A recent eToro survey showed that roughly 19% of traders have no problem using AI tools, such as ChatGPT, to manage their retail investment portfolios. Older-generation investors, however, remain hesitant to do so.
Gearing for the future: Letting AI tools drive retail investment portfolios
The social trading platform conducted a study of 10,000 retail investors in 13 countries to gauge the receptiveness of applying evolving technological trends in investment decisions. The gathered data reflected that 35% of these were willing to use technology to inform trading choices, while 40% firmly rejected the notion.
Interestingly, the 19% open to the use of AI tools in trading are not the youngest or least experienced. They are between the ages of 35 and 44 years and are already turning to these innovations to save time and effort in the trading arena.
Ben Laidler, Global Market Strategist of eToro, commented:
“Consumer AI tools are seeing the fastest growth rates of any technology in history, and it’s no surprise that early adopters are starting to use them for investing. These older, wealthier, and more experienced investors are pioneering the investment use cases, from background research to stock-picking, that others seem increasingly likely to follow.”
However, the Security and Exchange Commission (SEC) Chair, Gary Gensler, warned earlier this month that AI could potentially sabotage the global economy. He said:
“AI may heighten financial fragility as it could promote herding with individual actors making similar decisions because they are getting the same signal from a base model or data aggregator.”
