Digital Platforms Empower Investors through Control, Convenience and Confidence
The march to conduct business online is picking up its pace as financial companies boost their security measures and make it easier for customers to get things done quickly and efficiently.


The pandemic may have changed how we use technology, and ultimately how we manage our finances.
Throughout the pandemic, people increasingly relied on digital platforms, such as websites, apps and videoconferencing tools, for work and personal activities. At the same time, organizations improved their online customer experiences by embedding new technologies, making investments, and accelerating enhancements to respond to increased digital traffic. These advances often came with the goal of nudging people’s everyday choices and behaviors as well as improving consumer decision-making.
It appears to be working. Companies are interacting with customers through digital channels more than ever. In fact, in the U.S. 65% of customer interactions were digital in nature in July 2020, up from just 41% in December 2019, according to McKinsey research. It would have taken three years to see this increase under prior digital adoption rates.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Interactions with financial companies were no exception. In a recent survey of U.S. investors, Vanguard found that digital engagement for completing financial activities is strong. Roughly 70% of respondents reported they are comfortable conducting financial business online, and more than half (53%) are comfortable doing most of their investing online. Further, 60% of respondents prefer conducting financial activities online over other methods, such as in-person transactions and phoning customer service.
Survey participants cite a plethora of benefits to engaging with their money digitally, which primarily boil down to a sense of control and the ability to save time. Specifically, investors cited saving time (81%), the ability to conduct financial business at any time (75%), and faster access to their money (67%) as reasons investors prefer digital engagement.
Advantages such as the ability to transact business in real-time and broad accessibility of online financial websites allow people to take many financial interactions into their own hands. More control (47%) and more responsiveness (38%) also ranked among the top benefits of digital engagement. Whether simply checking the performance of specific stocks or interacting with their 401(k) investments, empowered by technology, individuals can interact with their money when and how they want, without always needing to rely on human support.
Hurdles to digital adoption
While more investors are gaining comfort with taking their investing experience fully online, Vanguard’s survey revealed that some respondents are still uncertain about engaging with their financial services firms digitally. According to the survey, security concerns are the biggest reason investors would not conduct financial activity online, regardless of overall comfort with their financial firms’ digital platforms. Accordingly, safeguarding data remains a critical area of focus for many organizations, particularly financial services companies that continue to accelerate already sophisticated security measures.
Results indicate that nearly two in every five investors are not comfortable conducting financial business online, and roughly the same percentage of respondents are not comfortable doing most of their investing online. Following security, investors cited confusion (22%) about the platform as the next most common reason that they avoid doing their finances online.
How to gain digital confidence
As investors’ digital adoption and engagement rose, financial services companies accelerated – and continue to accelerate – enhancements to their online experiences and mobile apps. Investors hesitant to embrace digital platforms should explore the advances in security offerings made by their financial services firms. Not only will individuals benefit from the upsides enjoyed by their digital-leaning peers, but they’ll also see how websites and apps have moved the needle on security and navigation. For instance, many sites and mobile apps now offer more secure methods of account access using a mobile device’s facial or fingerprint recognition feature. In addition, more modern interfaces provide convenience for uploading documents, feature intuitive search functions, offer visualizations of account performance and trends, and enable sophisticated digital client service.
Investors will continue to see an evolution toward digital empowerment. Many enhancements financial services firms make reflect efforts to empower investors by giving them greater control, saving them time, and addressing the major concerns that surfaced in the Vanguard survey. From “unseen” improvements in technology infrastructure, to tools investors can interact with to optimize personal portfolios and maximize long-term outcomes, the prevailing result is an elevated, reliable and more robust user experience.
Whether fully on board with digital engagement or still a little hesitant, investors can and should expect increasing control, convenience, and confidence when it comes to managing their finances in a digital environment. And while live human support will continue to play an important role for more complex financial issues, online and mobile engagement can streamline the majority of investors’ financial activities.
Over time, as digital enablement evolves even further, investors can expect prompts for better investment behaviors, improved investment outcomes, and greater confidence in their financial futures.
Related Content
- Financial Advice I Would Give My Younger Self – Planning for a Young Family
- Find the Right Robo Adviser for You
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Marco De Freitas is principal and head of Client Experience & Digital for Vanguard Personal Investor. De Freitas leads Personal Investor's CX strategy and its efforts to reimagine end-to-end client journeys across channels. His cross-functional teams of product managers, UX/design, analytics and software engineers are focused on transforming Vanguard's client experience, improving client loyalty and driving better financial outcomes for Vanguard clients. He holds Series 7, 24, 63 and 66 licenses.
-
Claiming the Standard Deduction? Here Are Five Tax Breaks for Retirement in 2025
Tax Tips If you’re retired and filing taxes, these five tax credits and deductions could provide thousands in relief (if you qualify).
-
QUIZ: Test Your Retirement IQ
Quiz Are you smarter than…everyone else? Test your retirement smarts with this quiz.
-
Where There's a Will, There's a Way Your Assets Will Be Distributed as You Wish
Your will is the backbone of a strong, adaptable estate plan that ensures what you leave behind goes to your selected beneficiaries. Without a will, state laws determine who gets your assets.
-
I'm a Financial Adviser: This Is What You're Really Losing if You Cut Back on Your 401(k) Contributions
Missing out on the benefits of the employer match and compounding growth could force you to work longer and lower your standard of living in retirement. Here are some alternative options.
-
Preferred Bank Stocks: The Investment Retirees (and Others) May Be Missing Out On
Most large banks issue preferred stocks that pay out fixed dividends, often with higher yields than bonds. Should you make room for them in your portfolio?
-
Don't Let Your Equity Compensation Trip You Up: A Financial Expert's Guide
Stock options, RSUs and other executive perks can come with some serious strings attached. To avoid a nasty tax surprise, you need a plan.
-
The Spendthrift Trap: Here's One Way to Protect Your Legacy From an Irresponsible Heir
A spendthrift clause in an estate plan can protect an inheritance from a financially irresponsible child's debts and poor decisions.
-
Adapting to AI's Evolving Landscape: A Survival Guide for Businesses
Like it or not, AI is here to stay, and opting out could be disastrous for your organization. Instead, focus on what you can control and be flexible, as AI is still evolving.
-
Striking Gold (or Gas): A Financial Pro Unpacks the Nuances of Energy Investing
Investing in the energy industry, particularly oil and gas, involves understanding the facts about how projects generate returns through cash flow and long-term asset building, while also being aware of the risks.
-
Escaping the New Golden Handcuffs: A Financial Expert Has a Plan for Today's Executives
Feeling stuck in your job? It could be your complicated compensation package, but it also could be where you live, your family or even how you view yourself.