Article Details
  • Published Online:
    July  2026
  • Product Name:
    The IUP Journal of Accounting Research & Audit Practices
  • Product Type:
    Article
  • Product Code:
    IJARAP050726
  • DOI:
    10.71329/IUPJARAP/2026.25.3.86-105
  • Author Name:
    Rekha Kumar, Dipak Umbarkar and Ranu Gupta
  • Availability:
    YES
  • Subject/Domain:
    Finance
  • Download Format:
    PDF
  • Pages:
    86-105
Volume 25, Issue 3, July-September 2026
Impact of Robo-Advisors on Investment Strategies and Financial Stability: A Quantitative Study
Abstract

AI-powered personal financial advisors, also called robo-advisors, are revolutionizing finance with more efficient, customized, and cost-effective solutions. This paper uses mixed-methods approach to examine how they affect investing strategies, financial stability, and wellbeing. Quantitative surveys and financial performance measurements compare AI advisors to conventional approaches. Population diversity is ensured via stratified selection of 250 individuals. Regression methods highlight correlations between independent and dependent variables, offering a complete picture of AI-driven financial advice systems. The findings suggest that the use of AI-powered personal financial advisors significantly improves the efficiency and effectiveness of financial advice systems compared to conventional methods. This enhances financial stability, security, and overall wellbeing. User adoption and trust are crucial for the acceptance of AI-driven systems. Ethical and privacy concerns impact responsible behavior, emphasizing the need for stringent norms and privacy safeguards. The study highlights the transformational potential of AI in personal finance.

Introduction

In an age of fast technology progress, the financial industry is undergoing significant terrain shift. The conventional models of managing personal finances are changing, opening the door to a new era marked by artificial intelligence (AI)-powered personal financial advisors. Advanced automation and data analytics are used by these clever solutions to transform the way individuals navigate their financial journeys (Pangavhane et al., 2023).