historically, the industry has relied on personal relationships, reputation and the comfort of face-to-face meetings. However, the new generation consumes information differently. The idea of waiting for a quarterly investment report or making a phone call for an update already feels outdated. The next gen expects immediacy, interactivity and intuitive design, all wrapped up in a mobile application or client portal that updates in real time and integrates seamlessly with their wider financial ecosystem.
This shift is about more than convenience: it represents a cultural change. The next generation grew up in an environment where information is democratised and personalised, from Netflix recommendations to AI-generated financial dashboards. They will not tolerate friction, opacity or inefficiency. They are accustomed to on-demand insight rather than traditional service cycles.
Practitioners are facing similar pressures. New entrants into the fiduciary profession are digital-first and often question why so many processes remain manual or reliant on legacy systems. Where their predecessors may have seen complexity as inevitable, they see inefficiency as an opportunity. Increasingly, these practitioners expect AI tools to assist with client onboarding, due diligence, compliance reviews and even complex scenario modelling.
The next generation of advisors will need to be fluent in both law and data, as well as able to interrogate an AI model’s recommendation with the same rigour they would apply to a trust deed.
This transition is not without tension. Fiduciary practice is grounded in trust, confidentiality and human judgment, qualities that can appear to conflict with automation. Can AI be trusted to uphold fiduciary duty? What happens when algorithms, not advisors, start shaping client outcomes? And how can firms protect sensitive client data when the tools themselves often rely on cloud-based platforms?
Jurisdictions are also beginning to compete on technological sophistication. Those that integrate digital solutions more quickly, both in regulation and infrastructure, may start to attract the most forward-thinking clients and practitioners. Meanwhile, firms that fail to evolve risk being left behind not because they lack expertise, but because they fail to deliver it in the way clients expect.
What does it mean for private clients and practitioners?
For private clients, the impact is twofold. On one hand, they stand to gain far greater transparency and control. AI-driven reporting tools can visualise portfolio performance in real time, model future scenarios, and flag potential tax or compliance issues before they arise. Imagine a world where a client logs into their portal and an AI assistant explains, clearly, why a certain asset class has underperformed this quarter or recommends a conversation with their trustee about an emerging risk.
However, with great data comes great responsibility. Clients will need to develop digital literacy that allows them to interpret insights critically. Just because an algorithm suggests something does not mean it aligns with their personal goals, values or risk appetite. Moreover, the speed at which decisions can now be made, often at the click of a button, risks undermining one of the core principles of fiduciary service: thoughtful, deliberate judgment.
For practitioners, the evolution is equally challenging and exciting. AI and automation will undoubtedly streamline administrative tasks, freeing up valuable time for high-value advisory work. But this also redefines what ‘value’ looks like. The traditional markers of professionalism, deep technical knowledge and precision, are now a given. The differentiator will increasingly be empathy, adaptability and the ability to interpret technology for clients who do not fully understand it (and, occasionally, do not want to).
It also means practitioners must rethink their relationship with information. The next generation of advisors will need to be fluent in both law and data, as well as able to interrogate an AI model’s recommendation with the same rigour they would apply to a trust deed. The skills gap here is real, and firms that fail to invest in training risk losing not only talent but also credibility.
AI and automation are tools, not threats.
Then, there is the question of values. Much is made of the idea that the next generation will be more socially conscious, prioritising sustainable, ethical or green investments. This narrative holds some truth; surveys consistently show growing awareness of environmental, social and governance (ESG) principles among younger investors. But values are complex, and virtue does not always trump value.
As the cost of living rises and economic uncertainty deepens, even the most conscientious investors may find themselves weighing doing good against doing well. A sustainably focused fund that lags behind a more traditional counterpart may test commitment to ESG ideals, especially when those ideals start to affect personal finances.
Similarly, while some next gen clients are fascinated by blockchain, digital assets and decentralised finance, others view them as volatile distractions. The fiduciary world must therefore avoid overgeneralising. Not every young client wants to hold bitcoin; not every traditional client distrusts it. The key will be agility, offering structures and strategies flexible enough to accommodate a spectrum of preferences, from crypto-curious to conventionally conservative.
In essence, we are witnessing a redefinition of trust itself. For older generations, trust was personal, built through long relationships and the quiet assurance of professional discretion. For the next gen, trust is increasingly technical, rooted in transparency, access and user experience. They are more inclined to trust a system that works seamlessly than a process that depends on a person they cannot easily reach. This does not mean the fiduciary role is diminishing; it means it is evolving from gatekeeper to guide.
What can we take away from this?
First, embrace technology intelligently. AI and automation are tools, not threats. The firms that succeed will be those that integrate them in ways that enhance human judgment rather than replace it. This might mean using AI to handle data entry, document review and compliance flagging, while focusing human energy on interpretation, strategy and relationship-building.
AI will not take your job, but someone who knows how to use AI might.
Second, design for the next-gen client, not just today’s. This generation wants intuitive, mobile-first solutions that make complex wealth management accessible. That might mean developing personalised client dashboards, enabling secure digital signatures or even offering chatbot-style support for everyday queries. These innovations must be more than cosmetic. A glossy application is no use if it fails to deliver genuine insight.
Third, invest in people as much as platforms. The fiduciary profession’s greatest strength has always been its people, their judgment, integrity and discretion. However, the skill set required is evolving. Digital literacy, data awareness and a baseline understanding of AI ethics will soon be as essential as trust law or tax planning. Firms that prioritise training and interdisciplinary learning will position themselves well for the decade ahead.
Fourth, beware complacency. It is easy to assume that because the fiduciary model has endured for centuries, it will continue to do so, but history favours the adaptable. If one jurisdiction or firm clings too tightly to tradition, another will seize the opportunity to modernise and capture the next gen’s loyalty. The competition is no longer just between firms; it is between digital ecosystems.
Finally, remember the human element. Although technology will transform how we work, it cannot replace why we work. Clients, regardless of generation, ultimately seek reassurance, understanding and stewardship. The tools may evolve, but the fiduciary duty remains the same: to act in the best interests of the client, even when those interests are delivered through a screen rather than a handshake.
As one might say, AI will not take your job, but someone who knows how to use AI might. The same applies to firms. The fiduciary world does not need to become Silicon Valley overnight, but it must recognise that the future of trust may well depend on how it embraces technology today.
Perhaps the greatest irony is that in an era defined by machines, the differentiator will be distinctly human: our ability to empathise, interpret and adapt.
© 2026 STEP (Society of Trust and Estate Practitioners). All rights in and relating to the STEP Journal and Trust Quarterly Review and to content online at journal.step.org are expressly reserved.