Electronic Markets

, Volume 28, Issue 3, pp 367–380 | Cite as

Designing a robo-advisor for risk-averse, low-budget consumers

  • Dominik Jung
  • Verena Dorner
  • Christof Weinhardt
  • Hakan Pusmaz
Research Paper
Part of the following topical collections:
  1. Special Issue on "FinTech and the transformation of the Financial Industry"


Banks have reacted much more enthusiastically to the FinTech revolution than many of their customers. Robo-advisory, automated web-based investment advisory, in particular promises many advantages for both banks and customers - but consumer adoption has been slow so far. Recent studies suggest that this might be due to a mix of low trust in banks, high expectations of transparency and general inability or unwillingness to engage with investment questions. Research in decision support and guidance shows customers’ willingness to interact with a decision support tool depends greatly on its usability. We identify requirements for robo-advisory, derive design principles and evaluate them in two iterations with a real robo-advisor in a controlled laboratory study. The evaluation results confirm the validity of our identified design principles.


Robo-advisory Usability engineering User-centric design 

JEL classification

G02 G29 


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Copyright information

© Institute of Applied Informatics at University of Leipzig 2017

Authors and Affiliations

  1. 1.Karlsruhe Institute of Technology (KIT), Institute of Information Systems and Marketing (IISM)KarlsruheGermany

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