Financial Innovation volume 10 , Article number: 18 Cite this article. Metrics details. The growing demand for digital investment advisory services and the advancing technological process led to increased attention to this topic in recent literature. In light of these developments, the question arises whether conventional and digital advisors behave differently in their investment advisory decisions.
I therefore conducted a systematic literature review and evaluated 97 publications on the determinants of conventional and digital investment advisory decisions. Based on the literature, five main determinants were identified that are important for investment advisory decisions. These determinants are identical for both variants of the advice, but there are differences in the way they are addressed. This systematic literature review provides an overview of the current state of research and can therefore help identify areas where investment advice can be improved in the future.
Through the advancement of technology, digital algorithms are already able to advice clients in investment affairs. Many statistics forecast an ongoing rise of assets under management in the robo-advisory market. Statista , for example, projects that approximately 3. This form of advising cannot only be cheaper in terms of lower operating costs see e. Deloitte GmbH , p. Jung et al. Furthermore, robo-advisors may not be influenced by emotions see Rosenberg , so that such robots may also bypass behavioral biases see e.
Uhl and Rohner , p. There is now a large body of literature on digital investment advice, so that it is worth investigating whether there are fundamental differences in decision making between conventional and digital investment advice.
Therefore, the objective of this paper was to systematically review the literature on the determinants of conventional and digital investment advisory decisions. In this context, it was important to find out whether the two variants of advice differ in their decision-making with respect to the determinants.
