Differences in Investment Behavior – A Quantitative Study on the Effects of Robo-Advisors and Human Financial Advisors

This study examines investment behavior differences between static and conversational robo-advisors and human financial advisors, focusing on affective trust, risk, and financial literacy. Using an online factorial experiment (n = 165), U.S. participants evaluated advisor scenarios under positive and negative message framing. MANOVA and Pearson correlations revealed no significant trust or risk differences across advisor types or framings. However, individuals with high financial literacy perceived conversational robo-advisors as riskier under negative framing, while lower-literacy participants trusted robo-advisors more. The study highlights the need for human-like design improvements in robo-advisors and enhanced financial education to support informed, confident decision-making.