ItemBook Chapter

Leveraging Generative AI to Address Behavioral Biases in the Investment Decisions of Gen Z and Millennials

Title
Leveraging Generative AI to Address Behavioral Biases in the Investment Decisions of Gen Z and Millennials
Creator
Grover, Diya; Sangal, Surabhi; Shabir, Suheela Shabir
Description
GAI alters financial decision-making behavior through advanced data analytics, trend prediction, and personal recommendation. Generation Z and the Millennials are more susceptible to behavioral biases like herd mentality, loss aversion, overconfidence, and fear. Such tendencies make people prone to frequently exhibiting instinctive or irrational investment behaviors, thus severely impacting their long-term financial outcome. In the context of this book, the relationship between behavioral finance and GAI is discussed with the benefits of enhancing investment literacy and in guiding the younger investor towards data-driven decisions. Other areas on data quality and transparency, ethical concerns, and regulatory compliance are discussed. Hence, this can result in intelligent and rational investment decisions. The subsequent section explains how GAI successfully eliminates the effects of cognitive biases through an enhancement of the capabilities concerning decision-making in respect of financial choices related to Generation Z and millennials under the everchanging finance landscape. 2026, IGI Global Scientific Publishing. All rights reserved.
Source
Generative AI Insights for Financial Decision Making;pp.361-385
Date
01-01-2025
Publisher
IGI Global
Coverage
Grover D., Christ University, India; Sangal S., Christ University, India; Shabir S.S., Princess Noura Bint Abdulrahman University, Riyadh, Saudi Arabia
Rights
Restricted Access; Hardcopy may be available in the library
Relation
ISBN: 979-833731252-1; 979-833731250-7;
Format
online
Language
English
Type
Book chapter

Citation

Grover, Diya; Sangal, Surabhi; Shabir, Suheela Shabir, “Leveraging Generative AI to Address Behavioral Biases in the Investment Decisions of Gen Z and Millennials,” CHRIST (Deemed To Be University) Institutional Repository, accessed June 18, 2026, https://archives.christuniversity.in/items/show/24617.

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