Artificial Intelligence has emerged as a revolutionary tool for investors, enabling them to compare investment options, estimate retirement corpus, and review portfolios in mere seconds by transforming hours of complex financial research into simple conversations. According to Mint, Manikaran Singal, chief financial planner at Good Moneying Wealth Planners, a Sebi-registered investment adviser, has witnessed positive developments in using AI extensively in his work. As reported by Mint, Singal noted that better-informed investors usually make better decisions, and AI has made financial knowledge far more accessible, encouraging people to ask better questions and take greater interest in their financial lives.
Over the past few months, Singal has observed a concerning shift in client conversations, with prospective clients presenting their own AI-generated portfolio reviews. As reported by Mint, one client asked a question that particularly resonated: 'If AI has already analysed my portfolio so thoroughly, what additional value does a financial adviser really bring?' While Singal acknowledged this as a perfectly reasonable question, he emphasized that the real question should be: 'What happens to investor behaviour when financial information, analysis and seemingly personalised guidance become available instantly and almost free?' According to Mint, Singal clarified that AI hasn't changed the principles of investing; it only changed the ease with which investors respond to uncertainty.
Singal has identified a significant behavioral change in how investors approach market corrections since AI's advent. As reported by Mint, the natural pause anxious investors traditionally took after a market correction has almost disappeared, as portfolios can now be reviewed within minutes. This has resulted in investors not taking time for emotions to settle, with another AI prompt or platform only seconds away if one explanation doesn't feel convincing enough. According to Mint, clients now return within weeks after discussing an AI-generated portfolio review, even when their income, goals, and market conditions remain the same, simply because they desire another review after someone suggested trying a different prompt.
The constant second-guessing of portfolio decisions through AI analysis comes with significant hidden costs, according to Singal's analysis reported by Mint. The challenge begins when investors seek repeated reassurance rather than better understanding, as this drains time and mental energy that could be spent on improving professional and personal skills, investing in physical and mental health, and spending quality time with loved ones. As reported by Mint, Singal emphasized that 'Answers are not the same as decisions,' noting that good financial decisions still require judgment, context, and the discipline to stay committed to well-considered plans rather than emotionally driven choices.
Despite AI's transformative potential, Singal advocates for treating AI as an extraordinary learning partner rather than a crutch for constant reassurance. According to Mint, he suggests investors use AI to grasp complex concepts, challenge existing assumptions, and formulate better questions before making major financial moves. However, he warns against seeking fresh AI reviews every time market uncertainty arises. As reported by Mint, Singal emphasized that 'Technology will continue to become smarter. But the scarce resource in investing is no longer information. Increasingly, it is judgment, attention and the discipline to stay committed to decisions that were made thoughtfully rather than emotionally.' He concluded that the greatest opportunity AI offers is not endless analysis but the efficiency to understand money quickly, leaving investors free to actually live their lives.
