Nearly 40 percent of U.S. retail investors are now willing or already using artificial intelligence (AI) tools to guide their investments, according to new research from investment platform eToro.
important point
- According to eToro Investor Survey, 4 out of 10 want ChatGPT to offer stock selection.
- Demographics show that younger investors are more open to AI technology.
- Interest in AI stocks is also expected to be low this year on social trading platforms.
Young investors keen on AI-driven investments
Demographics influence who is willing to let AI assist with stock selection. According to the latest survey results, 69% of investors between the ages of 35 and 44 said they trust tools like ChatGPT to choose investments and execute trades.
But mature investors are more skeptical, with 35% of those 55 and older saying they will use new technology. The survey also found that only 31% of female investors said they currently use or are willing to use it.
Let AI choose stocks rather than invest in AI stocks
The latest eToro data marks a strong year for artificial intelligence stocks, with the likes of Nvidia (NVDA) up 188% year-to-date to join the $1 trillion club.
A survey by eToro showed that only 11% of investors plan to increase their investment in AI stocks for the rest of the year, with some falling to 10% in the wake of the widespread rally in AI stocks. Investors are concerned about valuations.
This is in line with last week’s data from Vandatrack, where analysts said they were seeing a rotation from AI stocks to “lag EV” stocks.
Will ChatGPT show up in investment manager jobs?
eToro’s Retail Investor Beat Survey of 1,000 U.S. Retail Investors Also Finds 34% of Respondents Believe Chatbots Can Make Better Investment Choices Than Fund Managers I understand. Business Insider recently named market research analysts among the top 10 jobs likely to be replaced by AI.
This confirms the growing importance of artificial intelligence in the investment industry and the growing confidence in artificial intelligence among retail investors. A recent report from PWC found that assets under management by robo-advisors could more than double by 2027 to nearly $6 trillion compared to 2022, with trading strategies and data analytics powered by generative AI. could be the future of the wealth management industry.
Despite all the buzz around applications like ChatGPT that offer investment advice, the long-term benefits are still unknown.
