Will artificial intelligence make financial advisors obsolete? It may be too early to tell, but two-thirds of Americans are already using generative AI for financial advice, according to a study. Intuit credit karma survey published in September.
Nearly as many say they use GenAI “often” for financial guidance, and 75% of respondents say they feel AI allows them to ask questions they would be too embarrassed to ask a financial advisor.
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“GenAI is a powerful tool for learning, planning, and managing your money in more personalized ways,” said Courtney Alev, consumer financial advocate at Intuit Credit Karma, in the statement announcing the survey results. “While these tools put smart information at your fingertips, it’s also important to understand your options and how they fit into your broader financial picture.”
These are the most common finance-related topics people ask GenAI, according to Intuit Credit Karma:
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Financial education and personal finance basics (35%)
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Establishment of financial objectives and action plans (35%)
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Budget and expense management (34%)
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Savings optimization (33%)
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Invest in the stock market (32%)
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Large language models like ChatGPT are capable of providing fairly accurate personal finance advice, according to the economist and MIT finance professor. andres lo.
“”The preliminary analysis is that with a relatively light module (not a lot of data and not a lot of analysis) we are actually able to generate domain-specific passing knowledge across large language models,” Lo said last year in a post on the school’s website.
ChatGPT “doesn’t quite pass, but it’s close” without a module, Lo said. “Actually, it’s remarkably close.”
GenAI users also appear confident in its ability to provide solid financial information. According to the Intuit Credit Karma survey, four in five people who used technology for financial advice said their finances improved and 81% felt more confident managing their money.
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Of those who have used AI to obtain financial aid, 79% found the information accurate and 71% found it useful.