Who Are Financial Influencers and Why Use Them?
In the next generation of investing, we mentioned that retail investors are taking their portfolios into their own hands and moving away from traditional brokers. So where are they getting their investment advice from?
Our research shows that the average retail investor is between the ages of 24-44. A younger generation that consumes all its information online. A National Institute of Investor Relations study found that 47% of retail investors use social media for their investment research. Read more about the average retail investor here.
The past decade has seen all kinds of social media groups pop-up. Facebook, Reddit, WhatsApp, and different forums for all types of topics and sectors. The first thing a new parent does is join a mom or dad group to get information from those that have been through it– so called”experts.” Well the same goes for investing and trading!
The first thing a new trader, interested in mining for example, does is join an investing and trading group specific to mining. Engaging on this group with experts is how the retail investor learns about new investment opportunities and makes trade buying decisions.
Financial influencers are the experts of these groups: thought leaders or group administrators. Having them mention your stock as an opportunity is almost as trusted as a broker mentioning your stock to their client. This is where you need to get your information across.
Recently, one of the the most famous trading groups, Reddit’s wallstbets, drew up the share price of stocks like GameStop ($GME), AMC Entertainment ($AMC), Express ($EXPR), Bed Bath & Beyond ($BBBY), Nokia ($NOK) and Koss ($KOSS). This is the power of retail investors, social media and influencers.
Spectrum by UntappedLab has relationships with 340+ online investing and trading groups and financial forums for you to quickly and easily get eyeballs on your investment offering. Contact us for a demo today to get your news in front of retail investors in their preferred method of communication.