Technologies allow greater returns but also new traps

Capital markets in the EU are experiencing a transformation. Among the factors that contribute the most are the establishment of a single capital market in the EU, regulatory changes that direct the business of companies involved in the industry, and the range of products is changing, with one of the trends being durability. New paths to investors are also opening up, consolidating investment companies and finding ways for greater cost efficiency have a significant impact.

The key role to achieve results in all these areas are the development of advanced technological solutions and their integration into processes. They enable achievement of higher cost efficiency, developing new investment solutions, achieving better results in investing and better cooperation with customers and other stakeholders, explains Alexandr GutireaDirector of the field of analyzes in Triglav Funds. Information technology enables the development of new financial solutions, such as artistic advice based on artificial intelligence (UI), establishing new communication and distribution channels, and more efficient and successful managing investment risks and finding opportunities.

According to the Global Investment Company report for 2025, prepared at Boston Consulting Group, investment companies have ten to twenty percent of all costs associated with information technologies, and last year’s PWC found that 68 percent of investment companies devote less than a sixth of its capital expenditure.

“The key reasons for the slightly slower introduction of new technologies in the organizations operating in the area of ​​capital markets (investment companies, investment banks, brokerage companies, stock exchanges) are, compared to the rest of the financial industry, related to their internal characteristics (the obsolescence of existing technological systems, which limits the upgrade, organizational and cultural characteristics, and reduce the processes. to accept risks, and lack of expertise) and with external factors (regulatory environment, complexity of operation and fragmentation of capital markets, resulting in high requirements for technological solutions and necessary investments for introducing new technologies), « Gutirea explained.

Technological trends

In the area of ​​capital markets, the most topical UI technologies are now, storage and processing solutions, and data blockchain technology. Three -quarters of the fund managers/assets are estimated that the first listed technology will most importantly influence the industry in the next two or three years, according to PWC that it will be data analytics, half of those respondents and 40 percent are convinced that it will be blockchain technology.

According to Gutiree UI (for example, generative artificial intelligence), it enables faster information processing, better investment decisions and better risk management, and is used in editing, market data analysis and investment research, in natural language processing to review news and financial reports, while data blockchain technology can contribute to increasing the effectiveness of processes. In the area of ​​safe storage and processing of larger data scale, it emphasizes solutions in the field of databases, cyber security and cloud computing.

However, introducing advanced technological solutions can also be associated with risks. According to PWC, more than half of disruptive technology managers have a major impact on cyber security measures. As Gutirea explains, greater dependence on higher data volume increases the importance of cyber risk. Among the risks, it also highlights the possible impenetrability and unreliability of technological solutions. One example may be hallucinations of UI solutions.

Slovenian societies follow

According to the interlocutor, the investment company in Slovenia is quite well followed by trends in Europe. « In the field of technologies, they are certainly not the most advanced in the world, but they still use advanced information systems, integrate UI in processes and develop advanced digital communication and distribution channels, » he said.

Jerneja Faletičthe manager of the digital aquation in Triglav Funds, as an example of the technological solution developed by the company, stated the Triglav Skladi mobile application. It allows users to invest in mutual funds from approach to transactions.

The accessibility of technologies and the user experience, in her words, are not as much a question of technological development as “the fact that we work in a strictly regulated environment of the financial industry. Compliance with European and Slovenian legislation, especially in the area of ​​money laundering and personal data protection, requires additional steps and verification that can affect the user experience. However, these restrictions are not an obstacle, they are part of our conscious effort for security, protection and long -term customer trust. « 

Legislation, both at the EU and in Slovenia, often does not follow enough developments in development, especially compared to more agile, less regulated non -European platforms, says Jerneja Faletič. Photo: Jernej Lasič

Users often compare the user experience with those from abroad, where the rules may be less strict or the apps more open, but « this additional security and protection bring them greater benefit. We know and use technology effectively – the key difference is that we implement it responsibly, in accordance with regulations and for the benefit of customers.  »

Strict legislation often limits investment companies in investment in technologies. Which, according to Faletič, is not necessarily bad, as it provides partly stability and security. “It is crucial for the managers to find solutions that are at the same time compliant and understandable and intuitive to the user. Legislation, both at the EU and in Slovenia level, often does not follow enough developments in development, especially compared to more agile, less regulated non -European platforms, « he adds. However, it is a necessary thoughtful development that keeps an eye on both investors’ well -being and appropriate user experience.

Benefits for investors and markets

The use of technologies provides an important step towards democratization of investing. Digital solutions are approaching investments to the general public as they become more accessible, more transparent and more understandable. “Technology allows for lower entry thresholds, easier management and better information and education of investors. All this can increase confidence in the system and the number of active investors. Greater participation brings more liquidity, more dynamics and more stability in the long run, which promotes the growth and development of capital markets and strengthens financial literacy in society, « says Jerneja Faletič.

With the advantage for investors, it reminds of new risks. For example, the investor is often left to his own emotions and impulses in the mobile application. When markets fluctuate, fear can dominate reason, leading to reckless decisions, such as panic investment sales in the market falls. “We try to avoid these risks by emphasizing the education and awareness of investors. We encourage them to think long -term thinking, understanding risks and goals and maintaining discipline even in times of volatility in capital markets, « he adds.