Detrimental Trust in Automation: How Conversational Robo Advisors Leverage Trust and Mis-Calibrated Risk Taking
Robo advisors provide an automated process of risk profiling and portfolio management to private investors. We show that robo advisors can cause consumers to select objectively incorrect portfolio recommendations that are inconsistent with their actual risk profile and to accept costly investment products that invoke larger annual management fees.
Citation:
Christian Hildebrand and Anouk Bergner (2019) ,"Detrimental Trust in Automation: How Conversational Robo Advisors Leverage Trust and Mis-Calibrated Risk Taking", in NA - Advances in Consumer Research Volume 47, eds. Rajesh Bagchi, Lauren Block, and Leonard Lee, Duluth, MN : Association for Consumer Research, Pages: 123-128.
Authors
Christian Hildebrand, University of Geneva, Switzerland
Anouk Bergner, University of St. Gallen, Switzerland
Volume
NA - Advances in Consumer Research Volume 47 | 2019
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