Numerous AI-powered investing platforms have flooded the Internet, promising to let artificial intelligence manage users’ stock portfolios. Moreover, new data from a CFP Board survey shows over one-third would adopt AI advice without verification, despite broad distrust in financial planning information from social media or AI-powered chatbots.
While many investors are yet to fully trust AI, taking unverified AI advice could still be concerning, as many “AI investing” platforms online today rely on automation that predates recent AI hype and advancements.
Some top search results for the same simply suggest online investment platforms or trading bots that have existed for years. And so, it’s not even clear if such apps have implemented true artificial intelligence at the moment.
John Allan, according to BBC, warned against being “swayed by the latest craze” regarding serious financial decisions. He pointed out that investment choices can significantly impact people’s long-term goals and objectives.
Allan said more proof is needed that AI can be effective over the long run before placing full trust in the technology. “I think at the very least, we need to wait until AI has proved itself over the very long term, before we can judge its effectiveness,” he stated. “And in the meantime, there will be a significant role for human investment professionals still to play.”
While AI-powered financial tools continue gaining popularity, it’s evident that money matters still need verification from human experts.