Technology has affected nearly every sector of our economy, and when it comes to finance, it has brought a major change in the investment world, through robo-advisory. Robo Advisors are automated platforms that offer financial services like investment planning, portfolio management and retirement planning, with the use of algorithms and data driven models. Even with the increase in the use of other digital financial services like internet banking, digital payments, the awareness about robo-advisory remains low, especially in emerging countries like India. This study aims to study the factors that hinder the adoption of robo-advisory and to find out even with consistent technology and accessibility what are other factors like trust, financial literacy or psychological factors that might affect the adoption rate. The study adopts a descriptive and analytical approach. It collected primary data through a questionnaire directed towards young investors. The data collected was analyzed using correlation matrix and Structural Equation Modeling (SEM), along with descriptive statistics, to identify the factors affecting adoption and the possible relation between different factors, like trust, financial literacy and fear. The findings indicated trust to be a significant factor behind adoption, with financial literacy having a positive correlation with adoption but not came out to be the sole predictor of adoption, and fear to have a negative and insignificant relation with adoption. The results suggesting that to increase adoption it’s first step is to build trust, using financial literacy to increase it’s understanding and promoting transparency and security in it’s working to increase adoption.