Trust and confidence are the bedrock of audit’s public‑interest role, which is why CA ANZ runs an annual investor confidence survey: to find out what investors truly think and need.

Now in its seventh year, the 2025 Retail Investor Confidence Survey reveals confidence in audited financial reports remains exceptionally strong across Australia and New Zealand. Every year since the survey began, investors have ranked independent auditors as the most trusted guardians of investor protection.

The survey also reveals that Australian investors view the global political landscape as the biggest threat to the economy. This is also a significant concern in New Zealand, second only to inflation.

“With overseas confidence sliding to 73% in Australia and 76% in New Zealand, retail investors are signalling that geopolitics now moves markets as much as economics,” says Amir Ghandar FCA, CA ANZ reporting and assurance leader.

“In turbulent times, familiarity wins – strong regulators, resilient local exchanges and trusted, audited information are keeping domestic confidence anchored, even as global nerves fray.”

Yet he warns it’s not all smooth sailing at home. “Investors are still wary of inflation in Australia and New Zealand, and are watching political developments closely as they gauge the landscape for their investment decisions.”

Investors turn to AI

A standout insight from the 2025 survey is how quickly retail investors are adopting AI tools to inform their decisions.

“AI is slipping into the toolbox as a handy research aid, rather than a decision maker,” says Melanie Scott FCA, CA ANZ senior policy advocate, reporting and assurance.

Nearly half of Australian investors and more than a third of New Zealand investors are using AI, with ChatGPT dominating the field and younger investors also experimenting with platforms such as Copilot and Grok. Among those who do use AI, satisfaction is strong – about 80% in both countries – driven by speed, clarity and the perceived relevance of responses.

But satisfaction doesn’t equal trust. “Among those steering clear of AI, 43% of Australians and 41% of New Zealanders say they simply don’t trust the information,” says Scott. “Common concerns include misinformation, lack of depth and explanations that feel confusing.”

Overcoming the AI trust gap

The foundation of investor confidence is clear: high-quality, independently audited financial reports. When investors trust the integrity of this information, they can use it with confidence – whether they’re relying on AI tools or traditional analysis.

“Moving to digital reporting would make this audited data even more accessible, giving investors information in formats that are easier to analyse and compare,” says Scott.

As AI becomes more woven into investment research, she says it’s critical that technology doesn’t dilute the reliability of the underlying data. “That’s why the role of auditors and robust assurance over financial reporting matters more than ever,” Scott says. “Audited financial statements remain the most trusted source of information for investors in both Australia and New Zealand, and keeping them clear, comparable and transparent will continue to anchor confidence as new tools and technologies reshape the landscape.”

Yet closing the trust gap in AI will require improvements not just to the technology, but also the ecosystem that supports it. “Neutral or dissatisfied users frequently cited unclear explanations, patchy detail and inconsistencies – issues that undermine confidence, even when the overall output is directionally helpful,” says Scott. “Greater transparency about how models work and where their limits lie would go a long way towards building trust, particularly for older and less tech-confident investors.”

Regulators and standard setters also have a vital role to play. “Strong, practical guidance on the responsible use of AI in financial services – from accuracy and disclosure to risk controls – will help ensure consistency and protect investors from unintended harm,” says Scott.

“If guardrails keep pace with innovation, AI can boost market efficiency without eroding trust, allowing technological progress to strengthen, rather than destabilise, investor confidence in capital markets.”

AI adoption highlights age and gender divide

Younger investors, particularly those aged 18–29, are the most enthusiastic adopters of AI, with usage reaching 77% in Australia and 64% in New Zealand. “Their digital confidence makes them more willing to experiment with AI tools and more forgiving of their flaws,” says Scott.

Usage declines sharply after age 45. Among investors over 65, 80% of Australians and 93% of New Zealanders don’t use AI at all.

Gender differences tell a similar story. “Men are more likely to use AI heavily and more likely to report being ‘very satisfied’, even when the quality of information can be inconsistent,” says Scott. “Women, by contrast, report higher levels of confusion, ethical concerns and dissatisfaction – reflecting long-standing gender gaps in confidence, comfort with financial technology and perceptions of risk.

“Together, these patterns underline the need for targeted digital capability and financial literacy initiatives, so AI doesn’t widen existing inequalities in investment participation.”

Read the full 2025 Retail Investor Confidence Survey here.