Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia

Many individuals seek guidance from experts to obtain financial services. Robo-Advisors (RAs) have recently replaced human financial advisors due to concerns about high professional fees, behavioural bias, conflicts of interest, etc. From this study, we wanted to know the adoption intentions and var...

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Main Authors: Yasmeen Ansari, Rohit Bansal
Format: Article
Language:English
Published: Elsevier 2024-12-01
Series:Journal of Open Innovation: Technology, Market and Complexity
Subjects:
Online Access:http://www.sciencedirect.com/science/article/pii/S2199853124001914
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author Yasmeen Ansari
Rohit Bansal
author_facet Yasmeen Ansari
Rohit Bansal
author_sort Yasmeen Ansari
collection DOAJ
description Many individuals seek guidance from experts to obtain financial services. Robo-Advisors (RAs) have recently replaced human financial advisors due to concerns about high professional fees, behavioural bias, conflicts of interest, etc. From this study, we wanted to know the adoption intentions and various determinants impacting RAs in the Kingdom of Saudi Arabia (KSA). Partial Least Squares Structural Equation Modelling (PLS-SEM) is employed to examine the data with a sample size of 1361 respondents from the KSA to determine the adoption factors for RAs. The study revealed that usefulness, perceived benefits, and policy interventions positively affect the adoption of RAs in KSA. The current research provides a comprehensive behavioural framework to understand RA's adoption by Saudi Arabian investors while also including the dimension of policy initiative by the governing authority.
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publisher Elsevier
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series Journal of Open Innovation: Technology, Market and Complexity
spelling doaj-art-bbe68a4308e14615aac53eec0c94fd092025-08-20T02:30:42ZengElsevierJournal of Open Innovation: Technology, Market and Complexity2199-85312024-12-0110410039710.1016/j.joitmc.2024.100397Robo-advisory financial services and the dynamics of new innovation in Saudi ArabiaYasmeen Ansari0Rohit Bansal1Department of Finance, Saudi Electronic University, Saudi Arabia; Corresponding author.Department of Management Studies, Rajiv Gandhi Institute of Petroleum Technology, IndiaMany individuals seek guidance from experts to obtain financial services. Robo-Advisors (RAs) have recently replaced human financial advisors due to concerns about high professional fees, behavioural bias, conflicts of interest, etc. From this study, we wanted to know the adoption intentions and various determinants impacting RAs in the Kingdom of Saudi Arabia (KSA). Partial Least Squares Structural Equation Modelling (PLS-SEM) is employed to examine the data with a sample size of 1361 respondents from the KSA to determine the adoption factors for RAs. The study revealed that usefulness, perceived benefits, and policy interventions positively affect the adoption of RAs in KSA. The current research provides a comprehensive behavioural framework to understand RA's adoption by Saudi Arabian investors while also including the dimension of policy initiative by the governing authority.http://www.sciencedirect.com/science/article/pii/S2199853124001914Robo-advisor/sAdoption intentionPerceived benefitsRiskPolicy interventions
spellingShingle Yasmeen Ansari
Rohit Bansal
Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
Journal of Open Innovation: Technology, Market and Complexity
Robo-advisor/s
Adoption intention
Perceived benefits
Risk
Policy interventions
title Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
title_full Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
title_fullStr Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
title_full_unstemmed Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
title_short Robo-advisory financial services and the dynamics of new innovation in Saudi Arabia
title_sort robo advisory financial services and the dynamics of new innovation in saudi arabia
topic Robo-advisor/s
Adoption intention
Perceived benefits
Risk
Policy interventions
url http://www.sciencedirect.com/science/article/pii/S2199853124001914
work_keys_str_mv AT yasmeenansari roboadvisoryfinancialservicesandthedynamicsofnewinnovationinsaudiarabia
AT rohitbansal roboadvisoryfinancialservicesandthedynamicsofnewinnovationinsaudiarabia