TY - GEN

T1 - Shall Regulators Introduce Special Rules for Robo Advising Services?

AU - Алексеенко, Александр Петрович

PY - 2022

Y1 - 2022

N2 - Digital technologies have changed the sphere of investments dramatically. Robo-advisors based on artificial intelligence and automated algorithms introduced new opportunities for investors. Limited in money private investors have got a cheap tool, which helps them to create and manage their portfolios. This paper aims to identify the main challenges connected with robo-advising services and propose key principles of establishing the legal framework for them. Analysis has shown that except benefits to consumers, robo-advisors raises a lot of risks related to information disclosure, conflict of interest, inability to clarify complete financial situation of a consumer. National regulators react differently on named challenges. The U.S.A., Germany, China and Russia apply general rules for market regulation, while Australia, Singapore and the U.K. established guidelines stressing the necessity to protect unsophisticated investors from robo-advising related risks. The paper concludes that legally binding standards for shaping robo-advisors and providing robo-advising services are necessary.

AB - Digital technologies have changed the sphere of investments dramatically. Robo-advisors based on artificial intelligence and automated algorithms introduced new opportunities for investors. Limited in money private investors have got a cheap tool, which helps them to create and manage their portfolios. This paper aims to identify the main challenges connected with robo-advising services and propose key principles of establishing the legal framework for them. Analysis has shown that except benefits to consumers, robo-advisors raises a lot of risks related to information disclosure, conflict of interest, inability to clarify complete financial situation of a consumer. National regulators react differently on named challenges. The U.S.A., Germany, China and Russia apply general rules for market regulation, while Australia, Singapore and the U.K. established guidelines stressing the necessity to protect unsophisticated investors from robo-advising related risks. The paper concludes that legally binding standards for shaping robo-advisors and providing robo-advising services are necessary.

UR - https://link.springer.com/chapter/10.1007/978-3-030-87687-6_19

UR - https://www.mendeley.com/catalogue/84361440-c2bd-366e-8200-f946f4eb331e/

U2 - 10.1007/978-3-030-87687-6_19

DO - 10.1007/978-3-030-87687-6_19

M3 - Conference contribution

SN - 978-3-030-87686-9

T3 - Advances in Intelligent Systems and Computing

SP - 190

EP - 198

BT - New Trends in Disruptive Technologies, Tech Ethics and Artificial Intelligence

PB - Springer Nature

CY - Cham

T2 - DiTTEt 2021: Disruptive Technologies Tech Ethics and Artificial Intelligent

Y2 - 15 September 2021 through 17 September 2021

ER -