UK investors are increasingly turning to chatbots and robo-advisors for financial advice, according to findings from the annual Investor Index survey. Approximately 73% of UK investors believe that the AI chatbot, ChatGPT, could provide reliable financial advice in the future, with 42% of younger investors already using it. The study also found that 46% of UK investors believe that robo-advisors are the future of investing, with 34% preferring them over human financial advisors.
The study also reveals that younger people are struggling to afford property due to the cost of living crisis, with 59% stating it is stopping them from purchasing a home. As a result, 72% of all UK investors consider property to be the ultimate investment, while demand for better deals has led 69% of investors to shop around and consider new financial providers.
Investors are also turning away from ethical investing, with just over one-third of UK investors (38%) stating that ESG investments were important to them, down 6% from 2022. The study also found that there has been a drop in prioritising vegan-friendly investments (16%) and LGBTQ+ focused causes/investments (4%). The demographic least focused on ethical investing is people aged 65 and over, with only 24% considering ethical investments a priority.
The study also revealed that investors are relying more on their own research, with 54% adopting a self-reliant approach, up 11% from last year. Approximately 29% of investors who have never paid for financial advice believe that they can get all the information they need online. The findings suggest that investors are looking to invest in new green initiatives and future-focused tech solutions like AI and robotics, with less belief in the likely return from areas such as vegan and LGBTQ+ friendly investments.
The Investor Index survey was conducted among 1100 UK adults aged 18 and over with at least £10,000 invested, and jointly conducted by London-based communications agency AML Group and research and planning experts, The Nursery. The study has become a rigorous barometer of investor behaviour based on hard data and is now in its fourth year.
