Inc. The Internet is rapidly changing the way financial services products are distributed. The electronic delivery of prospectuses, statements and other printed materials is quickly moving from a novelty to a baseline competency that all fund companies must have in order to stay competitive.
Investors expect to have the ability to access information on the Web.
According to ICI research, a staggering 33 million shareholder households have access to the Internet and 16.5 million shareholder households have visited mutual fund Web sites. It's hard to argue with the logic. Shareholders benefit from having rapid, convenient access to investor materials and greater control over what, when and how they receive and store the information. The industry achieves substantial economies by reducing postage and printing costs, and gains the opportunity to use electronic communication to solidify and expand customer relationships. Getting from Here to There While the industry may differ with the SEC over the pace of change, there is general agreement that change is coming.