Two-thirds of US investors fear an AI bubble over the next 12 months and are calling for transparency from advisers who use it

Janus Henderson Investors has today published the results of its 2026 Investor Survey, which explores US investors’ perceptions of artificial intelligence (AI). The research reveals that, whilst more than half of investors (61%) expect AI to have a positive long-term impact on the markets, 9 out of 10 investors have at least some concerns about investing in the sector.

The most common concern among investors is that AI may fail to meet expectations (28%), followed by bias, misuse or insufficient safeguards (24%), and the risk that AI investments may be overvalued (19%).

Two-thirds of respondents (67%) are concerned about a potential AI bubble or an AI-driven market correction in the short term. Over a longer time horizon, sentiment becomes more constructive: 46% expect AI to have a modest positive impact on market returns over the next five years, whilst a smaller but more optimistic group (15%) anticipate a significant positive impact. It is interesting to note that this stronger conviction is most prevalent among younger generations: 31% of Millennials expect exceptional returns, compared to 14% of Generation X and just 8% of Boomers+.

“At Janus Henderson, we view artificial intelligence as a powerful enabling tool, which must be approached with a disciplined and client-centric approach. We are investing significantly to accelerate our AI-driven transformation across all our teams, with the aim of improving the way we work and the services we offer to clients,” said Ali Dibadj, Chief Executive Officer of Janus Henderson Investors.

“Scepticism about AI is understandable, but investors risk failing to distinguish between valuation noise and long-term structural change,” said Denny Fish, Portfolio Manager of the Global Technology and Innovation Team at Janus Henderson Investors. “There will be no more important secular theme than AI in our lifetime. But investors need patience and discipline, because whilst AI will create big winners over time, it will also produce significant losers along the way. We believe this divergence will create opportunities for active managers.

AI in advisory services

Although the adoption of AI is growing, there are barriers that limit its role in shaping investment decisions. The five main barriers preventing investors from using AI for investment purposes include:

• Concerns that AI advice may be biased or involve conflicts of interest (75%)

• Concerns regarding privacy or data security (74%)

• A preference for traditional methods (e.g. advisors or personal research) (73%)

• A lack of trust in AI-based recommendations (72%)

• I do not feel comfortable judging whether AI advice is reliable (70%)

The vast majority of investors (87%) said they would feel “comfortable” or “neutral” about their financial adviser using AI to create information materials to share with them. However, investors are less comfortable with advisers using AI for more personal tasks: 40% say they would feel annoyed if their adviser used AI to automatically reply to text messages and emails, whilst a third of respondents (33%) report that they would not be happy if AI were used to provide investment recommendations.

“The industry faces challenges when it comes to using AI for advice, client communication and investments. Although it has the potential to be a valuable tool for advisory activities, advisers will need to implement AI in a strategic and considered manner,” said Matt Sommer, Head of the Specialist Consulting Group at Janus Henderson. “The key point is that the demand for human-led decision-making and personal relationships will not be replaced by artificial intelligence; indeed, AI could actually enhance the value that investors place on such qualities.”

Investors want transparency and accountability if their adviser uses AI: 85% said they believe the adviser is ultimately responsible for the advice or materials generated by AI, and 79% said they would be annoyed if the adviser used AI without disclosing it. In particular, only 33% of investors said their adviser had discussed with them how they use AI in their work.

To download a copy of the Janus Henderson Investors 2026 Investor Survey: Perspectives on AI – trust, transparency, and cautious optimism, CLICK HERE .