By As ChatGPT nears its third year in the wild, the AI tool is increasingly being used by everyday investors to answer one of the oldest questions in finance: “Which stocks should I buy?” This phenomenon is helping to turbocharge the growth of the global robo-advisory industry.
The robo-advisor market is forecast to surge from $61.75B to $470.91B by 2029, marking a roughly 600% increase. According to surveys, 13% of retail investors already use AI chatbots for stock advice, and nearly half are open to doing so.
One AI-generated stock basket picked via ChatGPT has delivered gains of nearly 55%, considerably ahead of many mutual funds. However, financial professionals caution that while AI may assist, it’s not a substitute for experienced human judgment.
Dan Moczulski, MD at eToro, warns that AI models can slip—mixing up dates or numbers, following narratives too closely, or overestimating trends. Similarly, Jeremy Leung emphasizes that crafting precise prompts (“use only credible sources”) is essential to yield meaningful output.
Still, the implications are enormous. AI is lowering the barrier: investors who would never have afforded institutional research now have access to model-based picks. The critical challenge ahead is whether users will combine AI with risk management and domain expertise.