Solutions for improving the interaction between investment and personal data security
Klaudija Charlapavičiūtė · 2024
This study examines the intricate relationship between investment processes and personal data security, highlighting the significant concern among investors regarding the handling of their personal information. With a growing awareness of data misuse, investors are increasingly cautious about where and how they disclose their personal information. This research employs a mixed-method approach, integrating quantitative surveys with qualitative expert interviews to assess how concerns over personal data security influence investor behavior and decision-making in financial investments. The findings reveal that the demand for personal information notably dampens investors' enthusiasm to engage with financial products, affecting both their investment choices and their trust in financial service providers. The study underscores the urgent need for investment firms to adopt more transparent and secure data handling practices, including the implementation of two-factor authentication (2FA), data encryption, anonymization techniques, and the principle of data minimization. By addressing these concerns, the study proposes actionable strategies for bolstering investor confidence and fostering a secure investment environment. This work contributes to the understanding of the critical intersection between investing and data security, offering insights into improving investor relations and enhancing data protection measures in the financial sector.