Back to Search
Start Over
The Utilization of Robo-Advisors by Individual Investors: An Analysis Using Diffusion of Innovation and Information Search Frameworks
- Source :
-
Journal of Financial Counseling and Planning . 2020 31(1):130-145. - Publication Year :
- 2020
-
Abstract
- This study examines the roles of internal and external search characteristics and attitudinal factors in investors' decisions to utilize robo-advisor-based platforms. Using the 2015 state-by-state National Financial Capability Study and Investor Survey, this study finds that the need to free up time, higher risk tolerance, higher subjective financial knowledge, and higher amounts of investable assets were positively associated with individual investors' adoption of robo-advisors. Additionally, the results from the interaction model indicates that individuals under 65 with a higher risk tolerance and greater perceived investment knowledge were more likely to use robo-advisors. Implications of the key findings for scholars, practitioners, and industry leaders are included.
Details
- Language :
- English
- ISSN :
- 1052-3073
- Volume :
- 31
- Issue :
- 1
- Database :
- ERIC
- Journal :
- Journal of Financial Counseling and Planning
- Publication Type :
- Academic Journal
- Accession number :
- EJ1280259
- Document Type :
- Journal Articles<br />Reports - Research