Tables in Focus - Internet security concerns

While a reasonable proportion of investors access financial services information over the Internet and are confident in conducting transactions via this means, the majority do not obtain information this way and also lack confidence in per-forming financial transactions via this method.

While a reasonable proportion of investors access financial services information over the Internet and are confident in conducting transactions via this means, the majority do not obtain information this way and also lack confidence in per-forming financial transactions via this method.

Approximately three in 10 investors (29 per cent) use the Internet to access fi-nancial services, according to the results from the recent Assirt Investor Mar-ket Trends Survey. The services they use most frequently are looking for general investment information and looking for company information on shares (17 per cent), followed by accessing information on share performance (16 per cent) and conducting share research (14 per cent).

A little over one in 10 investors (11 per cent) use the Internet for retail banking purposes, in reviewing their savings and credit card accounts. Also a little over one in 10 investors (11 per cent) use the Internet for trading shares.

While those using the Internet to attain financial information are utilising a broad range of services, over seven in 10 investors (71 per cent) do not use the Internet for this purpose at all.

General investor confidence in using the Internet to conduct financial transac-tions was particularly low, with just under three in 10 (29 per cent) being un-sure about conducting transactions via this means, their major concern being se-curity. A further 43 per cent of investors indicated they were not very confi-dent or not at all confident about conducting financial transactions on the Internet.

These results indicate that those investors using the Internet for financial services, predominantly do so to obtain information rather than conduct transac-tions. Furthermore, it seems that despite the growing body of financial informa-tion and services available to investors over the Internet, investors are still tentative about using the emerging mode of transacting. The key to allaying these concerns is by providing investors with information about the security procedures in place to protect their transactions.

Background of the Survey

The Assirt Investor Market Trends Survey was conducted in November and December of 1999. Approximately 500 investors with over $2,000 invested were interviewed via the telephone on their perception of investment institutions and various topical issues.

Disclaimer: This information is a summary only and based on information believed to be reliable and received from sources within the market. No representation is given, warranty made or responsibility taken as to the accuracy, timeliness or completeness of this information and ASSIRT will not be liable to the reader in contract or tort. (including for negligence) or otherwise for any loss or dam-age arising as a result of the reader relying on any such information (except in so far as any statutory liability cannot be excluded). Please note past perform-ance may not be indicative of future performance.

Disclosure: ASSIRT is a licensed investment adviser and is a wholly owned sub-sidiary of SEALCORP Holdings Limited (ACN 009 143 597) ("SEALCORP"), which is in turn a wholly owned subsidiary of St.George Bank Limited (ACN 055 513 070). SEALCORP also owns ASSIRT Software Pty Ltd (ACN 009 176 178), ASGARD Capital Management Ltd (ACN 009 279 592); PACT Accountants Investment Group Pty Ltd (ACN 009 119 242) and SECURITOR Financial Group Ltd (ACN 009 189 495). ASSIRT owns 50% of ASSIRT Equities Holdings Pty Ltd (ACN 088 283 809). St.George Bank Lim-ited owns Advance Asset Management Limited (ACN 002 538 329).

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