The use of “AI” triggers for the Robo-Advisory stock market transaction surge

Viralterkii.id, London-When chatgpt approaches his third birthday, at least one in 10 retail investors use chatbot to choose shares, which triggers an explosion in the Robo-Advisory Market, although its fans say that this is a high-risk strategy that has not been able to replace traditional advisers.

Thanks to artificial intelligence, anyone can choose shares, monitor it, and obtain investment analysis that was previously only available to large banks or institutional investors.

The Robo-Advisory Market which includes all companies that provide automatic and algorithmic financial advice such as fintech, banks, and wealth managers, are expected to grow to revenues of 470.91 billion US dollars in 2029 from 61.75 billion US dollars last year, marking an increase of around 600 percent, according to firm data analysis of research and market data.

Jeremy Leung, who spent nearly two decades analyzed the company for UBS (Union Bank of Switzerland), had used chatgpt to pursue shares for his multi-asset portfolio since he lost his job at the Swiss bank earlier this year.

“I no longer have a luxury (terminal) of Bloomberg, or such a market data service is very expensive,” said Leung.

“Even a simple chatgpt tool can do many things and replicate a lot of workflows that I usually do,” he added, reminding that such tools might miss some important analyzes because they could not access the data behind Paywall.

But apparently Leung was not alone because this industry developed rapidly and exponentially.

About half of the retail investor said they would use AI tools such as chatgpt, whose launch in November 2022 triggered AI explosions on the market, or Google’s Gemini to choose or change investments in their portfolios, and 13 percent of them already used this tool, according to a survey of the ethoro broker, which surveyed 11,000 retail investors worldwide.

In the United Kingdom, 40 percent of respondents surveys by Finder comparative companies said they had used chatbots and AI for personal financial advice.

ChatGPT itself warns that his party should not be relied upon to provide professional financial advice and say the owner OpenAI has not released data about the number of people who use their chatbot to choose investment.

“The AI ​​model can be very brilliant,” said Dan Moczulski, Director of Implementing Ethoro in the UK, who has 30 million users worldwide.

“The risk arises when people treat generic models such as chatgpt or Gemini as a crystal ball,” he explained.

Moczulski said his best was to use AI -made platforms that were specifically trained to analyze the market because the general AI model could be incorrectly citing numbers and dates, too dependent on the narration that had been predetermined, and too dependent on the movement of past prices to try to predict the future.
Use of “ai” triggers for the surge in the Robo-Advisory Doc Stock Market Transaction: AFP/Kirill Kudry Avtsev

Finder has even asked for chatgpt in March 2023 to choose a basket of stocks from high -quality businesses, with criteria such as debt levels, sustainable growth, and assets that produce advantages compared to competitors. (Bn)