Combatting Market Shifts Using Investor Management Technology

Technology is becoming a necessity rather than a choice, and tedious tasks such as monitoring investor portfolios manually or looking out for potential deals are being replaced with automation. In the 21st century, it is of paramount importance to integrate technology into an investment firm's operations. Over 80% of investment management executives are confident that technology will be a major factor in the CRE industry in coming years, and as this evolution continues to take place, real estate firms must be proactive for adopting investor management software to be in a position to succeed and fulfil investor expectations.

Modern investors are used to instant gratification, and therefore a system that allows continuous access to information, transparency, personalization and frequent interaction is required to appeal to this new breed of tech-savvy investors. During market downturns, investors highly value reassurance and frequent communication, therefore, it is invaluable for a firm to provide such services. Not only will such a framework to improve investor confidence but also lead to greater financial success for CRE firms.

In this article, we will highlight how the utilization of investor management software is key to overcome tumultuous times and navigate through market turbulence.

Harness Invaluable Data to Aid in Decision Making

“Data is the new oil” according to many experts, and this statement holds even in the real estate industry. To manage risks associated with CRE investment, firms can tactfully navigate through difficult market conditions and predict future situations with high accuracy using the software. Data-driven insights have a huge impact on the capital allocation process and utilization of this information also signals investors that a firm is forward-thinking, opportunistic and has their best intentions in mind. 

As for investors, access to such information enables them to have a greater degree of decision making when it comes to adverse market conditions. During market downturns, investors’ requirements for actionable data becomes crucial and providing them with such tools will also instil a sense of trust, since they are more likely to check their portfolio frequently during these times. 

Utilizing real estate investment software for accessing insights gives investors an edge with decision making, and this translates to greater profit potential. Therefore, this software is extremely beneficial for both investors and sponsors.

Risk Management and Performance Monitoring

During times of uncertainty, it is more important than ever to ensure that investments are re-evaluated and high-risk investments are re-balanced. While constant monitoring of a portfolio is important, the lens through which decisions need to be made is vastly different during a time of crisis or market downturns. Therefore, to ensure the preservation of capital and ensure successful long-term wealth creation, the right technology is essential.

Instilling A Sense of Trust

Investor demands will inevitably change when there is uncertainty in the market as there will be a much greater requirement for constant updates and reassurance since large sums of money will likely be at stake. To provide clients with the access they require, it is necessary to bring technology into the equation since it would be almost impossible to satisfy investor demands using traditional means during market downturns. Giving investors a portal to check their holdings with uninterrupted, on-demand access to the performance of their portfolios will create a sense of comfort regardless of any unpredictability that may arise during such situations. 

Since the information collected in this industry is highly sensitive, ensuring complete transparency and trust among your client base is required to grow and retain your user base. Using a centralized hub to track and maintain data such as personal contact information or investment information will not only make it more convenient for firms but also add a layer of security, thanks to the inbuilt security features that come with Leaseums Investor Management Software. This platform provides unlimited access to information, and that showcases a firm's willingness to go the extra mile for their clients. 

Adopting Leaseum’s Investor Management Platform makes it extremely simple to be transparent with investors, especially during market downturns. Fostering such relationships with investors and sharing a large amount of information helps them to make better decisions and invest wisely, leading to a favourable outcome for both investors and CRE firms. In conclusion, utilizing investor management technology during difficult market situations can make a world of difference for maintaining a healthy portfolio and happy clients.