Digital advice firm Advice Intelligence has entered voluntary administration but insists it will continue to operate its platform and support clients as it pursues further funding arrangements.
In a statement, the digital advice provider said this was due to a decision from investor Regal Funds Management chief investment officer Philip King opting to withdraw future funding.
“This decision is founded upon a landscape of high-interest rates, economic uncertainty, and the overall tightness of capital markets,” the statement said.
At the time of publication Regal had not responded to requests for comment.
CEO Jacqui Henderson maintained her passion for the company but noted the shared vision for the company was in “jeopardy”.
“We’ve survived a number of crises, from the Covid pandemic to a skilled labour shortage, however, over the past 7 years, we’ve continued to strive forward with innovation, and with our mission to help support this industry’s transition from the world of paper and analogue, towards a future of digital advice,” Henderson said.
“Our decision of voluntary administration comes as the company continues to seek financial assistance from a number of parties, however, we have not yet secured the support required.
“I am eternally grateful for the incredible team that has worked endlessly to support a.i.’s vision over the years and hope this is not where our journey ends.”
The advice planning software company sought to aide advisers via automation and less than two months ago announced the expansion of its WealthMap functionality.
Run of bad luck
The firm joined three other digital advice providers – Ignition Advice, Money GPS and Abrdn (formerly known as Aberdeen Standard Investments) – to launch the Australian Digital Advice Association in April.
Ignition Advice regional CEO Craig Keary stepped down from the role in March, instead moving into a consulting role.
Ignition’s target client base was predominately super funds and other large institutions who have been waiting for certainty around the Quality of Advice Review proposals before committing to major digital advice projects.
Earlier that month Abrdn, primarily known for its funds management, announced it was cutting its local workforce from the 43 staff it employed currently, while SG Hiscock took over wholesale distribution.
