Although there is no doubt that trading has evolved incredibly over the past century, it is also a fact that the past decade has ushered in some truly amazing advancements. This is one of the main reasons why a growing number of individuals from all walks of life are now becoming involved within the exciting world of the stock markets. Let us take a brief look at some of the major evolutionary trends exhibited during the previous ten years. This may provide us with some insight in regards to what we can expect in the future.
The Modern Trading Platform
There is perhaps no greater impact upon the financial world than the introduction of the modern trading platform. Gone are the days when there were only a handful of options to consider. There are now literally hundreds of different portals governed by their respective jurisdictions. Some of the largest hosting regions are North America, Europe and Asia. While this is indeed an advancement, such a variety of options dictates that potential investors need to be quite careful when choosing the most appropriate platform.
High-Speed Internet And The 4G Revolution
High-speed Internet has gripped the world thanks to its lightning-fast responsiveness. This very same observation holds true in regards to investing. News emerging out of the Hong King Stock Exchange can now be viewed instantaneously by a broker in London or New York. Not only is this due to the prevalence of broadband Internet, but the presence of 4G mobile technology allows traders to access their assets while out and about. This would have been considered fictional ten years ago and even if it were possible, the investor could never be certain that the information was accurate.
The Mobile Trading App
Mobile trading applications and high-speed Internet enjoy a hand-in-hand relationship. Not only are these “apps” easy to access, but they contain all of the trading tools that would be encountered when accessing a portal with a personal computer. This is very important for those who are keen to adopt short-term positions such as Forex trades or CFD holdings. Some even predict that mobile trading will supersede PC-based interactions in the coming years. This is still yet to be seen.
Due to the aforementioned presence of the Internet, it is much easier for companies to publicize their mission statements and to entice potential investors. The good news is that aspiring traders are now able to enter into a potentially lucrative venture from an early stage. Unfortunately, this also signifies that there is a heightened sense of risk due to the sheer number of start-up firms present. Once again, investors need to be more savvy and cognizant than ever before.
There is no better example of this than the Forex markets. In the past, traders would be limited to the hours dictated by their geographical region. This is no longer the case. When the European markets close, the Asian markets are already up and running. This enables fast-paced investors to access the virtual trading floor 24 hours a day and seven days a week if desired. Obviously, the potential for profits has increased accordingly .
It is also worthwhile noting that technology shows no signs of slowing down. Will we eventually witness the days of trading assisted with the use of artificial intelligence or a personalized “bot” similar to the Siri application? Although nothing is written in stone, there is no doubt that investing will continue to be redefined as technology takes even more of a hold of our daily lives.