A Paradigm Shift To Investing Online
The entire world and human race are currently facing an extraordinary medical crisis due to breakout of the Pandemic COVID-19, however what is heartening to see is the gradual opening up of economies and its citizens starting to bravely cope and adjust to the evolving new normal.
Against this backdrop, the process of digitisation which had started in recent years and started transforming financial services landscape would only get further impetus and progressively become more mainstream.
Within the financial services space the process of digitisation started with Banking and we have witnessed a complete transformation with digital payments, net banking and ATMs making a travel to your local bank for transacting a thing of the past.
We now foresee a similar paradigm shift to happen in the world of investing – with the traditional and offline methods getting replaced by online processes driven by technology, Big Data & Artificial Intelligence.
The power of digital investment will be truly unlocked as online investment becomes common place for the common man. A truly digital online Investing experience would allow the investor to fulfil his entire investment journey from on-boarding, doing KYC, assessing his risk profile, preparing an ideal asset allocation plan based on defined rules and then use data driven investment strategies to pick & choose from and finally execute with the help of an online broker, all with the help of few clicks. Isn’t that fascinating and familiar to the digital transition we have seen in the banking Industry?
The benefits of digital investing are limitless as computers can do wonders with vast amounts of data to analyse and offer solutions at a speed and frequency that is impossible for a human to trade/comprehend. So, how does all this work? Does this mean that humans have no role to play? Do we just leave it to machines, and will this mean everyone makes money?
Well, at its heart, it simply means that the decision-making time is reduced and becomes much more structured. Any good investor looks at multiple data points from the performance of a company to the environment that impacts its business to the overall business environment of a country and the world at large to take the smallest of decisions and in a connected world the dependency on accurate timely data based decision making determines levels of success. What digitisation does is, it automates this entire process through algorithms (simple and/or complex) and uses Machine Learning to deliver solutions which are transmitted through technology enabled platforms and achieve high level of consistency in quality of output and attempt to offer what is unbiased advice.
Step 1 was Dematerialization & Screen / Terminal based order execution.
Step 2 was the emergence of Net Banking. We are now at Step 3 where investing is now done using data points & information available 24×7, at fingertips.
What matters is the analysis of these data points or relying on people with adequate experience, especially in the field of investments, to cut across the noise and provide sensible direction to risk capital looking for the right set of opportunities.
From recommendations, model portfolios to analysis of stock performance and debates on TV channels; individual investors are reading, listening, and looking at multiple opinions to gain an edge. Market experts talk about global trends, market cycles, what is in and what is not! Yet, if investing was so simple then everyone would have become a millionaire or even a billionaire. But that is unfortunately not the case.
This is where we come in. We are www.alphaniti.com, where it is all about helping you decide on the right Portfolio Niti (strategy) for you. Our goal is to redefine the experience of investing for the average Indian investor. Our bouquet of unique strategies are carefully designed and back tested across market cycles to ensure robustness and avoid survivorship bias. These strategies are data driven, systematic and rule based and are backed up by programmed back-testing and a sensible rebalancing framework.
This makes investing simple as you can simply choose from a range of strategies by empowering yourself with the right knowledge, deciding which strategy is suitable as per your individual risk appetite and then investing in these portfolios through your designated stock broker. Once you have invested do remember to track your portfolio on a periodical basis and also ensure that you also execute advice given on systematic rebalancing of these strategies to optimise your portfolio returns
Sounds Exciting? So what are you waiting for? Get started!
All you need to do is simply pick the strategies which give you the most confidence and conviction, invest in the combination of all stock portfolios and/or Mutual Funds Baskets to suit your unique investment style!
If you feeling confident and want to be aggressive with the opportunity in the market or even if you would prefer to approach building a conservative portfolio, whatever your outlook is, we will have something for you!
Starting May 2020, we have launched the Alphaniti platform with 3 core product offerings that provide you with the option of
- Investing in the US Equity Markets
- Investing in Indian Equity Markets
- Investing in Thematic Baskets of Mutual Funds across both Equity and Debt asset classes
And, this is just the beginning, as man and machine work together to help you systematically leverage the opportunities in domestic and global markets.
We look forward to sharing more information on how digital investing is progressively transforming the investment landscape and what comes next!
Do share your thoughts, inputs and comments with us and follow us on Instagram @alphaniti__ for information and inspiration on Digital Investing.