French regulator highlights risks of AI-driven stock advice

A study by the Autorité des marchés financiers (AMF) found that about 11% of French investors consult generative AI tools such as OpenAI's ChatGPT before making stock purchases. The regulator warned that AI‑generated recommendations can be inaccurate, biased, or based on outdated data, and that the technology is not obligated to act in the client’s best interest. Experts cited the risk of “hallucinated” answers that may mislead investors.

The growing hype around artificial intelligence has also lifted major U.S. market indices, with the S&P 500, Dow and Nasdaq reaching record levels. However, analysts caution that high valuations and reliance on AI‑driven analysis could increase market vulnerability, especially for retail investors who lack professional oversight.