Whoever thought we’d see a world where we could order our groceries online or hail a cab with a smartphone?
The evolution of technology has allowed virtually every company the scope to offer digitalised services. For us as a consumer, this means we have access to basically anything we want with just the tap of a screen.
The Internet of Things – a plethora of internet enabled devices – has seen incredible growth over the past 10 years. Today most businesses are snubbed if they do not have an online presence, more so if it doesn’t function perfectly on a mobile device.
Technology and money
The digital age has rubbed off on the finance industry too. The UK has seen two-thirds of UK bank branches close in the past 30 years as the majority of banking activities can now be carried out online. This phenomenon for digitalising even the most everyday of tasks has changed the way we live, work and interact with everything and everyone.
Businesses benefitting from the new age of technology include streaming giant Spotify, handy Uber and the popular Airbnb. All these businesses operate online and have accompanying smartphone apps to make life even easier – this means they are incredibly easy to access and manage.
Impact on investing
In years gone by you could picture most investment taking place in London skyscrapers with people in expensive suits and lots of handshaking. This was widely accepted as the norm. The introduction of technology into the finance sector has caused investment to divert from more traditional practices.
Investment companies could see the online trends that banks were harnessing and noticed there was a gap in the market. This saw a wave of online lending platforms offering investors the opportunity to invest online from wherever they are in the world.
Impact on investors
There are a number of alternative finance providers operating via smartphone apps or online portals via websites. Investors can access their accounts via desktops, tablets, laptops and mobile phones – making investing completely portable and easily managed at the touch of a button.
Investors are embracing this move forward in investing. The general mantra seems to be; if technology makes my life easier, I want it. Many investors already consider themselves as forward thinkers and embrace technological advancements that benefit their lives in any way. If their portfolios can benefit from tech development too then it is typically embraced.
Can you just invest online?
At this point, simplicity is expected. Investors want a simple process that can be carried out on their smartphone. By leveraging technology, finance providers are breaking down the traditional investment barriers and providing investors with an online platform to take charge of their own financial futures.
From start-ups to established household names, IT advancements are being adopted by companies throughout the UK. By leveraging this technology and eliminating the jargon associated with investing experts believe there is scope for engaging more investors in the capital markets.
There has never been a technological change that hasn’t resulted in forward progression. Development won’t cease and this is positive for finance providers who are constantly looking to evolve their online offering. Investors want ease and accessibility and the Internet of Things is allowing this to occur.