Social Media & Stock Market

Tommy Sapia

2/17/15

News Update Summary

How to invest better using social media contains some good insight on marketing yourself as a person and also helping you build a better portfolio. In 2013 the SEC began allowing companies to use Facebook and Twitter to provide information to investors. This is a huge step in the financial world. Instead of investors waiting for the next issue of business journal to come out, companies are able to get and immediate reaction from stock consumers since publishing statements on social media is right at your fingertips. Without investors, most of these companies would not be able to efficiently market themselves due to the high costs that come along with this sector of the business. Marketing is very competitive and expensive. Social media is a free way for these companies to get their information out there. Since most of the world’s population is using social media now-a-days, companies are able to reach a wider demographic and even attract foreign investors.

The key factor for consumers using social media to monitor their stocks is; Social Media platforms are a source of information overload. Not only do you get one person’s opinion on a stock, you get many different views. Usually in journals or magazines you only get a few different perspectives. Social Media allows anyone to put in there idea. Allowing companies to post information on earnings, ventures, etc. they are making it easier for people to access the information they need to make a decisions on investing via social media. This is UWall Street’s way of adjusting to the ever changing technology in our economy. Social Media is keeping the stock market relevant to the upcoming generation.

http://www.forbes.com/sites/nextavenue/2015/02/11/how-to-invest-better-by-using-social-media-2/