Monday, May 20, 2024
Investment Advice

Using Social Media for Investment and Financial Tips

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Per Techjury, half of our phone time in 2022 was spent on social media. And, people aren’t just browsing memes on Instagram or watching funny videos on TikTok.

The young generation is using social media platforms like Reddit, YouTube, TikTok, Instagram, Twitter, Facebook, and others for something more serious: to get investing and financial advice.

A recent Forbes Advisor survey places 79% of millennials and Gen Z using social media for financial tips and strategies on debt, investing ideas, and getting smart with their money.

Big Question: Should you use social media for financial advice?

Financial experts agree that social media has made it “less of a taboo to talk about money” and can be a great source of financial advice. They’re also quick to caution that you should vet your sources first before you proceed.

Vetting those you wish to follow is your first line of defense against rogue personal finance influencers out to line their pockets at your expense.

  • Follow popular and trustworthy influencers —those with many followers and positive reviews
  • Promises to make you rich quickly are a red flag
  • Don’t fall for promotions of unrealistic gains, like 300% per week
  • Avoid those talking only about gains with no mention of risks
  • Look for long-standing investment history and experience
  • They should be able to provide context, not just tips or general advice
  • See if they have relevant education, certifications, or qualification
  • Mentioned or rated by popular publications, like Forbes, Yahoo finance, etc.
  • Reputable personal finance authors and bloggers

Our picks of popular social media accounts to get investment and financial advice

@HumphreyTalks

A former financial advisor, Humphrey Yang has over 3.3 million followers on TikTok. Turn to his social media accounts for advice and tips on capital gain taxes, investing, and money in general.

@yourrichbff

YourRichBFF is a popular social media account that focuses on financial literacy and lifestyle to help you learn ways to get rich and stay rich. The owner, Vivian Tu, is an ex-Wall Street trader and popular YouTube personality who has managed to build a community of 2.3 Million followers on TikTok.

@SuzeOrmanShow

Suze Orman is a respected personal finance expert and author in the US. Her social media accounts are great places to turn to learn all things personal finances: savings, investing, retirement, life insurance, home ownership, credit & debt, etc. She has over 1.3 Million followers on Twitter.

@ramit

Author of “I Will Teach You To Be Rich,” Ramit Sethi is a popular personality in personal finance circles, and a top one to turn to on social media if you want to master money psychology. He will teach you how to use your money to build a rich life and live bigger.

@TheBudgetnista

Tiffany Aliche’s social media accounts focus on Women and money, and over 1 million women have benefited from her financial knowledge. Her social media channels are great for budgeting and money management tips.

@richbyintention

Money is a big cause of trouble in many homes. A married couple, Anjie and RJ Muhammad use their experiences to help other couples manage money and build wealth with fewer arguments. And they are not just saying it. Together, they’ve paid off about 123k in debt!

Keep an eye out for social media scams

According to the  Federal Trade Commission (FTC), more than 95,000 people lost about $770 million to social media-related fraud in 2021, with 41% of fraud losses affecting millennials aged 20-29.

To stay safe, “Be skeptical. Don’t take everything at face value…..ask yourself if this makes sense or if something doesn’t add up”, says Rick Nott, a certified financial planner, and private wealth advisor.

Check our Young Person’s Guide to Investing for sound financial and investing advice to help you get started on the right footing.

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