The online trading marketplace continues to grow rapidly amid rapid advancements in technology. Traditionally, traders would either learn to trade gradually or hire an expert trader to trade on their behalf. This limited the inflow of new online traders into the market.
However, with the latest advances in technology, traders can now leverage various trading tools and systems to make money online without necessarily seeking the advice of an expert, or becoming experts themselves.
Online trading brokers have also recognized the paradigm shift and moved quickly to provide tools that will bring in more traders. As such, some offer their traders an opportunity to automatically copy the trades of expert traders, while others provide interactive charting tools to help analyze the markets.
Adapting trading platforms to mobile devices
Nearly every major city and town in the world today have access to the internet. The rise in global internet penetration has been driven by the emergence of the smartphone. Over the last 10 years, communication has continued to shift from e-mail to mobile messaging apps with billions now using Facebook’s Messanger App, Instagram, WhatsApp, Chinese WeChat, TikTok, and Telegram among others.
Investment service providers have followed the changes in consumer behavior by developing online investment apps to help traders to trade on the go. And according to learn bonds, a lead generation website for investment managers, online trading brokers and financial advisers, some of these apps continue to play a crucial role in promoting sophisticated trading.
Top investment apps to look out for in 2020
These apps come targeted to specific users. For instance, M1 Finance is a passive investment app that allows investors to build long-term portfolios. This app varies slightly from traditional Robo-advisors in the sense that investors can adapt their investments into fully customizable portfolios.
Another mobile trading app, Robinhood has been developed with retail stock traders in mind. The app has amassed a massive user-base over the last five years to become one of the most popular stock trading applications in the world. Robinhood has already surpassed several tier2 brokers in terms of assets under management. This is primarily because of its friendly trading rates compared to fees charged by other brokerage platforms.
On the other hand, Nutmeg, which is one of the most revolutionary Robo-advisers in the market. The platform capitalizes on the latest trading tools to automate their entire portfolio management process. Ideally, traders set it up and forget about it indefinitely. The settings are done based on the risk profile and appetite of the user to come up with an optimal portfolio management system.
Conclusion
In summary, online trading has gathered pace over the last 10 years. This comes following the emergence of smartphones, which have helped with the penetration of the internet. Now, nearly half of the world’s population has access to the internet via a smartphone, tablet, feature phone, laptop, or desktop computer.
Online brokers have recognized the potential impact of this paradigm shift on online trading. As such, they have launched intuitive trading apps utilizing the latest data analytics technologies and charting tools to offer a seamless trading experience. Disruptive tech startups like Robinhood have also seized the opportunity by launching revolutionary trading platforms to help bridge the gap between retail stock trading and institutional investors.