Investing Updates: More young investors turn to AI for stock picks, but experts warn of risks in volatile market

Source:

https://www.businesstimes.com.sg/wealth/personal-finance/more-young-investors-turn-ai-stock-picks-experts-warn-risks-volatile-market

ChatGPT:

Young investors in Singapore are increasingly using AI tools like ChatGPT and Perplexity Finance to research stocks and refine portfolios, even as markets remain volatile. With the S&P 500 experiencing sharp swings in 2026 due to geopolitical tensions, rate shifts and tech sell-offs, analysts caution that AI-driven insights may not hold up when historical patterns break down.

Students interviewed said AI offers a fast, low-cost way to digest complex information. Jadon Ching, an SMU student, used AI to shape a portfolio including Intel, Cameco, Hims & Hers, CoreWeave and Ethereum. While he achieved 29% returns by end-2025, his portfolio fell 20% in January amid tech and crypto declines, reinforcing the need for risk management and dollar-cost averaging.

Ye Jia’En from NTU uses AI as a research starting point and invests mainly in US-dollar ETFs such as Invesco’s Nasdaq 100 ETF, Vanguard FTSE All-World UCITS ETF and iShares Core S&P 500 UCITS ETF. Her portfolio has gained about 4% since September 2025. Meanwhile, Chern Yeh Jou, also from NTU, prefers independent investing via Tiger Brokers and has seen 227% returns since 2022, largely from tech stocks.

Experts warn that easy access to AI and digital brokerages can foster overconfidence, trend-chasing and excessive risk-taking, especially among investors with limited financial literacy. AI models rely heavily on historical data and may oversimplify complex risks.

Some investors adopt a hybrid approach, using AI for summaries while consulting financial advisers. Analysts stress that AI should complement—not replace—human judgment, ensuring portfolios align with goals, risk tolerance and life stage.

Comments:

年輕人有想法. 😄