3 minutes to generate tax strategy! Altruist releases new tax tool, wealth management sector responds with a sharp decline.

Against the background of artificial intelligence reshaping the boundaries of financial services, the wealth management sector on Wall Street experienced severe volatility this past Tuesday. Financial technology unicorn Altruist officially launched an innovative AI-assisted tax planning tool named Hazel, which quickly sparked extreme panic in the market over the disruption of traditional investment advisory business models. Using deep learning algorithms, the tool is able to analyze complex financial documents including the 1040 form, pay stubs, and account statements in approximately three minutes, and tailor a full set of tax-saving strategies for customers. As the service is only open to financial advisors for a monthly fee of $60, it greatly reduces the cost of traditional tax planning. The market is widely concerned that this will force traditional financial giants into a fierce "price war" and face serious profit contraction. Impacted by this news, stocks of wealth management and brokerage firms collectively plunged on Tuesday, with overall valuations falling to the lowest level since April of last year. Among them, LPL Financial (LPLA.US) saw its stock price plummet by 11% at one point, closing with a decrease of 8.3%, reflecting investors' concerns about the homogenization competition in the services provided by the institution. Similarly, Charles Schwab Corp (SCHW.US) also recorded a significant drop of 7.4%, becoming a popular stock with a surge in trading volume that day. In addition, Raymond James (RJF.US) experienced its largest single-day decline since the beginning of the pandemic in 2020, falling approximately 8.8%, while venerable financial institutions like Ameriprise Financial (AMP.US) and Stifel Financial (SF.US) were not spared, with declines ranging between 4% and 7%. Industry analysts have shown mixed reactions to this phenomenon, with some experts believing that this "AI panic" reflects an overreaction to technological change in the market. According to Bloomberg Intelligence's analysis, although the efficiency of Hazel may reduce the demand for entry-level tax consulting, the core barriers in wealth management lie in the complex behavioral guidance and deep trust building needed for high-net-worth clients, soft skills that are still difficult to fully replicate with automated algorithms in the short term. However, research from Morningstar also cautions that if traditional giants cannot quickly integrate similar AI capabilities into their existing platforms, their customer acquisition costs in the wave of digital asset transfer will continue to rise, leading to a fundamental adjustment in their revenue structure in the future. The following are the performances of other industry stocks as of Tuesday: LPL Financial Holdings Inc. (LPLA.US) - Daily performance: -8.31%, SA quantitative rating: 3.02 The Charles Schwab Corporation (SCHW.US) - Daily performance: -7.42%, SA quantitative rating: 3.42 Raymond James Financial, Inc. (RJF.US) - Daily performance: -8.75%, SA quantitative rating: 2.94 Stifel Financial Corp. (SF.US) - Daily performance: -3.83%, SA quantitative rating: 2.84 Piper Sandler Companies (PIPR.US) - Daily performance: -3.44%, SA quantitative rating: 2.99 BGC Group, Inc. (BGC.US) - Daily performance: -3.50%, SA quantitative rating: 2.30 Morgan Stanley (MS.US) - Daily performance: -2.45%, SA quantitative rating: 3.43 Perella Weinberg Partners (PWP.US) - Daily performance: -1.73%, SA quantitative rating: 2.28 Interactive Brokers Group, Inc. Class A (IBKR.US) - Daily performance: -1.56%, SA quantitative rating: 4.39 Robinhood Markets, Inc. (HOOD.US) - Daily performance: -1.11%, SA quantitative rating: 3.09