A major accounting body’s research into Australian investors has shown almost half of this cohort is using artificial intelligence (AI) to make their investment decisions.
The “CAANZ Australian Retail Investor Confidence Survey” collated information from 1000 retail investors with more than $10,000 of assets in their portfolios and found 48 per cent use AI tools to make investment decisions and 81 per cent were at least somewhat satisfied with the information the digital source provided.
Further, of those using AI, one-quarter are employing it extensively, while the remainder are doing so infrequently.
“We have seen adoption of AI grow rapidly for both personal and professional use, but it is interesting to see investors are using it to guide where their money goes,” CAANZ chief executive Ainslie van Onselen noted.
“The results of this year’s survey show mum and dad investors, and the younger demographic, are turning to AI platforms like ChatGPT or Co-Pilot to guide their investment decisions.”
However, the survey also found trusting this form of technology was still a major issue, with 43 per cent of participants indicating they do not use AI as they lacked confidence in the material produced and 46 per cent saying they preferred to stay with “tried and tested” sources of information.
CAANZ chief economist Richard Holden said the increasing use of this digital technology in investment decision-making highlighted the importance of having reliable financial data for training AI models.
The research also revealed younger investors aged 18 to 29 were more likely to use AI to form investment decisions, with 78 per cent saying they used it. Additional analysis of these findings showed 15 per cent of male investors were more likely to use AI extensively for this purpose, compared to 9 per cent of women.
