The Influence of AI Financial Advisors on Sharia Investment Decisions Among Muslim Investors: The Roles of Trust, Transparency, Perceived Usefulness, and Sharia Compliance
DOI:
https://doi.org/10.35335/bjj03039Keywords:
Artificial Intelligence, AI Financial Advisors, Sharia Investment, Islamic Finance, FintechAbstract
The rapid development of artificial intelligence (AI) technology has significantly transformed the financial industry, including the emergence of AI financial advisors in investment activities. In Islamic finance, AI-based financial advisory systems provide opportunities to improve investment efficiency, accessibility, and personalized financial services. This study aims to analyze the influence of AI financial advisors on Sharia investment decisions among Muslim investors by examining the roles of trust, perceived usefulness, transparency, and perceived Sharia compliance. This study employed a quantitative research approach using survey analysis. Data were collected through questionnaires distributed to Muslim investors and users of Islamic fintech or AI-based investment platforms. The collected data were analyzed using descriptive statistics, validity and reliability tests, and inferential statistical analysis to examine the relationships between variables. The findings reveal that AI financial advisors significantly influence Sharia investment decisions. Respondents who perceived AI financial advisors as reliable, secure, credible, and ethically responsible demonstrated greater confidence in using AI-generated investment recommendations. Perceived usefulness also positively influenced investment decisions, as AI systems were considered capable of improving efficiency, simplifying financial analysis, and providing personalized investment information. Furthermore, transparency and explainability of AI-generated recommendations were found to increase investor confidence and reduce uncertainty (gharar). This study contributes theoretically to Islamic finance literature, AI adoption theory, and fintech studies by integrating Islamic ethical values into the Technology Acceptance Model (TAM). Practically, the findings provide implications for Islamic fintech companies, regulators, investors, and AI developers in developing transparent, ethical, and Sharia-compliant AI financial advisory systems.
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