Algorithms, Empathy and the End of an Era

As an Accountancy and Finance student at the University of Aberdeen, Valentine has spent most of his time learning about financial theory, markets and the principles that underpin good financial decision-making.

Having just completed my second year, I felt I had a decent grasp of the academic side of finance. What I wanted to understand was how those ideas work in practice with real people, real goals and real-life challenges.

That curiosity led me to apply for a three-week summer internship with Carbon Financial.

What I didn't realise on my first day was that I was stepping into a small piece of company history.

Like most interns, I arrived feeling slightly nervous. Starting in a professional environment can be intimidating, especially when you're surrounded by experienced people who know their craft inside out. Thankfully, those nerves did not last long.

From the moment I arrived, Essi made me feel welcome. She introduced me to the team, showed me around the office and made sure I settled in quickly. It might sound like a small thing, but it made a huge difference. It immediately gave me a sense of the culture at Carbon. The firm's people-first approach is not just something reserved for clients; it is something that runs throughout the organisation.

A conversation with Connor later in the internship put everything into perspective. While discussing Carbon's future and its upcoming integration into Progeny, he mentioned that I would be the last intern Carbon Financial ever hosted. It was a surprising thing to hear.

Until then, I had viewed the internship simply as an opportunity to gain experience and learn about financial planning. Suddenly, it felt like I was witnessing the closing chapter of something much bigger. Carbon is a highly successful business entering a new stage of its journey, and I happened to join at a moment of significant change. Knowing that gave my time there a different meaning and ultimately inspired the theme of this blog.

One of the highlights of the internship was the opportunity to spend time with people across the business. Carbon encouraged me to meet with as many team members as possible, and I am grateful to everyone who took time out of their day to answer my questions.

Each conversation offered a different insight into financial planning and wealth management. While university provides a strong foundation, there are aspects of the profession that can only be learned through experience. Listening to advisers talk about client relationships, difficult decisions and long-term planning brought the role to life in a way no textbook ever could.

The technical knowledge across the team was hugely impressive, but what stood out most was the willingness to share that knowledge.

One meeting in particular comes to mind. I had arranged time with John to discuss his approach to clients and investment strategy. What was supposed to be a short conversation turned into a much deeper discussion about financial planning, behavioural finance and investing. Before either of us realised it, we had gone nearly an hour over schedule. It was one of the most valuable conversations I had during the internship and reflected the openness and generosity I encountered throughout my time at Carbon.

Alongside these meetings, I was given a research project exploring the behavioural impact of Artificial Intelligence and Large Language Models (LLMs) on investors.

The project looked at how AI is changing the way people seek financial information and advice, and what that might mean for the future of financial planning.

Going into the research, I assumed AI would be entirely rational. My expectation was that an algorithm would identify the mathematically correct answer and present it to the user. The reality was far more complicated.

Because AI systems are trained on huge amounts of human-generated information, they can also inherit human biases and weaknesses. Research suggested that AI-generated financial guidance can sometimes reinforce market trends, provide overly generic recommendations or fail to account for an individual's circumstances. While an AI tool can build a diversified portfolio in seconds, it cannot truly understand a person's emotions, priorities or concerns.

It does not know how someone feels about retirement, how family circumstances influence financial decisions or how they might react during a period of market volatility.

That was where the contrast between my research and my observations at Carbon became most interesting.

While I spent my days reading about algorithms and automation, I also watched advisers build genuine relationships with clients. It reinforced an important lesson: financial planning is about far more than numbers.

As technology continues to evolve, access to financial information will become easier than ever. The real value of financial planning will increasingly lie in the areas technology struggles to replicate: empathy, judgement, accountability and trust. AI may be able to suggest what someone should do, but it cannot replace the reassurance and perspective provided by a trusted adviser.

In many ways, being Carbon's final intern felt fitting. Both my research project and the firm's transition into Progeny centred on change and adaptation.

Carbon is evolving, but the values that define it remain the same. Over the last three weeks, I saw a consistent commitment to doing the right thing for clients and putting their peace of mind first. Those principles are not disappearing; they are simply moving forward into a new chapter.

As I return to Aberdeen for my third year, I do so with a much clearer understanding of the profession I hope to enter. I leave with a greater appreciation for financial planning, a healthy scepticism of AI-generated advice and a real sense of gratitude for everyone who made the experience so worthwhile.

Thank you to the entire Carbon team for an unforgettable three weeks.