Do You Use AI for Financial Planning?

Investment Analysis Clubs Macro Economic Trends and Risks
1

I follow this YouTube channel. This guy covers a lot of topics dealing with retirement and retirement planning. Latest upload was dealing with using AI for financial planning. Interesting ideas on how to use it and what to avoid. Some hilariously sad examples of the pit falls of AI.

2 Likes
2

Youtube is for personal finance entertainment, not planning.

It takes 15 minutes to watch a video with the information contained in one 8-1/2 x 11 sheet.

intercst

5 Likes
3

The video was quite good at prompt coaching and providing context:

  1. Add: “Tell me why my approach is incomplete” - incorrect, wrong, suboptimal, etc.
  2. Require the model to “state it’s assumptions” in the response. You can look under the hood to see what’s in - and what’s out.
  3. Follow up prompt after the “plan” is displayed. “Be an adversarial financial advisor”. Provide counterpoints that would put this plan at risk.

Numbers are numbers.
Calculations are settled.
Rules are rules.

And the library has more text than any human will ever ready. or Tax code, or SS code, or trust law…

AI shortens, simplifies and coaches.

The video is about coaching better.

AI has exposed me to an enormous body of trust law that I had no idea about.

CRUT, etc.

1 Like
4

And this well illustrates the problem with using AI for something like this - the end user has to be savvy enough not only with the AI prompts required to get accurate and proper results, they also need to have a sufficient enough understanding of financial planning in the first place to know when a result raises suspicion.

When small details matter, I would not want to rely on arm-chair expertise - especially when there are reasonably priced do-it yourself software and online tools that exist.

3 Likes
5

He states that axiom in the video.

More financially savvy (+AI) ==> More profit
Less… less.

6

I don’t use AI for financial planning but it certainly can give quick summary of a business area to help you identify leading companies and their competitors.

No AI does not make investment decisions but it does help you make good choices.

1 Like