Is ChatGPT the better investment advisor? 💸 | Quick question with Prof. Lars Hornuf

For many investors, the search for the perfect investment opportunity is a major challenge. Researchers in the team of Prof. Lars Hornuf from TU Dresden have investigated whether and to what extent AI tools such as #ChatGPT can advise us on investment decisions. The results show that the portfolio suggestions made by artificial intelligence are comparable to those of professional investment advisors.
In the video, the economist explains how the researchers investigated the advising capabilities of ChatGPT-4. Is AI capable of suggesting a broad market portfolio of ETFs (exchange-traded funds) to investors that also takes into account their risk tolerance, investment horizon and the age of the investor profile?
Prof. Lars Hornuf and his team believe that in the future, GPT-4 could help to sift through and better understand the large amounts of information that otherwise overwhelm investors when making decisions. In the future, large language models could also be implemented in robots that offer financial advice.
Working paper of the study 👉 ssrn.com/abstract=4499485
Chair of Business Administration, esp. Finance and Financial Technology 👉 tu-dresden.de/bu/wirtschaft/b...
Editing: Anne-Ailine Krause, Karl J. Donath
Production: Karl J. Donath, Kristof W. Kempe