The people, companies and trends shaping the global economy.

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An artificial intelligence tool aimed at creating tax strategies sparked a selloff in wealth-management stocks Tuesday as investors fear the business could be at risk from automated advice.

The innovation puts the wealth-management industry in the crosshairs of AI competition, the way it did for software stocks and private credit firms last week and insurance brokerage shares on Monday. Investors responded precisely the way they did before — by unloading the stocks. Raymond James Financial Inc. dropped 8.8% for its worst day since March 2020, while Charles Schwab Corp. sank 7.4%% and LPL Financial Holdings Inc. lost 8.3%, their worst sessions since April.

The move appeared to catch Wall Street off guard, as Charles Schwab is the only stock with a sell rating, and it has just one among the 24 analysts tracking the company.

The new tool, unveiled by closely held tech startup Altruist Corp. on Tuesday, helps financial advisers personalize strategies for clients and create pay stubs, account statements and other documents, the company said in a statement. Altruist’s founder and Chief Executive Officer Jason Wenk started his career at Morgan Stanley and Chief Operating Officer Mazi Bahadori worked at Pimco Investment Management, so the firm’s leadership has experience with how Wall Street and the investment community operate. 
Today's show features:
Bloomberg Intelligence Financials Analyst Neil Sipes breaks down quarterly earnings from Robinhood Markets and the hit to wealth-management stocks on AI fears
Kathy Jones, Chief Fixed Income Strategist, Schwab Center for Financial Research, on the treasury trade and US monetary policy outlook
Cheryl McKissack Daniel, Chair of the Board at McKissack & McKissack, on her family-run construction business, which dates back more than 120 years, and her appointment as the next Chair of the New York Building Congress
Bloomberg Opinion Editor Mark Gongloff on key policy changes at the Environmental Protection Agency and new financing for a project aimed at installing small nuclear reactors underground

The people, companies and trends shaping the global economy.
Watch Carol and Tim LIVE every day on YouTube: http://bit.ly/3vTiACF. &nbsp; An artificial intelligence tool aimed at creating tax strategies sparked a selloff in wealth-management stocks Tuesday as investors fear the business could be at risk from automated advice.
The innovation puts the wealth-management industry in the crosshairs of AI competition, the way it did for software stocks and private credit firms last week and insurance brokerage shares on Monday. Investors responded precisely the way they did before &mdash; by unloading the stocks. Raymond James Financial Inc. dropped 8.8% for its worst day since March 2020, while Charles Schwab Corp. sank 7.4%% and LPL Financial Holdings Inc. lost 8.3%, their worst sessions since April.
The move appeared to catch Wall Street off guard, as Charles Schwab is the only stock with a sell rating, and it has just one among the 24 analysts tracking the company.
The new tool, unveiled by closely held tech startup Altruist Corp. on Tuesday, helps financial advisers personalize strategies for clients and create pay stubs, account statements and other documents, the company said in a statement. Altruist&rsquo;s founder and Chief Executive Officer Jason Wenk started his career at Morgan Stanley and Chief Operating Officer Mazi Bahadori worked at Pimco Investment Management, so the firm&rsquo;s leadership has experience with how Wall Street and the investment community operate.&nbsp;
<ul>
<li>Today's show features:</li>
<li>Bloomberg Intelligence Financials Analyst Neil Sipes breaks down quarterly earnings from Robinhood Markets and the hit to wealth-management stocks on AI fears</li>
<li>Kathy Jones, Chief Fixed Income Strategist, Schwab Center for Financial Research, on the treasury trade and US monetary policy outlook</li>
<li>Cheryl McKissack Daniel, Chair of the Board at McKissack &amp; McKissack, on her family-run construction business, which dates back more than 120 years, and her appointment as the next Chair of the New York Building Congress</li>
<li>Bloomberg Opinion Editor Mark Gongloff on key policy changes at the Environmental Protection Agency and new financing for a project aimed at installing small nuclear reactors underground</li>
</ul>

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Listen for reporting from the magazine that helps global leaders stay ahead. Hosts Carol Massar and Tim Stenovec bring you insight on the people, companies and trends shaping today's complex economy.&nbsp; You can watch and listen to Businessweek LIVE on YouTube, weekdays from 2PM to 5PM ET: <a href="http://bit.ly/3vTiACF">http://bit.ly/3vTiACF</a>.&nbsp;

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Wealth Manager Stocks Sink as Traders Flee Next AI Casualty

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/641567bd-35fd-4ee2-b2df-b3ed017147ac/transcript