Robo-advisors, Algo-trading and AI, VS. Social Trading and Crowd Wisdom: Seemingly opposing developments in the WealthTECH and investment sector. Who will gain the upper hand?
When looking at the changes taking place in the WealthTECH and investment sector of the FinTech disruption, it seems as though the developments are apparently occurring in opposing directions simultaneously:
The Rise of The Robots
On the one hand there is an increase in automated investment capabilities made possible by technological advances in the fields of big data analytics, algorithms and machine learning.
Shared Human Investment Wisdom.
On the other hand, technological advancements also allow connecting investors globally, and utilizing their shared wisdom to empower human traders by allowing them to interact with each other and learn from each other.
How will the WealthTECH and Investment sector continue to evolve? Which of these apparently opposing directions will gain the upper hand? And where are these contrasting developments leading to, in regard of the role of humans in the investment world?
What do you think? Would you invest your money with Robots or with Humans? I'd love to hear your comments.