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Technology

Technology plays an increasing role in helping people reach their long-term goals. People who use technology to monitor investments feel far more confident and are very likely to take action to improve their financial future.

Chart: Impact of monitoring investments online

Technology plays an increasing role in helping investors reach their long-term goals.

Those who use technology to monitor investments feel far more confident and are likely to take steps to improve their financial future as a result.

Managing finances with technology

Tapping technology to manage finances raises confidence in decision making. Sixty percent of investors who monitor their investments online feel confident compared with only 42% of those who don’t. Plus, although only a minority of retirement savers monitor their retirement plans online (15%), more than three-quarters of these investors took steps to improve their long-term outcomes as a result.

Chart:Actions taken as a result of online tools to monitor retirement savings Chart: Actions taken as a result of online tools to monitor retirement savings
Chart: Actions taken as a result of online tools to monitor retirement savings
Chart: Actions taken as a result of online tools to monitor retirement savings

Is digital advice on the rise?

Only a small fraction of Americans (2%) use digital or “robo” advisors and only 47% of respondents have even heard of the technology. However, adoption could rise. Half of those who’ve heard of robo advisors are considering using them. Unsurprisingly, millennials are particularly intrigued. Sixty-nine percent of those familiar with robo advisors say they’re likely to use them in the future.

For current users of digital advice, the most appealing aspects of the technology are simplicity (53%), low fees (49%) and convenience (43%).

Chart: Digital advisors of advisors Technology

Chart: Top risks to americans' financial futures

The human touch still counts

Robo advisors aren’t being viewed as a replacement for traditional financial advisors by all investors. For one thing, there’s no correlation between satisfaction with one’s advisor and consideration of robo advisors. Further, 55% of considerers of robo advisors say they would use this technology as a complement to a human advisor.


Technology pairs well with personal advice services.

Investors who use financial advisors are actually willing to invest more money in online transactions on average than non-advised investors ($15,000 vs. $12,000). Further, the most common factor that would prompt investors to invest through an online platform is speaking with an advisor first.

Chart: Technology complements advice

Take action

A combination of professional advice, transparent risk management tools and technology can empower Americans to take control of their financial futures and better meet their long-term investment goals.

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