How Technology Has Aided the Investment Industry

There is no doubt that the world has significantly advanced when it comes to technology in the past few decades. Today, almost every machine that we use has a computer inside of it and many people own more than one personal computer, compared to just three or four decades ago when personal computers were still in their infancy and only just being introduced to the consumer at a hefty price tag. But, what has all of this got to do with investing? The truth is, with the advancements we have seen over the years in technology, there have been necessary changes made in the way that we invest.

Learn Online

Thanks to online MBA programs, and similar courses for specific investments, anyone can learn the trade from the comfort of their home.  In the past, to get involved in investing, you had to have a mentor or study in a traditional way.  Technology has changed all of this, and even the top universities, such as Northeastern University, now offer their masters in business administration online.

Electronic Stocks

The days of old where securities were traded on actual, physical stock certificates are long gone. Although this change took place around four decades ago, it was made possible due to technological advances, which enabled trades to be made electronically. Thanks to this advancement, it’s possible for investors to trade with a number of different firms. It’s also allowed a larger number of transactions to take place at a much faster rate.

Stock Day Trading Jobs

As technology has advanced and changed, the banning of fixed commissions has increased trading volumes due to lower commission rates on stock trades. This has enabled more transactions to take place at one time, leading to the creation of day trading jobs and providing more employment within the trading industry.

Better Efficiency

For many brokers, a key advantage of being able to trade more in a faster period of time is a significant increase in their overall efficiency. What once would have taken hours to complete on paper now only takes a few minutes or even seconds thanks to computer technology advancements, allowing stock brokers to free up huge amounts of time. This extra time allows them to better manage investments and handle larger client bases, resulting in a better bottom line.

Bypassing Stock Brokers

Since customers who make investments are now only a few clicks away from making changes in their investment portfolios, many are skipping brokerage firms altogether. However, although this may work well for experienced traders and investors, those with less experience may find that it negatively impacts their bottom line when they make trading and investment mistakes due to a lack of practice or guidance.

Property Investment

Technology has made property investment easier to get into, as the internet can be used by prospective buyers to view and in some cases even purchase real estate property. The client is able to bypass real estate property which they have no interest in, filtering searches to only show up properties that save both time and effort for the client and their agent. Technology has given property buyers the ability to look up information online regarding potential real estate investments, partnering up with their agent to find, view, and make decisions.

Which technological changes have most affected the way you invest? We’d love to hear from you in the comments.

Author: Oliver Curtis

Hi there. I’m Oliver. I’m just a young boy from the outskirts of… Okay, that’s a lie, I’m not a young boy anymore, although I certainly feel that way at heart.

Leave a Reply

Your email address will not be published. Required fields are marked *