High-net-worth investors have largely taken to mobile technology. They see it as having a positive impact on people’s lives as well as their own.
In fact, 87% said it has positively impacted them, 59% indicated that they use it more, 61% said it helps them to manage their money and 58% said it gives them better control and organization for their finances, according to the latest Investor Pulse Poll by Morgan Stanley.
But their enthusiasm is tempered by mistrust and concern for cybersecurity. Four in 10 HNW investors somewhat agree that they do not trust digital technology. Millennials, however are more trustworthy, with only 26% citing disapproval.
The research, which included 1,106 U.S. households with at least $100,000 in investible assets (a third of respondents had investible assets of $1 million or more), was conducted between late December 2018 and early January 2019.
It found that just 7% of HNW investors feel strongly that their personal financial information is safe online, and 8% believe they are able to protect it.
On the other hand, 50% of HNW investors feel somewhat confident that their finances are secure online. The research noted that millennials are roughly twice as likely as HNW investors to feel very confident in the security of the financial information online (18%) and in their ability to protect it (19%).
Despite the lack of confidence in the security of their finances online, HNW investors embrace the convenience of mobile technology. Nearly two-thirds said it allows them to manage their money anywhere, anytime. For millennials, that percentage rose to 82%. Further, 58% said it helps them gain control and stay organized, 86% of millennials concurred.
Of note, 67% of millennials indicated that if a company wants their business, they better be using mobile technology. That sentiment goes for 42% percent of HNW investors overall.
In addition, the research noted that 45% of men in general and 50% of men who are primarily responsible for investment decisions in their household are more likely than women (37%) to say that digital features and offerings are essential for companies pursuing their business.
Also noteworthy is that 21% of HNW investors are not knowledgeable on many digital account offerings and features. The research showed that 21% are unaware of an online portal for accessing HNW investor accounts, 48% do not know of online mortgage tools and 46% are in the dark on online insurance tools.