Technology has become an all-embracing part of everyday life. It allows us wireless access to almost everything with just a couple of clicks of the mouse or the smart phone. Its pervasive nature has made inroads into the financial investment universe as well, and made tasks easier and convenient. Mutual funds and their allied partners, too, are leveraging technology to hasten and smoothen the customer on-boarding process.
The case for leveraging technology in mutual fund investing
Technology gels well with India’s demographic structure, where the median age is less than 30 years. Also termed millennials, this cohort presents immense opportunities for the mutual fund industry as they are at ease with using technology to conduct the entire gamut of financial transactions.
The biggest benefit for investors is convenience, which includes paperless experience and ease of transaction. Investors are spared mountain of paperwork. Advent of E-KYC (know your customer) is a perfect example of this, wherein investors can upload their verification details just by linking it with their Aadhaar card as against the previous practice of in-person verification which was time consuming as well as cumbersome. Also, investors can now transact and review their investments with just one click of a button.