The increasing adoption of Artificial Intelligence (AI) in financial markets has significantly transformed traditional investment decision-making processes. While conventional investment decisions rely heavily on human judgment, behavioural finance literature has consistently highlighted the presence of psychological and emotional biases influencing investor behaviour. This study empirically examines the impact of AI adoption on investor behaviour and investment decision-making. Primary data were collected from 260 respondents, including individual investors, fund managers, and financial analysts, using a structured questionnaire. Descriptive statistics, correlation analysis, and chi-square tests were employed to analyse the data. The findings reveal that AI-based tools help reduce behavioural biases and improve rational decision-making; however, investors largely perceive AI as a supportive tool rather than a complete replacement for human expertise. The study concludes that hybrid decision-making models integrating both human intelligence and AI are the most effective approach in modern financial markets.
- Quote paper
- S. J. Sanjana (Author), 2025, From Human Bias to Machine Intelligence. An Empirical Study on Investor Behaviour and AI-Based Investment Decision Making, Munich, GRIN Verlag, https://www.grin.com/document/1684113
