Raymond James Faces AI Disruption Fears As Advisor Recruitment Continues

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• Altruist launched an AI powered planning tool that automates tax planning and document preparation for financial advisors, sparking investor concern about technology disruption.

• Following the launch, Raymond James Financial (NYSE:RJF) shares came under pressure alongside a wider selloff in wealth management names.

• At the same time, Raymond James attracted a well known Wisconsin based advisory team to its independent channel, highlighting continued advisor recruitment during the volatility.

For context, NYSE:RJF closed at $157.41, with the share price showing a 6.0% decline over the past week and a 5.8% decline over the past month. Despite the recent pullback, longer term returns remain positive, with gains of 44.3% over three years and 118.0% over five years.

For investors, the key questions now are how much AI tools might reshape advisor workflows and where firms like Raymond James can still add distinct value. The combination of tech headwinds and ongoing advisor recruitment will likely be central to how the market judges NYSE:RJF over the coming quarters.

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📰 Beyond the headline: 2 risks and 4 things going right for Raymond James Financial that every investor should see.

The sharp 8.8% drop in Raymond James Financial after Altruist’s AI-powered planning tool announcement shows how quickly markets can reprice perceived disruption risk. Investors appear worried that automated tax planning and document creation could compress fees, shift client activity to lower-cost platforms, and reduce the value of traditional advice-based models used by firms such as Raymond James, Charles Schwab, and Stifel Financial. At the same time, the move of a US$730 million Wisconsin advisory team into Raymond James’ independent channel points to a counterpoint: experienced advisers still seem to value the firm’s culture, support platform, and brand when choosing where to house client assets.

• The successful recruitment of a sizeable advisory team aligns with the narrative that adviser hiring and higher net worth client focus can support future revenue streams.

• Concerns that AI tools could erode pricing power and shift market share directly challenge the thesis that technology investment will simply improve margins without pressuring revenue or fees.

• The “AI disruption trade” and specific tools like Altruist’s Hazel may not be fully captured in earlier expectations around client activity levels and the effectiveness of Raymond James’ own AI investments.

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• ⚠️ Growing use of AI-powered advice tools could pressure advisory fees and reduce the value of traditional broker-driven models over time.

• ⚠️ If clients shift assets toward lower cost, tech-driven platforms, Raymond James could face slower asset gathering or higher retention costs.

• 🎁 Continued success in recruiting experienced adviser teams, such as the US$730 million Green Bay group, can support client asset growth.

• 🎁 Some analysts and investors see the recent AI-related selloff as potentially overstating the actual long term impact, which may leave room for sentiment to normalize.

From here, you may want to watch how quickly Raymond James rolls out its own AI tools, how advisers actually use them, and whether client engagement or productivity improves. The Bank of America Financial Services Conference appearance from CEO Paul Shoukry on February 11, 2026 could also give clearer messaging on how management views AI risk, adviser recruitment, and any changes in client behavior. Advisor movement into or out of the independent channel, shifts in fee structures, and commentary from competitors like Schwab and Stifel on AI adoption will help you judge whether this week’s selloff reflects a lasting concern or a short term sentiment shock.

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Companies discussed in this article include RJF.

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