Factors influencing acceptance of Robo-Advisors for wealth management in Malaysia


Nguyen, Thi Phuong Lan and Chew, Li Woon and Muthaiyah, Saravanan and Teh, Boon Heng and Ong, Tze San (2023) Factors influencing acceptance of Robo-Advisors for wealth management in Malaysia. Cogent Engineering, 10 (1). ISSN 2331-1916

[img] Text
Factors influencing.pdf - Published Version
Restricted to Repository staff only

Download (909kB)


Since the 2008 global financial crisis, many innovations have emerged in the financial sector as investors started to look for alternative methods to eliminate irrational decision-making in wealth management, and Robo-advisors is among those. Nine years after the first launching of Robo-advisors in the U.S. in 2008, the Securities Commission Malaysia has been issuing licenses to seven Robo-advisor platforms. The current COVID-19 outbreak has made this industry more in demand, increasing 763% in registration in 2020. However, much skepticism about Robo advisors’ ability and reliability in providing a similar quality or better advisory service compared to human-financial advisors. Therefore, this study examines the factors influencing the acceptance of Robo-advisors in wealth management in Malaysia. Adopting some factors from various established technology acceptance models, an online survey with 122 respondents was conducted using convenience sampling. Findings show that Relative Advantage, Effort Expectancy, and Social Influence significantly positive influence the Malaysian Behavioral Intention to Accept Robo-Advisors. On the contrary, there is no significant relationship between Perceived Risk and Malaysian Behavioral Intention to Accept Robo-Advisors. The study provides a positive insight into factors influencing the acceptance of Robo-Advisors in Malaysia.

Item Type: Article
Uncontrolled Keywords: Robo-Advisors, behavioral intention, wealth management, financial technology, technology acceptance
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28-70 Management. Industrial Management
Divisions: Faculty of Management (FOM)
Depositing User: Ms Nurul Iqtiani Ahmad
Date Deposited: 02 May 2023 04:13
Last Modified: 02 May 2023 04:13
URII: http://shdl.mmu.edu.my/id/eprint/11382


Downloads per month over past year

View ItemEdit (login required)