Why Frank Sinatra Was Wrong About 'My Way' (And Your Money)
There comes a time in everyone's life and business when they need to consider, 'Can they safely DIY or should they seek and take advice?' You see this in remnants of the self-made-man ideology where people are supposed to be inspired by the 'feigned rugged individualism'. So the ledgend goes, such folks in life and business never seemed to need anybody's support, guidance, encouragement and counsel; and ultimately triumph - as sung by the now seemingly immortal words of singer Frank Sinatra, 'I did it my way.' *
(Sinatra's version of "My Way" spent 75 weeks in the UK Top 40) * While this work became Frank Sinatra's signature song, his daughter Tina, in an interview with the BBC in October 2000, shared, "He always thought that song was self-serving and self-indulgent."
Perhaps the reason this anthem is commonly played at funerals, is not to explain how the dearly departed lived, but how we all wish we would live.
And then everyone goes back to their allocated work cubicle.
Read in this article
- Navigating Modern Financial Advice: Artificial Intelligence v Human Intelligence (or something in between)
- Beyond the Bot: Why Your Best Financial Asset is a Human Advisor
- Your Cognitive Biases Are Costing You Money. AI Can't Help
- Small Business Risks Overlap Family Risks. AI Can't Help
- Good Advice Understands your Context
- The Value of a Human Advisor
- FAQ's
- You say AI can 'hallucinate'. What does that mean, and why is it a risk for financial advice?
- If AI can process so much more data than a human, isn't it better for complex financial planning?
- What do you mean by 'cognitive biases' and why can't AI help me with them?
- So, are you saying we shouldn't use AI at all for our finances? What is its proper role?
- Ultimately, what is the one thing a human advisor offers that you believe AI will never be able to replace?
Navigating Modern Financial Advice: Artificial Intelligence v Human Intelligence (or something in between)
In an age where Artificial Intelligence offers instant answers, the temptation to manage your finances and sort out your families life insurances with a 'do-it-yourself' (DIY) mindset is stronger than ever. But is the fastest tool always the wisest choice? Let's take a quick look at the-human-in-the loop 'You' and how that is a level of complexity, outside the scope of an AI bot.
Beyond the Bot: Why Your Best Financial Asset is a Human Advisor
It all comes down to how humans understand human behaviour.
AI is like a new student hire, while looking to please you and look smart, they can also get stuck down a rabbit hole of new ideas, seemingly conflicting loyalties and struggle to make them relevant to your business needs. Be careful with AI Advice when you need to get something right first time.
Simply put, AI can hallucinate - or perhaps more importantly, it can provide advice out of context, that doesn't take into consideration your current position, both financially, experientially and emotionally. It also doesn't ask you questions about business structures, partners, suppliers and risks in the market that you're facing.
Your Cognitive Biases Are Costing You Money. AI Can't Help
- Successful investors know they are always at risk of cognitive biases - and use an advisor to help them keep that front of mind.
[Editor's note: If you're an investor and this is the first time you have heard the phrase, 'cognitive biases,' perhaps stop what you're doing and learn about that first.]
Cognitive biases are the mental shortcuts our brains use to make sense of a complex world. They cause us to look for information that 'confirms' our existing beliefs (confirmation bias), follow the herd (herd mentality), or be overly confident in our own abilities. See them like your very one information bubble - a fundamental part of being human, but potentially disastrous for your financial health.
Small Business Risks Overlap Family Risks. AI Can't Help
A small business is more human than robotic and algorithmic. This means small business is usually about its about Love, free time, emotion, creativity, passion and drive - and rarely if ever - just about the financial bottom line.
Small business owners first go into business for a multitude of deeply human reasons; from providing more resources for their family, to being more timer flexible and able to attend dance recitals, school sports carnivals and care for additional needs people and aging parents, in their life.
AI doesn't understand your finances, family, experience, or emotions.
- Small Business owners often prefer to speak with Financial Advisors who are also small business owners, about identifying and managing their own business-and-family-overlapping-risks, and the insights that a specialist small business advisor brings to a small business family.
Good Advice Understands your Context
More importantly, AI provides advice that is fundamentally out of context.
- It lacks your personal context. An AI doesn't know your current financial position, your emotional state after a tough year, or the lessons you learned from past business experiences. It can't factor in the human elements that drive every major decision.
- It doesn’t ask the right questions. AI won't ask about your business structure, your relationship with your partners, the reliability of your suppliers, or the specific risks you're facing in your market. It gives answers based on the data it has, not the crucial information it's missing.
- It doesn't understand your family. Small business owners know better than anyone that business risks and family risks are deeply intertwined. An AI cannot navigate the delicate, emotionally charged, and financially complex overlap between your company's balance sheet and your family's well-being.
The Value of a Human Advisor
In the age of instant answers, the most valuable financial tool isn’t an algorithm—it’s a human advisor who can see your full picture.
This is where the human factor becomes irreplaceable. A good advisor doesn't just give you information; they provide wisdom, context, and objectivity.
- Advisors Manage for Context. A human advisor’s first job is to ask the questions AI can't. They build a deep understanding of your finances, your business, your family, and your goals. The strategy they develop with you is bespoke, not generated.
- Advisors Serve as an Objective Mirror. An advisor's role is to help you see past your own cognitive biases. They are the objective voice that asks, "Are we making this decision based on the data, or are we letting fear/greed/overconfidence take over?" They keep you accountable to your own long-term strategy.
- Advisor Bring Specialist (often personal) Insights. Small business owners usually prefer to speak with peers to manage their unique challenges. A specialist small business advisor elevates those conversations, and can bring professional expertise to the exact moments where business and family risks overlap, protecting both what you've built and who you've built it for. At Sapience we believe you need to protect yourself and your family, from your business.
We believe, true strength isn't found in rugged individualism, but in the wisdom to build a team of trusted expert advisors around you and what you do. In a world saturated with generic data, a human advisor who understands you and your family, is the ultimate competitive advantage.
FAQ's
Your Financial Advice versus AI Advice Questions, Answered. Here’s a quick summary of what you need to know about AI and the Future of Professional Advice.
You say AI can 'hallucinate'. What does that mean, and why is it a risk for financial advice?
Think of it this way: an AI is designed to provide an answer, even if it doesn’t have the right information. A "hallucination" is when it confidently presents incorrect or completely fabricated information as fact. When you're dealing with your life savings or business capital, acting on a convincing falsehood can be catastrophic. Unlike a human advisor who is ethically and legally bound to be accurate, an AI has no real-world accountability for the advice it generates.
If AI can process so much more data than a human, isn't it better for complex financial planning?
It's true that AI is a powerhouse for data processing, but information is not the same as wisdom. Financial planning isn't just about crunching numbers; it's about understanding context, nuance, and human emotion. An AI can't read a room, understand the unspoken fears a business owner has about the future, or grasp the delicate family dynamics that influence a major financial decision. A human advisor's value isn't in competing with a machine on data, but in applying experience and empathy to translate that data into a strategy that works for a real person. It's the person-in-the-loop, both advisor and client that should be the first focus
What do you mean by 'cognitive biases' and why can't AI help me with them?
Cognitive biases are the mental shortcuts our brains use that lead to irrational decisions—like selling in a panic during a market dip (loss aversion) or only seeking out news that confirms our beliefs (confirmation bias). An AI can't help you with these because they're deeply human, emotional responses. In fact, an AI might even reinforce them by providing a seemingly logical reason to justify an emotional impulse. A key role of a human advisor is to be an objective, outside voice - to recognize when a bias is driving your decisions and steer you back to your long-term, rational strategy.
So, are you saying we shouldn't use AI at all for our finances? What is its proper role?
Not at all. AI is a fantastic tool, and we should absolutely leverage it. Think of it as a brilliant, incredibly fast, but very literal-minded junior analyst. It can be used to automate tasks, analyze market data, and spot trends far faster than any human. The proper role for AI is to support the human advisor, freeing them up from routine work so they can focus on the things that matter most: strategy, relationships, and providing you with contextual, empathetic advice. The AI can provide the "what," but the human advisor provides the "why" and the "what's next for you." At Sapience Financial, we're all out "the how" of implementation of a financial solution in a humans world.
Ultimately, what is the one thing a human advisor offers that you believe AI will never be able to replace?
Accountability. A machine has no stake in your success. A true professional advisor, on the other hand, builds their reputation and their business on your outcomes. They have a fiduciary and ethical duty to act in your best interest. When you're facing a tough decision and need someone to look you in the eye and give you advice they're willing to stand behind, that's a fundamentally human interaction. That relationship, built on trust and shared responsibility, is something an algorithm will never be able to replicate.
Call us today on 1300 137 403 or email us here for a no-obligation private chat about your situation.
Drew Browne is a specialty Financial Risk Advisor working with Small Business Owners & their Families, Dual Income Professional Couples, and diverse families. He's an award-winning writer, speaker, financial adviser and business strategy mentor. His business Sapience Financial Group is committed to using business solutions for good in the community. In 2015 he was certified as a B Corp., and in 2017 was recognised in the inaugural Australian National Businesses of Tomorrow Awards. Today he advises Small Business Owners and their families, on how to protect themselves, from their businesses. He writes for successful Small Business Owners and Industry publications. You can read his Modern Small Business Leadership Blog here. You can connect with him on LinkedIn. Any information provided is general advice only and we have not considered your personal circumstances. Before making any decision on the basis of this advice you should consider if the advice is appropriate for you based on your particular circumstance.
