Research On Legal Risk And Prevention Of Intelligent Investment In China

With the rapid economic development and the continuous increase of people’s wealth,the demand for asset management presents a trend of diversification,and the concept of financial management is no longer limited to the traditional investment fields such as gold,bank savings,national debt and so on.The development of science and technology has opened a door for the combination of finance and technology,and as an artificial intelligence financial management of the intelligent investment came into being.Because the traditional investment advisers mainly serve the rich class with a certain amount of wealth,they ignore the investment needs of small and medium investors and other low net worth customers.With the in-depth implementation of the concept of inclusive finance,the investment demand of small and medium-sized investors is increasingly booming,which makes the intelligent investment banking with low investment threshold and low management cost have a broader space for development.As to what is intelligent investment banking,there are differences in the theoretical and practical circles.Some experts believe that although intelligent investment banking relies on artificial intelligence technology such as algorithm model,the introduction of algorithm model does not change the essential property of intelligent investment banking,and the services it provides are still securities investment consulting in investment advisory business.Some experts call it an intelligent financial management tool,which has the dual functions of investment advice and asset management.Integrated,intelligent for gu is a measure investors tend to collect investors earnings targets,and risk to bear ability,on the basis of using the model of intelligent algorithm,automatic matching for the investors investment advice,while keeping the dynamic monitoring of the securities market in a timely manner to the original asset allocation to carry out the automatic rebalancing of asset allocation.Compared with traditional investment advisers,intelligent investment advisers have the advantages of low management cost,low investment cost and convenient operation,which attract the investment of many small and medium-sized investors and promote the popularity of financial services.However,in the process of its development,there are also potential risks that cannot be ignored.Under the current legal system and regulatory rules in China,intelligent investment banking is faced with legal risks in the market access,operation and withdrawal stages.This paper takes the legal risks of intelligent investment banking in reality as the perspective,protects the rights and interests of investors as the goal,and on the basis of straightening out the legal relationship of intelligent investment banking,draws on the advanced theories and experiences from outside the region,breaks down the legal barriers in each stage of the development of intelligent investment banking,and promotes the healthy and orderly development of intelligent investment banking.This paper mainly uses semantic analysis method,case analysis method and comparative analysis method.In addition to the introduction and conclusion,it is divided into three chapters.The first chapter is the overview of intelligent investment.Firstly,by combing the understanding of different countries and institutions on the nature of intelligent investment,this paper expounds the definition of the nature of intelligent investment.Then it introduces the operation mode of intelligent investment banking from different angles and finally puts forward the theoretical basis and necessity of legal risk prevention of intelligent investment banking.The second chapter is the legal risk of intelligent investment.Firstly,the punishment cases of domestic and foreign intelligent investment platforms are introduced to analyze the reasons for their punishment.Secondly,on the basis of sorting out the legal relations in the stages of market access,operation and withdrawal,the paper focuses on the legal risks faced by the intelligent investment in each stage.In the market access stage,there are contradictions between the financial license system and the suspension of license issued by the regulatory authorities,difficulties in identifying the qualification of the algorithmic model,and conflicts between the full power account service and the current laws and regulations.In the operation stage,the main legal risk information disclosure is not sufficient,the traditional fiduciary duty is faced with challenges,algorithm defects and so on.In the exit stage,the platform exit mechanism is not perfect,the investor relief mechanism is not perfect and other problems.The third chapter puts forward the advice to prevent the legal risk of the intelligent investment bank.In the market access stage,it manages the issuance of intelligent investment license,breaks down the legal barriers of discretionary account,and clarifies the qualification of the practitioner.In the operation stage,the specific content of fiduciary duty should be supplemented,the scope of information disclosure should be enlarged,and the algorithm review and filing should be required.The detailed elaboration should be made from the clarification of the subject of responsibility to the standardization of the review of investors’ suitability and to the enhancement of the protection of investors’ personal information,so as to protect the interests of investors.Finally,in the exit stage of the intelligent investment banking platform,we should improve the exit mechanism of the intelligent investment banking platform,including early risk warning,third-party custody,specific methods and compensation arrangements for the platform exit,as well as improve the dispute resolution mechanism of investors to protect the legitimate rights and interests of investors.