ASIC warns Gen Z over social media, AI advice

Binaya Dahal

Journalist, Financial Newswire

17 March 2026

The Australian Securities and Investments Commission (ASIC) has warned young Australians that relying on social media and artificial intelligence (AI) for financial advice could increase the risk of making decisions they later regret.

The warning follows a study commissioned by the corporate regulator, which showed nearly two-thirds of Gen Z turn to social media for money advice, while around one in five rely on AI tools for guidance.

Conducted in late 2025 among 1,127 young Australians, the research found 56% of the cohort somewhat or completely trusted the financial information shared on social media, while 64% expressed confidence in AI chatbots.

ASIC Commissioner, Alan Kirkland, said the heavy reliance on online platforms could expose young investors to incomplete, promotional, or misleading information that often fails to reflect individual circumstances.

“Anyone considering making a financial decision based on information they have seen online should take a moment to sense-check it and compare it with trusted, evidence-based sources,” Kirkland said.

Gen Z investors also showed strong trust in so-called “finfluencers”, with more than one in two respondents (51%) expressing confidence in the accuracy and appropriateness of financial guidance provided by them.

Confidence in accuracy of sources

But ASIC has urged young Australians who turn to influencers and online content for financial information to cross-check what they encounter with reliable sources.

“That means pausing to sense-check and verify financial claims through further research before acting — particularly when content is delivered by commercial platforms or individuals who may profit from their recommendations,” the regulator said.

However, a significant share of the Gen Z respondents said their over-reliance on social media and AI tools has to do with the lack of formal opportunities to learn financial management.

Many also reported feeling overwhelmed by the range of the choices available, with some saying they struggle to identify trustworthy sources or find personal finance too complex to navigate.

Despite these challenges, most Gen Z respondents remain optimistic about their financial futures, although far fewer expressed strong confidence in achieving long-term financial stability.