What digital solutions are modern investment fund companies using?
Investors expect service that is fast, intuitive, and tailored to their needs. If they don’t get it from your company, they’ll turn to a competitor. In this article, we look at how modern technologies support investment fund companies, streamline processes, and enable smarter use of data. The digital revolution in investment funds is already underway. Are you ready to take part?
For years, investment fund companies relied mainly on traditional distribution channels, especially banks. A lack of competitive pressure and dependence on transfer agent systems meant that digital client needs were treated as secondary.
But that is changing. Rising investor expectations, new regulations, and the rapid development of fintech are forcing organisations to accelerate their digital transformation. Without it, they risk falling behind other financial institutions.
More and more of them are turning to modern technologies: process automation, advanced analytics, and mobile apps. Their goal? Better customer service, greater efficiency, and stronger client loyalty.
Digital customer service is the new standard
Today’s investor expects fast and intuitive service – available 24/7 on both desktop and mobile devices.
Investment fund companies are responding with:
- Applications provided by Transfer Agents – These are limited in functionality and user experience. Transfer Agents handle transaction processing and recordkeeping, but their systems often lack modern UX and digital features.
- Custom solutions – These offer complete control over the customer journey. Companies can design the look and feel, customize workflows, and integrate with other systems. They no longer have to work within the constraints of third-party solutions. These premium tools help stand out. A modern and well-designed interface can be just as important as the product itself.
- Bank and distribution channels – Still important, but increasingly supported by tools developed in-house.
Chatbots and voicebots are also becoming more common, handling simple queries and even initiating investment processes without human intervention
A great example of digital client service in action is a mobile app for a financial institution developed by e-point. This project significantly improved service accessibility and user experience.
Automation means less paper, more efficiency
Operational efficiency is essential for every modern investment fund company. Many institutions are adopting tools that automate repetitive processes, reduce errors, and speed up everyday operations.
A key example is the use of automated KYC (Know Your Customer) and AML (Anti-Money Laundering) systems, which enable instant identity verification and risk assessment. Previously, onboarding a new client required paper forms, document copies, signatures, and often a courier delivery. On the company’s side, data had to be entered and verified manually. This process could take several days to complete.
Now, onboarding takes just minutes. Users can verify their identity using mObywatel, online banking, electronic ID cards, or traditional ID. The process is fast, convenient, compliant with regulations, and removes the entry barriers that once discouraged new investors.
Investment fund companies are also implementing digital document workflows that replace paper-based processes and accelerate approvals and archiving. Tasks that once required manual review are now managed by OCR (Optical Character Recognition) and RPA (Robotic Process Automation) technologies, which extract and process data quickly and accurately.
One notable example is HomeTrust Bank, which automated its credit document processing. The bank cut review times, saved over 8,500 staff hours annually, and significantly improved customer satisfaction.
The benefits of automation are clear: better data quality, improved compliance, and more scalable operations. Well-planned automation can cut service times from hours to minutes and give sales teams access to clean, up-to-date data.
AI helps understand clients better
According to Salesforce’s The Connected Financial Services report, over 53% of financial services clients are not fully satisfied with their service experience. Most say they’d consider switching to another provider if it offered a better digital experience.
To stay competitive, investment fund companies must understand customer needs and respond quickly to market changes. That’s why many are investing more in data analysis. For example, tracking user behavior can help identify where clients drop out of the investment process – such as closing an app just before confirming a transaction. Even a small UI adjustment or message change can improve completion rates.
Predictive analytics takes this further by forecasting future client behavior and market trends. It can, for example, detect when a client group is likely to withdraw funds or become interested in a new fund type. This allows marketing to launch targeted campaigns or retention offers in advance.
Robo-asistents are also on the rise. These tools analyze a user’s profile, risk tolerance, and financial goals to suggest suitable investment options. For less experienced clients, this guidance can lower the entry barrier and increase confidence in investing.
Cybersecurity and compliance matter more than ever
In finance, trust is everything. That’s why companies are strengthening security through multi-factor authentication (MFA), biometrics, and digital certificates. These measures help prevent unauthorized access to user accounts and investment data.
Security works on many levels: from strong passwords and SMS tokens to facial or voice recognition.
Compliance is just as critical. TFIs must meet regulations like MIFID II (investor protection), GDPR (data privacy), DORA (operational resilience), eIDAS 2 (electronic identification), and WCAG (digital accessibility standards).
Strong cybersecurity and regulatory compliance show clients that the organisation truly values their trust and privacy. It’s a clear sign they’re dealing with a professional, modern institution.
How to reach investors through multiple digital channels
To reach today’s investor, you need to be present where they actively seek investment products. They expect instant access to information, the ability to compare offers, and simple, intuitive buying processes.
That’s why fund companies are expanding into multiple digital channels:
Fund marketplaces – These often function as ranking platforms. Users can view fund performance and invest online. It’s a high-reach channel.
Bank and fintech integrations – These let companies appear in systems and apps clients already use. It’s a smart way to increase brand touchpoints and reach users who may never visit an official website. Collaborations with fintechs also enable innovative features like instant account funding or easier identity verification.
Proprietary channels –These provide the most control over customer experience. A proprietary channel can rely on a Transfer Agent’s app (with limited customization) or a custom-built solution offering complete freedom over design, personalization, and integration. A well-designed app lets clients invest, understand fund performance, and receive data-driven recommendations. It also gives great space to test new features – all without third-party limitations.
A good example is the new Investors portal, which combines transaction, education, and analytics functions in one modern platform.
The future of digital investing
Generation Z includes nearly 9 million potential investors in Poland. This is a digital-native audience that expects instant access to information, clear interfaces, and immediate results. Long forms or drawn-out buying processes are deal-breakers.
For Gen Z, everything must be mobile-first. Speed, simplicity, and top-tier UX – like in the best e-commerce and mobile apps – are non-negotiable.
To win their attention and trust, TFIs must think like digital product companies. Platforms like Revolut, XTB, and eToro already offer fast onboarding, plain language, educational videos, and smart suggestions. TFIs are competing with them for this new generation of investors. These aren’t “nice-to-haves” – they’re essentials to be seen and chosen.
Digital transformation is a process, not a one-time project
Compared to other financial institutions, investment fund companies are still catching up. For years, they operated in the shadow of banks and were limited by transfer agent systems that weren’t designed for user experience or innovation.
Now, more investment fund companies are realizing that digital transformation is not a trend – it’s a business necessity.
If you’re just getting started, choose a partner with deep industry knowledge and a practical business mindset. That’s how you make your digital transformation a success.
"Digital solutions aren’t just extras anymore—they’re the core engine powering growth for progressive investment funds. Without them, scaling operations and attracting new investors at scale becomes next to impossible. But simply deciding to transform isn’t enough. Choosing a technology partner who truly gets the unique challenges of investment fund companies is key to sidestepping pitfalls and crafting changes that deliver real, measurable impact."
Łukasz Krukowski
Chief Technology Officer
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