2024 Global Retail Investor Outlook 2025

Calls to action: boom of AI and tech evolution Page 32+41+52+59 Policy-makers and governmentsEnsure AI regulations in financial services offer clear oversight of technology providers, while encouraging their support for financial institutions in areas such as compliance, monitoring and due diligence on AI tools. Standardize data hygiene practices when training AI tools for financial services, designing and enforcing guidelines aimed at ensuring clean, accurate and bias-free algorithm outputs. Page 32+41+52+59 Traditional financial institutionsScale affordable personalized advisory services by employing AI to deliver tailored investment strategy suggestions directly to individuals and/or “next-best-action” recommendations to relationship managers (service model democratization). Implement wealth management efficiency tools using AI to streamline key back-, middle- and front-office processes such as risk management, compliance reporting and customer engagement. Fintech and other tech companiesOffer interactive AI-powered chatbots to make financial education more accessible and engaging for younger generations of retail investors. Use retail investors’ behavioural data to create adaptive wealth management platforms that evolve based on user preferences, habits and needs.Exchanges and infrastructure playersPromote collaborative financial infrastructure data-sharing protocols to facilitate retail investor servicing and seamless delivery of high-potential AI-powered use cases – for example, by providing a basis for algorithm training. Design safe and resilient architectures at a financial infrastructure level, ensuring compatibility with innovative AI-intermediated market interaction models adopted by retail investors. (Other) private sector and NGOsPartner with governments and institutions to promote financial literacy initiatives powered by AI, systematically tailored to diverse demographics and emerging categories of retail investors. Actively advocate for the widespread adoption of ethical AI practices by promoting cross-industry collaboration and alignment on related transparency and fairness standards. Traditional media and social media playersApply AI to enable at-scale financial content personalization, ensuring systematic relevancy and understandability across diverse categories of individuals. Combat misinformation by using AI to automatically flag and clarify misleading financial content that can be found online (while also promoting transparency through clear labelling of AI-generated posts). 2024 Global Retail Investor Outlook 59