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Robo-Advisors in Investment Management

Robo-Advisors in Investment Management
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Author(s): Priyanka Mathur (Manipal University Jaipur, India)and Asha Mamraj Sharma (Manipal University Jaipur, India)
Copyright: 2024
Pages: 25
Source title: Risks and Challenges of AI-Driven Finance: Bias, Ethics, and Security
Source Author(s)/Editor(s): Siraj Kariyilaparambu Kunjumuhammed (Modern College of Business and Science, Oman), Hisham Madi (Modern College of Business and Science, Oman)and Mahmoud Abouraia (Modern College of Business and Science, Oman)
DOI: 10.4018/979-8-3693-2185-0.ch006

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Abstract

The chapter on robo-advisors in investment management explores the multifaceted landscape of automated investment platforms, shedding light on the hurdles and apprehensions associated with their integration into the financial industry. Delving into issues such as the absence of human touch, regulatory compliance complexities, technological risks, algorithmic challenges, market volatility considerations, and the imperative need for client education, the chapter offers a comprehensive examination of the challenges and concerns that both investors and industry participants encounter in the realm of robo-advisors. By delineating these challenges, the chapter aims to contribute to a nuanced understanding of the dynamics shaping the adoption and evolution of robo-advisory services, robust risk management strategies to navigate market uncertainties, and the essential role of client education in fostering understanding and trust.

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