By
August 29, 2026
Young Investors Trust AI More Than TV and Celebrity Advice
Artificial intelligence is rapidly changing how younger people research investments and make financial decisions. Instead of relying solely on television, newspapers or celebrity endorsements, many young investors are now turning to AI tools for quick explanations, market research and investment ideas.
Recent research from the UK’s Financial Conduct Authority found that 56% of investors aged between 18 and 40 trust AI tools for investment information. This was higher than the percentage who trusted television and radio, the press or social media influencers.
However, growing confidence in AI also creates risks. AI-generated information can be inaccurate, outdated or unsuitable for an investor’s personal circumstances.
AI tools make financial information easier to access and understand. A user can ask a question in everyday language and receive an immediate explanation without searching through lengthy reports or financial websites.
Young investors commonly use AI to:
For beginners, AI can make investing appear more approachable. It can simplify technical subjects and provide information at any time without an appointment or consultation fee.
The way younger generations consume information has changed significantly. Television programmes and newspapers are no longer the first place many people go when they have a financial question.
According to the FCA research, 56% of young and less-experienced investors trusted AI tools, compared with:
Four in five less-experienced investors surveyed had already used AI for help with investing. Around two-thirds expected to rely on it even more during the following year.
These results suggest that AI is becoming an important starting point for investment research.
One reason is that AI can appear neutral. Unlike a celebrity or influencer, an AI chatbot may not seem to have a personal reputation, product or lifestyle to promote.
Other reasons include:
AI tools can provide information within seconds, making them convenient for investors who want to research a topic quickly.
Complex subjects such as diversification, compound growth and market volatility can be explained in accessible language.
Users can ask follow-up questions and request explanations based on their experience or objectives.
Many AI tools are free or inexpensive compared with obtaining personalised advice from a professional financial adviser.
Some users may feel more comfortable asking an AI tool basic financial questions than discussing their limited knowledge with another person.
AI can be helpful for education and initial research, but its responses should not automatically be treated as reliable investment advice.
An AI system may:
AI also cannot reliably predict how markets, individual shares or cryptocurrencies will perform. Investment values can rise or fall due to economic events, company performance, interest rates and many other unpredictable factors.
General information produced by a public AI chatbot is not necessarily regulated financial advice.
This is an important distinction because FCA research found that 44% of the young adults surveyed mistakenly believed AI-generated financial information was regulated. Some also incorrectly thought they might receive compensation if AI information caused them to lose money.
Regulatory protection generally depends on who provides the service and whether the relevant firm and activity are authorised. Using an AI feature offered by an authorised financial business does not automatically mean every response or activity is protected.
Investors should check the FCA Register before using a business or individual offering financial products or regulated investment advice.
The greatest risk is acting on an AI-generated recommendation without independently checking it.
For example, an AI tool might recommend an investment based on historical performance without properly accounting for:
AI-generated content can also be used by fraudsters to create convincing investment promotions, fake endorsements and impersonation scams. Investors should be especially cautious when promised guaranteed or unusually high returns.
AI is generally more useful as a research assistant than as a replacement for professional financial advice.
Before making an investment decision:
Investors should also ask AI tools to explain potential disadvantages and risks, rather than requesting only the possible benefits of an investment.
AI is likely to become an increasingly important part of financial research, but it is unlikely to replace professional advisers completely.
A qualified adviser can examine a person’s wider circumstances, financial objectives, tax position and appetite for risk. They may also carry professional responsibilities and regulatory obligations that do not apply to a general-purpose AI chatbot.
The more likely future is a combined approach. Investors may use AI to understand basic concepts and prepare questions before speaking with a regulated adviser.
Young investors clearly see value in fast, accessible and personalised financial information. Their growing trust in AI reflects a wider movement away from traditional media and celebrity-led financial content.
Nevertheless, confidence should not be confused with accuracy. AI can support research and financial education, but it cannot guarantee returns or eliminate investment risk.
Young investors who use AI responsibly—while checking sources, understanding regulatory protections and applying their own judgement—will be better positioned to benefit from the technology without becoming overly dependent on it.
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