AI for Advisors newsletter
More than two decades of working with financial advisors has taught me that compliance should be seen not as a hurdle but as a framework—one that protects your clients, your practice, and your reputation.
Now, with the rise of AI tools, the conversation has shifted. Advisors are curious. Many are experimenting. But across the profession, there’s a common worry: Can I use AI and stay compliant?
It’s a smart question—and the right instinct.
In our most recent survey on AI usage by advisors, we found that 56% of advisors describe themselves as not confident in their ability to use AI effectively. And while 31% use AI daily, a full 47% dabble occasionally, and 22% haven’t used it at all.
That hesitation is partly rooted in compliance concerns. Advisors want to avoid crossing any regulatory lines. But the truth is, with the right AI habits in place, you can absolutely stay within bounds—and start getting more from the technology.
Why compliance matters
The regulatory environment around AI is still evolving. But our responsibilities haven’t changed. We must continue to:
- Communicate clearly and accurately
- Provide appropriate information for clients’ needs
- Ensure public-facing materials meet firm and industry standards
Using AI doesn’t exempt us from these obligations. Instead, it introduces new types of content that require the same care and oversight.
Common AI compliance risks
Unreviewed Content: AI can generate very good marketing copy, social media posts, client emails, or educational articles in a few minutes. But fast doesn’t mean compliant. These outputs still need to go through your firm’s standard review process.
In our AI Marketing for Advisors program, we show advisors how to use a Compliance Pre-Check Tool based on FINRA Rule 2210 and the SEC Marketing Rule. It helps flag content that might cause issues—not as a replacement for compliance review, but to prevent wasting time with unnecessary rewrites.
Disclosure issues: AI tools can be trained or instructed to remind you where disclosures may be needed and even suggest appropriate language. But they don’t do this by default. You must still take responsibility for ensuring disclosures are included and accurate.
Practical strategies to stay compliant
AI compliance check: If you're using AI to help draft client-facing materials such as emails, web copy, social media posts, or presentations, consider this habit: Have your draft reviewed by an AI model before submitting it to compliance.
Just use a simple prompt like:
“Act as a veteran compliance expert who has worked with financial advisors for 20 years. Review the following draft for issues related to FINRA Rule 2210 and the SEC Marketing Rule. Flag anything that might raise a red flag or require disclosure.”
This isn’t a replacement for formal review—but it can catch obvious problems early and save you time.
Treat AI outputs like client-facing material: If AI helped draft it, you’re still responsible. Submit it through your usual compliance process.
Stay in control of the messaging: You’re the strategist. Think of AI as a creative assistant. You remain the final editor and decision-maker.
Use a structured prompting framework: A structured approach like Role-Task-Format-Context-Questions-Examples helps guide AI to produce higher-quality, lower-risk drafts. It aligns content more closely with what you want and what compliance reviewers expect.
Stay informed: Regulators are paying attention. While new rules may take time, standards around accuracy, disclosure, and suitability already apply. Stay current and proactive.
Start internally: A smart first step is to use AI behind the scenes—for drafting, brainstorming, summaries, and other internal needs. It builds familiarity and skill without triggering compliance review.
How reframing compliance helps you use AI better
Instead of seeing compliance as a blocker, view it as the guardrail that keeps your messaging professional and trustworthy. Advisors who learn to navigate these guardrails effectively gain a clear edge.
Compliance review isn’t a red light, it’s a checkpoint for clarity and quality. AI can absolutely enhance how you serve clients—but it requires intention. Review client-facing outputs. Stay in control of what you say. Use structured prompts. Keep an eye on regulatory expectations.
That’s how you move from dabbling to daily use—and from compliance anxiety to confident, productive adoption.
AI for Advisors newsletter