INVESTORS’ TRUST IN ROBO ADVISOR

Abstract

Abstract

Robot advisors offer several advantages over traditional financial advisory services. However, robo-advisors are not without their drawbacks. This research aims to identify the extent to which individualistic traits influence investors' initial level of trust in financial robots. The contribution of this research is to provide insights that can be used by financial service providers and help young investors to invest easily. This research uses quantitative research methods. In quantitative research, researchers collect data through structured measurement instruments such as questionnaires to respondents via Google Form. Trustworthiness refers to a person's general willingness to trust other people in uncertain situations. Performance expectations include aspects of effectiveness, compatibility with the system used, and financial robot capabilities in the field of financial planning. Social influences from the surrounding environment, such as peers or family, can have a positive impact on trust. Trustworthiness, performance expectations, and social influence emerge as important factors influencing investors' decisions to adopt robo-advisors. As technology continues to develop and shape the financial services industry, addressing these psychological and social factors will be critical in driving widespread acceptance and use of automated investment platforms.