Though perceived as less trustful of new technology and potentially less willing to adapt to the use of artificial intelligence (AI) in financial contexts than their younger counterparts, baby boomers are nonetheless seen as excellent targets for AI-enabled products and services.
Of course, AI is already being used in the financial industry for a wide range of applications, including task automation, fraud detection, chatbots and robo-assistants. For baby boomers, learning how to leverage AI can change how they manage their money, help them carry out transactions, seek advice and plan for retirement.
Younger generations are entering the wealth accumulation stage of their lives, focusing more on acquiring jobs and property and building their savings. However, baby boomers are at the wealth preservation point, and with people living longer than ever before, this era of longevity being shaped by rapid AI advancements that cater to customers looking for financial independence.
The ability to supervise one’s financial health is pushing the adoption of AI in personal finance advice and wealth management solutions among baby boomers. Understanding how to use it to your benefit can be a game-changer, even if its using ChatGPT to create a budget, track expenses or make a savings plan to start.
Writing at Forbes, Don White, CEO and co-founder of Satisfi Labs, says that boomers — just behind millennials as the largest adult generation grouping — are the ideal demographic to adopt voice AI applications in their financial lives.
“First, it can be faster than typing in many circumstances,” White notes. “Secondly, it is often more convenient to converse with a voice-based assistant than to type in an exact query. Lastly, voice interaction can make computer use much easier for users with vision problems.”
However, the benefits go far beyond fast, accurate and efficient voice AI services. Like AI, personalized content is already the future, and consumers want their financial service providers to offer advice and solutions relevant to their personal finances.
Using AI to analyze financial habits and make personalized savings recommendations, making financial inquiries and evaluating creditworthiness when it comes to taking out a loan or applying for a credit card will require a new trust in technology but the benefits for management one’s finances are numerous.
Wider adoption by boomers can have an enormous impact on their investment portfolios and retirement planning too. Using AI for their unique financial concerns can help identify risk indicators, uncover unusual patterns and identify future growth opportunities.
AI is unavoidable now, but many remain skeptical of its intentions and possibilities. While the future of faking reality is a worrying proposition (especially in this topsy-turvy economy), wider public knowledge on what AI is — as well as its potential benefits in every sector — will help to allay digital fears and actually help baby boomers save and educate them on how to better reach their financial goals and gain greater financial security in retirement.
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