Four in five less experienced investors aged between 18 and 40 have used artificial intelligence to help with investing, according to research published by the Financial Conduct Authority on 27 August 2026.
Around two-thirds said they used AI occasionally or regularly. The research also found that 56% trusted AI tools, compared with 47% for television and radio, 46% for the press and 29% for social-media influencers.
The findings suggest that general-purpose AI tools are becoming an established part of how younger adults research investments. However, the FCA also identified potentially serious misunderstandings about the protection available when people rely on those tools.
What the FCA found
The FCA reported that 44% mistakenly believed AI-generated financial information was regulated, while 38% believed it was acceptable to make an investment decision solely from AI output.
Almost one-third, 32%, incorrectly thought they could receive compensation from the Financial Services Compensation Scheme or Financial Ombudsman Service if AI advice went wrong.
At the same time, 73% recognised that AI could produce inaccurate information and 86% understood that sources cited by an AI tool should be checked. Two-thirds expected to use AI more during the following year.
The survey covered 666 UK respondents aged 18 to 40 who either owned investments or would consider investing within the next 12 months. It was conducted through the Attest platform on 24 July 2026.
Verified facts
General-purpose AI chatbots are not regulated by the FCA. The regulator says a tool specifically configured to provide financial advice would be more likely to fall within its remit.
Using an unregulated chatbot does not create the same protections that may apply when receiving regulated financial advice. An inaccurate answer from a general-purpose AI tool does not automatically provide access to FSCS compensation or the Financial Ombudsman Service.
What it means for investors
AI can be useful for explaining terminology, comparing publicly available information and identifying questions for further research. It should not be treated as an authoritative source or as a substitute for regulated financial advice.
The most important practical distinction is between using AI to support research and allowing it to make the investment decision. AI systems can misunderstand financial documents, use outdated information or present uncertain conclusions confidently.
Investors should verify important figures against company announcements, regulatory filings and official statistics. They should also check whether any firm providing investment services is authorised by the FCA.
What remains uncertain
The survey focused on 18- to 40-year-olds who already owned investments or were considering investing. It should not be interpreted as representing every UK adult or investor.
The terms “used AI” and “less experienced investor” may also cover a wide range of behaviours and experience levels. The research measures reported attitudes and behaviour rather than independently observing investment decisions or outcomes.
How to use AI more safely
- Ask the AI tool to identify its sources.
- Open and verify the original documents.
- Check when the information was published.
- Treat forecasts and investment suggestions as uncertain.
- Confirm a financial firm’s regulatory status through the FCA Firm Checker.
- Seek regulated financial advice when personal recommendations are required.
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