They ask, “Should I buy?” — and ChatGPT answers. Across the world, retail investors are letting AI chatbots into their portfolios, despite regulators insisting these tools aren't yet ready to replace professional advice.
Regulation around AI-assisted investing is still evolving, but nearly one in five retail investors already use such tools to make or adjust portfolio decisions, according to a recent report by trading platform eToro. The report, based on a survey of 11,000 retail investors across 13 countries, did not specify which AI tools were used.
According to experts, the key question is whether AI interfaces are employed as research aids to support decision-making or whether they are providing direct investment advice. The latter is a regulated activity in the EU under the Markets in Financial Instruments Directive (MiFID), and no publicly-available AI tool is currently authorised to do so, according to the European Securities and Markets Authority (ESMA).
Nevertheless, many retail investors see ChatGPT-like tools as a way to sav
Continue Reading on Euronews
This preview shows approximately 15% of the article. Read the full story on the publisher's website to support quality journalism.