Financial Planning Technology Enhances Investment Opportunities
Financial Planning is an often neglected view for common people which may otherwise has the potential of wealth creation and securing contingencies. Creating a roadmap enables self fulfillment to the achievement of financial goals while planning for a settled retirement.
Earning is not enough at the present situation of uncertainties as our standard of living continues to elevate to a higher level. A comprehensive Financial Planning is an utmost importance for an individual while evaluating the financial position, analysing and preparing budgets, planning contingencies and estimating financial goals to be achieved. As the COVID pandemic has shaken the roots of income stability, fear of losing has engulfed even more than before.
As finely stated by a Mexican business magnate, investor and philanthropist, Carlos Slim Helú,
Courage taught me no matter how bad a crisis gets. . any sound investment will eventually pay off.
Investments and Technology
Mostly in the developing countries, apart from the domestic investments, Foreign Direct Investments (FDIs) play a pivotal role in modernising sectors through technological advancements and outlook to the varieties of know-how.
As technology has restructured industries to cope up through the pandemic uncertainties, FinTech has brought changes in support of the investment initiatives taken by organization for a diversed financial literacy.
Big Data and ML techniques may provide insights into real-time and changing market circumstances to help identify weakening or adverse trends in advance, allowing for improved risk management and investment decision making.
Advisor Technology
Automation and Artificial Intelligence has upscaled advisory functions with the accurate detection of entry and exits in the market, enabling self actualization in promoting better investment opportunities.
Suppose you are out of options or are not sure, where to start with your investments. You may approach a bank to get advise, however, such advises would mostly be biased to a certain investment avenue as per their own goals and targets. You may also reach an independant financial advisor, who would guide you better in such investments, however in exchange for a charge and a comparatively higher Expense Ratio.
With advancements to artificial intelligence and machine learning, personal financial planning is boosted with automated services available wherein an investor learns about the various investment options for a specific goal and wealth creation. Eliminating the biased review of a mutual fund investment, investors can now check the latest popular mutual funds or stocks available as per their requirements, through a mobile application.
Blockchain and distributed ledger technology (DLT) may offer a new way to store, record, and track financial assets on a secure, distributed basis. Applications include cryptocurrencies and tokenization. Additionally, DLT may bring efficiencies to post-trade and compliance processes through automation, smart contracts, and identity verification.
At the latest, QWealth application has provided greater flexibility through personal interaction for a better financial advice. QWealth is currently available only for Canada: Ontario & British Columbia for a better wealth management experience more attuned and proactive toward the life transitions as per the needs and goals.
Apart from such, advent of various mobile applications for online investments, let the investors learn about various schemes available and educate them for being self-sufficient through advanced financial literacy. Inclusion of robo-advisors, Big Data, AI, and machine learning to evaluate investment opportunities, investor's trust for all ages are generally elevated through secured transaction facilities and ease of gaining knowledge.
The future of the investment industry is important for the functioning of the global economy, for the approximately 2 million workers it employs, and for the clients and end investors that depend on it to manage around $100 trillion in assets.