Mobile App Investment Influence vs. Human or Brokerage/Firm-Based Advice: Differences in Investor Behavior Using NFCS Data

This study specifically examines how reliance on mobile app-based investment influences investor behavior compared to human or brokerage/firm-based advice. This study focuses solely on investor behavior among U.S. investors and uses data from the 2024 National Financial Capability Study Investor Survey. This study conducted a quantitative secondary data analysis of 1,297 respondents categorized into non-overlapping advisory source groups. Respondents were seen as mobile app-based users if they relied on popular investments displayed on a mobile trading app and as human or brokerage/firm-based advice users if they relied on financial professionals or any other investment research and tools provided by a brokerage or advisory firm. This study was conducted in RStudio, using survey weights to allow better population-level generalizability. The results showed statistically significant differences across all three outcomes. Human or brokerage/firm-based advice users reported higher short-term investing motivation and higher stock ownership rates, while mobile app-based users reported higher trading activity. The findings show that advisory sources are related to distinct patterns of investor behavior, with mobile app-based influence linked to more frequent trading and human or brokerage/firm-based advice linked to more consistent market participation. The study contributes to behavioral finance research by comparing advisory source groups within a nationally representative investor dataset.