Some may wonder about tapping the tool for financial advice or even as a guide for investment decisions. But does it work, and what are the risks?
For instance, if the context of your query is here but you omit to mention Singapore, then the response would exclude local schemes and you may find the US retirement savings plan 401 as a recommended solution instead of the Central Provident Fund . Cons: While the tips include a few local schemes, they lack specifics like explaining the steps to optimise relevant CPF schemes, the values of the various housing grants, and how to work the savings harder before they are used for the home purchase.
ChatGPT’s response also lacked offering ideas on prioritising key criteria for home selection such as location, amenities, proximity to public transport, age of property and so on, to ensure a realistic budget. It also failed to highlight the benefits of time in the market instead of timing the market. Young adults particularly have the advantage of time on their side so they should empower themselves to embark on investing early to reap the benefits of compounding.
It neglected to provide information on how Bitcoin prices have been volatile and advised that investors should not be investing in cryptos if they need the money in the short term. This is because we have our own financial situation, life goals, and risk profile. A pitfall of being solely reliant on ChatGPT is its inability to offer customised or personalised financial advice.