Who uses robo-advisory services, and who does not?

Authors

  • Martha Fulk University of Georgia
  • John E. Grable University of Georgia
  • Kimberly Watkins University of Georgia
  • Michelle Kruger University of Georgia

DOI:

https://doi.org/10.61190/fsr.v27i2.3390

Keywords:

Robo-advisor, Robo-advisory services, Financial planner, Financial planning

Abstract

The purpose of this study was to compare the demographic, attitudinal, and behavioral character- istics of U.S. consumers in their current and expected use of robo-advisory services, traditional financial planning services, or a combination of the two services. Findings showed a difference between those who used robo-advisory services and those who used traditional financial planning services. Overall, those who used a traditional financial planner were older and reported higher levels of net worth, while users of robo-advisors, on average, reported lower levels of net worth. In addition, those who used traditional financial planning services reported a larger percentage of their total net worth from an inheritance, whereas a lower percentage of net worth from an inheritance was reported by robo-advisor users. Results showed that users of robo-advisory services generally (1) had lower income, (2) had lower net worth, (3) had received no or less inheritance, and (4) were less impulsive financially.

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Published

2018-06-30

How to Cite

Fulk, M., Grable, J. E., Watkins, K., & Kruger, M. (2018). Who uses robo-advisory services, and who does not?. Financial Services Review, 27(2), 173–188. https://doi.org/10.61190/fsr.v27i2.3390

Issue

Vol. 27 No. 2 (2018): Summer 2018

Section

New Original Submission

License

Copyright (c) 2018 Academy of Financial Services

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