ChatGPT's £1 Million Target Investment Portfolio: A 6.5% Annual Return Strategy

Wealth Management Experiment with AI Financial Times columnist Stuart Kirk tested ChatGPT's financial advisory capabilities using the profile of a 53-year-old investor with £640,000 in cash assets.
The primary objective of the experiment was to grow the existing capital to £1 million within seven years.
This scenario is based on a target average annual return of 6.5%.
While the AI described this goal as "ambitious but achievable," it recommended an equity-heavy strategy for success.
The model portfolio prepared by ChatGPT largely aligns with professional portfolio management standards in terms of risk and return balance.
Asset Allocation and Return Expectations At the center of the portfolio suggested by ChatGPT are equities, with a 45% share.
This allocation is detailed as follows: 30% Developed markets 10% Emerging markets 5% UK stocks The AI expects a return between 7% and 9% from this group.
Other components of the portfolio are listed as follows: Private equity and illiquid investments: 10% share (Expected return: 9-12%) Bonds: 20% share Real assets (Infrastructure and real estate): 15% share Absolute return strategies: 10% share Data Analysis and Market Interpretation During the analysis process, ChatGPT did not only use historical data but also took current market valuations into account.
Using the formula "Expected Return = Income Yield + Real Growth + Inflation," the AI pointed out high valuations in US markets and gave more weight to relatively cheaper UK and emerging markets.
This experiment demonstrates that artificial intelligence can be a powerful alternative or a supportive tool for professional managers in global portfolio design.