The study integrated the Protection Motivation Theory into the Technology Acceptance Model to explore factors influencing robo-advisory service adoption. Robo-advisor adoption among retail investors in Malaysia was low during financial crises like COVID-19, necessitating an investigation into adoption determinants. Little is known about the drivers of robo-advisor adoption during financial crises and how investors perceive the effectiveness and reliability of AI-assisted services in such circumstances. The study contributes to existing literature by shedding light on investors' protection behaviors and AI adoption in the financial sector during challenging economic times. Quantitative data from 128 respondents revealed that response efficacy influences perceived usefulness, impacting investors' intentions to use robo-advisors. Behavioral intention significantly predicted actual usage during crises like COVID-19, highlighting challenges in translating knowledge into action. The study enhances understanding of investors’ decision-making and offers insights for policymakers and financial services providers, amid evolving financial landscapes.

Keywords: Protection Motivation Theory, Technology Adoption Model, Perceived Usefulness, Actual Use, Robo-advisor

^♣ Corresponding Author: Kamisah Ismail; Department of Accounting, Faculty of Business and Economics, University of Malaya, 50603 Kuala Lumpur, Malaysia; Email: kamisah.ismail@um.edu.my; Tel: +603-79673810

ARTICLE INFO
Article History:
Received: 03 February 2024
Accepted: 25 September 2024
Available online: 01 December 2024