Research On Investor Protection Mechanism Of Smart Investment Advisory Servic

Robo Advisors service is a product of integration of finance and technology with artificial intelligence technology as the driving core,which has the distinctive features of universality,technology and expediency.In 2018,the Guidance on Regulating Asset Management Business of Financial Institutions was released,and while it gave confirmation to operators using Robo advisors to conduct asset management business,it also required that the business should be regulated by law when it is conducted.In the choice of regulatory direction of Robo Advisors,the protection of investors’ rights should be put in the first place,which can not only help investors achieve the purpose of property preservation and appreciation,but also is an important prerequisite to keep the financial market moving steadily and far.The protection of Robo Advisors services should be based on the rights enjoyed by investors,and discover the dilemma of protecting investors’ rights protection in carrying out operations,especially the need to pay attention to such issues as the impairment of the right to know caused by algorithms,the risk of the right to asset security caused by the barrier of market access system and the conflict of interest system,the lack of personal information protection caused by the platform mechanism and the difficulty of rights remedy caused by the unsoundness of the remedy mechanism.In addition,the fiduciary duty and investor suitability obligation of Robo Advisors operators are also the focus of the discussion of investor protection mechanism in this paper.The fiduciary duty of fidelity and diligence is conducive to regulating the service behavior of operators,while the investor suitability obligation of operators,as a statutory obligation under the new Securities Law,is important in improving the quality of operators’ service content and requiring them to provide accurate and personalized services.This paper compares the overview of investment protection in Robo Advisors services with four parts,compares the current dilemma of investor protection in Robo Advisors services from the perspective of investor rights,examines the measures on investor protection in foreign countries using comparative analysis,and finally proposes measures to improve investor protection.The first part mainly composes an overview about investor protection in Robo Advisors services,mainly discusses the legal concept of Robo Advisors services at the present stage,analyzes the legal relationship between various subjects,and composes the theoretical basis of investment protection in Robo Advisors services and the necessity of carrying out investor protection.The second part analyzes the dilemmas of investor rights protection in Robo Advisors,including the hindrance of the right to know due to insufficient algorithmic and general information disclosure,the failure to protect the right to asset safety due to multiple risks in the entry and operation stages,the lack of protection of personal information rights due to the realistic shortcomings of internal and external governance,and the difficulties of rights remedy due to the dual obstacles in finding the subject and the remedy mechanism.The third part seeks the experience of investor protection in China’s Robo Advisors services from the overseas systems,and discusses in detail the experience of investor protection in three typical countries,namely,the United States,Australia and the United Kingdom,and also selects the desirable features of Canada,Singapore and Germany in general,and finally summarizes the experience of the above-mentioned countries’ systems for improving investor protection in China.The fourth part combines the above discussion to propose a mechanism for improving investor protection in China’s Robo Advisors services,firstly,it proposes a general protection attribution from a macro perspective,and then proposes a targeted protection system for basic rights of investors.