Investors Turn to AI for Market Guidance

As ChatGPT nears its third birthday, its influence on retail investing is undeniable: at least one in 10 investors worldwide now use AI chatbots to pick stocks, according to broker eToro’s global survey.

The robo-advisory market is projected to surge from $61.7 billion in 2023 to nearly $471 billion by 2029, marking a 600% leap.

Former UBS analyst Jeremy Leung, now managing his own portfolio, says ChatGPT replicates many of his old workflows at a fraction of the cost but warns it lacks access to premium data.

Industry voices echo his caution—eToro’s UK chief Dan Moczulski says treating general AI models like “crystal balls” is dangerous, urging investors to rely on AI platforms trained specifically on financial markets.

Still, AI-generated portfolios have shown striking success: a stock basket ChatGPT picked for Finder last year, including Nvidia, Amazon, Walmart, and Procter & Gamble, outperformed the UK’s top funds by 19 percentage points.

Experts stress, however, that without risk management, investors could face steep losses when markets turn, making AI both a revolutionary tool and a potential liability in modern finance.