Research On The Protection Of Investors’ Rights In Robo-advisor In China

With the development of science and technology,big data and artificial intelligence technology are applied more and more widely,the investment consulting industry is no exception.Robo-advisor is based on modern portfolio theory,according to the investor’s investment preferences and asset status,using intelligent algorithms to provide intelligent investment advice and asset management services.Robo-advisor is an "imported product",which originated and developed rapidly in the United States.Since 2015,Robo-advisor has been rising in China,which has shown explosive growth in recent years.The development of Robo-advisor has also attracted the attention of China’s regulatory authorities,and also triggered our thinking on the protection of investors’ rights..Robo-advisor is an innovative application of artificial intelligence technology in investment consulting industry.For the first time,<the guidance on regulating the asset management business of financial institutions > requires the compliance operation of Robo-advisor,but the provisions are rather general and there are still difficulties in practical operation.The traditional investment advisory service is to provide investment advisory service to investors,the same is true of Robo-advisor service.However,the legal relationship of Robo-advisor has changed.The traditional legal relationship of investment advisory services takes place between investors and investment advisory institutions and investment advisers,and the legal relationship of Robo-advisor services takes place between the operators and investors.Robo-advisor,which is faced by ordinary investors,is constrained by expertise,the ability to gather information,and financial technology,which has led to an increase in Information asymmetry,investors often have inadequate understanding of the service mode and investment risk of Robo-advisor.Robo-advisor should abide by the traditional fiduciary duty and information disclosure duty,but because of the particularity of Robo-advisor,the fiduciary duty and information disclosure duty are endowed with new content.In view of this,this article from the perspective of investor rights protection,reference to the experience of the United States,Australia,the United Kingdom andother countries on the protection of investor rights for Robo-advisor,to improve the protection of the investors’ rights in the Robo-advisor:it puts forward the requirement of the Robo-advisor management,and reconstructs the fiduciary duty of the Robo-advisor management operator based on the maximization of the investor’s rights and interests;strengthen the management of investor suitability and investor education;strengthen legal supervision of Algorithms through information disclosure,Algorithm filing and review;and protect investors’ rights to know and to choose,disclosure on major issues and conflicts of interest to enrich the content of the operator’s information disclosure obligations,to achieve the oblique protection of ordinary investors,weakening the intelligent investment between operators and investors Information asymmetry.