A study of risk perception and risk management using AI tools with respect to investors in Kolhapur district

This empirical study explores the relationship between risk perception, risk management strategies and the use of Artificial Intelligence (AI) tools among 143 investors from the Kolhapur district of Maharashtra state. The study scrutinizes investors' risk attitudes towards equities and examines the integration of AI-driven instruments in shaping their equity investment decisions. Significant factors analyzed encompass demographic influences on risk tolerance, the awareness and application of AI tools for risk evaluation and portfolio management, as well as the effect of AI on the risk management practices of investors. Key findings elucidate the behavioral patterns of Kolhapur investors pertaining to equity shares, underscoring the prospective scope for AI-augmented equity investment services. The results offer valuable insights into the behaviour of investors in Kolhapur, revealing potential for AI-enhanced financial services and emphasizing the importance of financial literacy in conjunction with technological adoption for effective risk management.