August 25th, 2013: Nearly one out of three investors would trust artificial intelligence (AI) to be their financial advisor, according to a survey by the Certified Financial Planner Board of Standards.
Specifically, 31% of those asked said they would use financial advice from generative AI without checking with another source first.
Generative AI, like ChatGPT, uses special methods to create new content. This can be art, music, or in this case, financial advice. But the advice might not always be right.
Kevin Keller, the head of the CFP Board, said that AI’s advice isn’t always correct. He added, “It’s the Wild West out there.”
An interesting finding was that older investors, those 45 and older, trusted AI more. 62% of them were “very satisfied” with AI advice, compared to only 38% of younger investors.
Michael Kitces, a Certified Financial Planner, said it could be hard to know what to ask AI, especially with your life savings at stake. He asked, “Have you tried logging into ChatGPT to ask it questions only to find yourself sitting there wondering, ‘What should I ask an AI chatbot?'”
Even though AI like ChatGPT is becoming more popular, experts say that people who use AI for financial advice should still check the information.
The saying “trust but verify” is a good rule to follow.
