Can AI Provide Sound Financial Advice? Exploring Generative Models' Promise and Pitfalls
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Large language models (LLMs) like ChatGPT can provide sound financial advice, but usually require a supplemental module to ensure domain-specific knowledge.
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LLMs have the potential to personalize financial advice in both tone and content to build relationships with clients.
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Generative AI could act ethically by being trained on financial lawsuits and fiduciary duties, but biases remain a concern.
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Retrieval-augmented generation using external knowledge bases can make LLMs more fair, though biases like gender bias still occur.
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Studying generative AI's application in finance could have implications for other fields like medicine, accounting, and law.