Exploring the Role of Artificial Intelligence in Investment Management: An Empirical Study of Individual Investors in Jamshedpur

Abstract

Artificial Intelligence (AI) is transforming investment management by enabling investors to make faster, data-driven, and informed financial decisions. This study examines the impact of Adoption of AI-Based Investment Tools, AI-Assisted Investment Decision-Making, Sustained Use of AI-Based Tools, AI-Enabled Mitigation of Behavioral Biases, and Future Intention to Use AI-Based Tools on the Investment Performance of individual investors in Jamshedpur. The study adopts a quantitative research approach using a structured questionnaire to collect primary data from 385 individual investors selected through convenience sampling. The collected data were analyzed using SPSS Statistics 17.0 and SmartPLS 4. The measurement model confirmed satisfactory reliability and validity, while the structural model revealed that all five independent variables have a positive and statistically significant impact on investment performance. Among the predictors, AI-Assisted Investment Decision-Making exhibited the strongest influence, followed by Sustained Use of AI-Based Tools. The findings highlight the growing importance of AI-enabled investment technologies in enhancing investment performance and provide valuable implications for investors, financial institutions, fintech companies, and policymakers seeking to promote technology-driven investment practices.