Man vs. AI: How financial advice, trust, attitude and level of expertise influence consumer intention to investment decision
Abstract/Description
Robots and Artificial Intelligence are now converting every type of business, from engineering to retail and service businesses towards automation. This technological advancement is aggressively established principles in economy & labor, so the automated technology penetration has been emerging rapidly per year and may replace almost half of the current jobs in the next few years.
This research deals with the quantitative examination in which primary data was gathered and analyzed to find the results. The data was collected from IBA students and employed people from different organizations. This research set out to examine how financial advice (AI vs. Human) impacts consumer investment decisions by observing the High vs. low level of expertise. Second, examine the influence of financial advice (AI Vs. Human) by using the role of mediating factors of attitude, trust and moderating factor level of level of expertise (high Vs. low) on consumer intention to investment decision. An experiment was conducted by setting four conditions. The respondents were randomly assigned survey questionnaires with Human Advisor high expertise/Low expertise and similar in case of Robo Advisor High expertise/Low Expertise. The model fitness was tested by using the confirmatory factor analysis CFA and reliability tests and hypothesis was tested and analyzed by using PROCESS tool version 26 in SPSS. The research was conducted to investigate that how consumers financial advice Human vs. AI will influence when the level of expertise is high vs. low which makes inclination of consumers towards investment decisions via perceived trust and attitude.
The banks and other financial institutions should design Robo Advisor with the features of humanly interaction with customers. It will not only help in easy accessibility, improved features, minimal cost but its judgment will not involve any emotional risk and help in customizing investment strategies. This research aims to find the influence of main drivers on the adoption of Robo vs. Human Advisors with the check of high vs low level of expertise variable. This research also gives insight to understand the consumer’s perceptions regarding the intention to investment decisions.
Keywords
Robo Advisor, Human Advisor, Artificial Intelligence, Trust, Attitude, Level of Expertise, Artificial Intelligence, Financial Services
Track
Finance
Session Number/Theme
2A: Finance
Session Chair
Dr. Azima Khan ; Dr. Ameenullah Aman
Start Date/Time
30-5-2024 3:25 PM
End Date/Time
30-5-2024 4:55 PM
Location
MCS – 3 AMAN CED Building
Recommended Citation
Mumtaz, W. (2024). Man vs. AI: How financial advice, trust, attitude and level of expertise influence consumer intention to investment decision. 3rd IBA SBS International Conference 2024. Retrieved from https://ir.iba.edu.pk/sbsic/2024/program/17
COinS
Man vs. AI: How financial advice, trust, attitude and level of expertise influence consumer intention to investment decision
MCS – 3 AMAN CED Building
Robots and Artificial Intelligence are now converting every type of business, from engineering to retail and service businesses towards automation. This technological advancement is aggressively established principles in economy & labor, so the automated technology penetration has been emerging rapidly per year and may replace almost half of the current jobs in the next few years.
This research deals with the quantitative examination in which primary data was gathered and analyzed to find the results. The data was collected from IBA students and employed people from different organizations. This research set out to examine how financial advice (AI vs. Human) impacts consumer investment decisions by observing the High vs. low level of expertise. Second, examine the influence of financial advice (AI Vs. Human) by using the role of mediating factors of attitude, trust and moderating factor level of level of expertise (high Vs. low) on consumer intention to investment decision. An experiment was conducted by setting four conditions. The respondents were randomly assigned survey questionnaires with Human Advisor high expertise/Low expertise and similar in case of Robo Advisor High expertise/Low Expertise. The model fitness was tested by using the confirmatory factor analysis CFA and reliability tests and hypothesis was tested and analyzed by using PROCESS tool version 26 in SPSS. The research was conducted to investigate that how consumers financial advice Human vs. AI will influence when the level of expertise is high vs. low which makes inclination of consumers towards investment decisions via perceived trust and attitude.
The banks and other financial institutions should design Robo Advisor with the features of humanly interaction with customers. It will not only help in easy accessibility, improved features, minimal cost but its judgment will not involve any emotional risk and help in customizing investment strategies. This research aims to find the influence of main drivers on the adoption of Robo vs. Human Advisors with the check of high vs low level of expertise variable. This research also gives insight to understand the consumer’s perceptions regarding the intention to investment decisions.
