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‘AAI Se AI Tak’: Who guides your investment decisions?

Anyone can tell you how to spend your money. But very few people tell you how to save it. And even fewer tell you how to invest it. And when they do, you end up facing a choice overload and have a hard time deciding whether to listen to the well-meaning but limited advice that your mother dishes out or to the overwhelming persuasion of your financial advisor.

We all need someone to follow when deciding where we should invest our money. The objective is always to maximise your profits and minimise your losses. What you need is investment advice that is adapted to your financial situation, your risk appetite, and your priorities. But most importantly, it needs to be advice that is completely devoid of emotion and any conflict of interest.

  1. Your mother is your safest investment advisor

Your first and most risk-averse investment advisor is your aai. Given that she’s looking out for you and only wants what’s best for you, her investment portfolio for you would comprise the most low-risk, low-yield and largely hassle-free avenues. Think fixed deposits, Public Provident Fund, gold, or Post Office Savings Schemes. 

While that may not be the worst way to start your investment journey, it will not be enough to help you keep up with the inflation rate, protect you from tax implications, or maximise your profits. More importantly, while the advice is earnest, it may not necessarily be coming from an objective place, but rather an emotional one. 

And that’s what puts you in a dilemma. On the one hand, you are reluctant to upset the one person who actually wants the best for you but at the same time, your search for objective, factual and research-based investment advice that is devoid of emotion has not ended.

  1. Where does your investment advisor come in?

As you seek to graduate to the next level and take your investments beyond the realms of “safe” or “guaranteed” returns, your next tryst with someone who’s equally interested in you making some profits from your investments is an Investment Advisor (IA). The latter puts forth a plethora of investment options, vehicles, and avenues, giving you a number-crunched analysis of the best stocks, mutual funds, and other equity-related assets.

While it is fair to say that your financial advisor is more than likely to give you comprehensive and relevant investment advice, the latter may not necessarily be basing the advice on objective factors. Since investment advisors are intermediary agents, their incentive to guide you to financial success can be primarily driven by the options that are most lucrative for them. 

And so while their allegiances may be divided, this does not discredit their ability to give you decent advice. But it does call into question the objectivity of the investment advice.

Is there an intelligent, unbiased and adaptable tool that you can rely on to maximise your profits?

  1. If not AAI or IA, then AI could be the answer

Beyond the world of motherly advice and Registered Investment Advisors lies an automated, algorithm-driven, and human-free solution. A product of the tech age, Appreciate now provides financial planning services based on Artificial Intelligence with little to no human intervention.

Appreciate’s AI-driven solution collates all your data and offers you personalized investment advice that factors in your goals, your needs and your risk appetite. As users, you feed the digital platform with your pertinent financial details and all of that data is then evaluated by machine learning algorithms to give you a summary of your financial position and to allow the application to recommend relevant investments.

Can AI alone do the job?

Investment is a dynamic process. It needs careful due diligence, meticulous self-assessments and razor-sharp understanding of the variety of investment avenues in the market. And so, it is only natural that your investment decisions be based on a holistic and balanced approach. Which is to say that you need to be able to optimise each of these three sources of investment advice.

Your mother’s advice that allows you to make secure and risk-mitigating decisions, your financial advisor’s guidance that opens you up to the diversity of options and propels you towards self-study, and the neutral, data-backed, and personalized recommendations of Appreciate’s AI-based solution – all play an important role in enabling you to make informed investment decisions. Signup here today!

Team Appreciate

Team Appreciate