Mayank Dwivedi is a working professional, who is on a journey of personal wealth creation (and discovery).
What is this post about?
This post tracks evolution of stock investment related advisory content mediums, used by content creators to reach out to their audience. This post will help retail investors get to know which mediums to look for/subscribe to, to get relevant, and easy to consume content on stock investment. This post will also help investment advisors to know relevant mediums for them to use, and reach out to their intended viewers/readers. After all, right engagement with your existing, or to-be-customers is key to build trust, and ensure long term customer retention.
Types of Stock Investment related Content Creators
There are following four main types of content creators who provide advice on stock investment strategy.
Content Creator Type 1: Professional investment advisors
These are SEBI registered investment advisors. These advisors might be working individually, or as part of a mutual funds group. They create content to spread their knowledge, and reach out to future potential customers. Some of their content is free, and some paid.
Example: weekendinvesting.com, capitalmind.in
Content Creator Type 2: Investment Platforms
These are companies which operate investment platforms, or operate stock analysis platforms (free or paid). In order to drive adoption of their platforms, these companies increase their reach by spreading knowledge of stock investment. These platforms often have a dedicated content creation team, simplifying investment for retail users, and indirectly acquiring customers by content creation-led-marketing.
Example: Groww, Tickertape
Content Creator Type 3: Media Houses
Traditional newspapers, e-magazines, create content on financial news and stock investment. These platforms act as aggregators of stock advisory content, where leading professional investors post their articles or interviews.
Example: Economic Times
Content Creator Type 4: Influencers
These are either normal retail investors who have been investing for multiple years, and are now sharing their investment knowledge with others. Or, these are educated CAs/full-time self-proclaimed investment advisors, who create video courses/paid masterclasses, on stock investment.
Example: Rachna Ranade, SOIC.in
List of Mediums to find Stock Investment related content
Investment advisors have caught on to the evolution of content mediums over time. Some of the traditional mediums are being replaced by more modern mediums such as social media, whereas some traditional mediums such as word of mouth still remain.
I have provided examples that I use to consume financial information, for each of these mediums. These are based on my personal usage experience, and are in no way a recommendation.
First, we will cover traditional mediums 1, 2, 3; then we talk about new age content mediums 4, 5, 6, 7.
Medium 1: Word of Mouth
Word of mouth is the earliest, and still widely used medium for spreading stock investment advice. Even now, in 2022, when I tell a friend or a work colleague that I am investing in stocks as a hobby, the first sentence that leaves their mouth is a stock tip. Family elders advise their children/grand-children on stock investment. Members of residential societies share stock tips with each other. Hangout conversation in a pub with friends sometimes turn out to be a comparison of stock investment returns and strategies. Don’t tell me you haven’t heard this statement before: “You know, I invested in this stock a year back, and my money doubled !! You should invest in this stock too.”
Effectiveness -> Low. One has to screen the advice one gets from a free, word of mouth medium. Learn from this medium, but Do Your Own Research (DYOR) before investing.
Medium 2: Call/SMS
Have you watched ‘The Wolf of Wall Street’? If yes, then you know the medium of making cold calls to potential customers by stock brokers. This is a traditional, and still a popular medium used to share investment advisory. Stock brokers, IPO dealers often call potential customers, or old customers who had bought stocks from them earlier. Another medium used is stock tips on SMS. You keep on getting these daily or weekly, until you block the number. Some of these calls and SMS tips can be a scam, so be careful.
Effectiveness -> Low. Many scammers are now using call and SMS to dupe unsuspecting customers by investing money in not-so-good stocks. Or worse, paying subscription money for regular advisory tips, which go bad as soon as the payment is made. It is important to DYOR, before taking an investment decision.
Medium 3: Print Medium
Newspapers and magazines are traditional, and still popular print medium used for sharing stock related investment content. Many of these have a freemium and paid subscriptions. Even veterans such as Mr. Warren Buffet start their day by reading finance journals. Reading is a good habit. In the investment world, it is a must habit. Reading annual reports, conference call transcripts, quarterly earnings reports, are key to understanding a company, its strengths/weaknesses, future growth strategy etc. Hence, it is a good idea to cultivate a reading habit. And why not start with the traditional newspapers or finance magazines.
Effectiveness -> Medium. Print mediums have good content. However, with the rise of new age mediums such as podcasts, videos, and social media - print medium is slowly being pushed to the sidelines. The effort needed by a retail investor to order a print medium, physically store it, is higher than getting similar content at the tap on your phone. Some of the good finance newspapers are Financial times, Economic Times. Some of the good finance journals are Dalal Street Journal, Valueresearch.
Almost all of the print mediums are now available online as well. Some have even made mobile applications to woo in new age retail investors.
Medium 4: Blogs
Blogs are a way for financial advisors, and investment institutions, to spread advisory tips to their existing and potential customers. Blogs are a short read, and can be consumed on the go. Nowadays, by installing a browser plugin, you can actually have the blog being read out to you aloud.
Effectiveness -> Medium. Blogs offer a convenient way to read short pages of financial wisdom on the go. You can read it on your phone, on your laptop, or let google read it out for you. Some free blogs that I read are weekendinvesting blog, tickertape blog, SOIC blog. Some paid ones are capitalmind blog. Many investment platforms and stock analytics product platforms - such as Groww, Tickertape, send a blog post daily or weekly - right to your email inbox.
Medium 5: Podcasts
Podcasts have been gaining popularity, and for all the right reasons. Podcasts are audio files around a topic; stock investment and financial planning in our case. Podcasts are convenient to use. They have libraries, play queues, and you can adjust the speed of play. With the rise of Bluetooth enabled headsets/earplugs, people can now listen to podcasts during their morning walk, in the gym, or while travelling in a metro train. Podcasts have even started replacing radio channels, used by car drivers, on their way to work, or on a long drive over the weekend. Popular podcast apps such as Spotify, PocketCast allow monetization of podcasts by introducing ads before/after/during the podcast. Some Podcasts I listen to on financial advisory, stock investment strategies are: Bloomberg Quint, Money Konnect by Edelweiss Mutual Fund, Where’s My Money by Tickertape, and Financial News Made Simple by Finshots. I just use Google podcasts for listening to these podcasts.
Effectiveness -> High. Podcasts are effective, owing to their ease of use. Podcasts integrate with your daily life routine. You do not have to specifically create time for podcasts. Podcasts are easier to consume vs print medium, as you can hear the host’s voice, and make out the words he/she is emphasizing on. The two drawbacks of podcasts are - lack of retention and notetaking. But hey, you can find a way around. For me, I listen to podcast during my morning and evening walks, and as soon as I get back to my flat, I take note of key points into my e-notebook.
Medium 6: Social Media
Social media is definitely the king of all mediums in our generation. It is so easy, and cool to use, share, and engage. It comes in various forms - tweet it, see it on YouTube, or view it on Instagram. Social media has given rise to a new breed of “Influencers”. These influencers have massive public following, and often do paid promotions on their social media channels. Some YouTube influencers I follow are SOIC finance, Akshat Shrivstava, Shashank Uduppa, Sahil Bhadviya, Rachna Ranade, Pranjal Kamra, Asset Yogi. Some Twitter Handles I follow are: @soicfinance, @deepakshenoy, @weekendinvesting, @sahil_vi, @mehrotra_saket.
Effectiveness -> High. Social media has taken the world by storm. Revolutionizing the manner in which content is generated and shared. The engagement of social media is phenomenal, where a user can choose to filter and search for topics he/she is interested in, read social media posts/videos which have high likes or recommended by the public, and subscribe to social media channels they find useful. The content on social media is a mix of good content, average content, and scam content. However, if you follow genuine social media influencers, and Do Your Own Research (DYOW), you should be good.
Medium 7: Other Internet Platforms
Other internet platforms include:
(a) Online video courses on stock analysis and investing strategies: These courses can be found either on online course aggregator platforms, such as Udemy, Coursera. Or, they are hosted on individual websites of financial advisors, such as SOIC, Quest by Finology.
(b) Forums/Communities: Online forums and communities discuss investment strategies, advice on stock picks etc. One of the prominent ones is Valuepickr.
(c) Apps: Some applications aim at sharing information on recent company performance, stock recommendations, and financial planning advice. One such prominent app is Stocktwits.
Effectiveness-> Medium. Other internet platforms such as courses, communities, are actually useful, and have great content. However, they either require an upfront investment (for courses), or relatively more time to screen the content on the forum that is useful for you. Hence, the overall effectiveness for these channels is medium. However, they are a good way to reinforce your learnings, and get a wide source of opinions from professionals as well as knowledgeable folks in the investment space.
Which mediums should Retail Investors use for consuming content?
Looking for Stock Recommendations [Short Term investment]
Retail investors who look for stock recommendations, for short term gains from stock investment, should refer to print medium, and subscription services (blogs/e-journals). Some good ones are Economic Times daily stock investment email, Moneycontrol's daily email. Both of these have up to date analysis of industry sectors, and recommendations on stock picks. These include both Buy and Sell stock recommendations. Stock picks of many well known financial institutions are also included in Economic Times' subscription, such as Motilal Oswal, HDFC Securities, ICICI securities. One can choose to pay a little extra to get paid subscription, and get access to paid content.
Looking for Long Term Stock Picking Advice
Retail investors should use Social Media for company analysis, to make long term stock picking decisions. Social media channels such as YouTube videos have detailed analysis of companies, both technical and fundamental. Other social media handles, such as twitter, have higher engagement from the public on stock advice. Social media content, can be combined with Blogs, Podcasts to reinforce your opinion on a company to invest in for the long term.
Looking to learn Investment Strategies
Some retail investors want to learn investment strategies, so that they can apply these strategies themselves, and self-select stocks to invest in. Such investors should use Podcasts, Blogs, and Online Video courses to learn in-depth investment strategies. Complementary learnings can come from YouTube videos, where some YouTubers share masterclasses, Question and Answer sessions, and interviews with renowned investment professionals .
Ending Note: As we see, the content mediums to find relevant stock market and company information is evolving with time. As consumption of content becomes easier, and faster, it can also create confusion in terms of number of choices available to read/view/listen. Further, more the mediums to share and consume content, more the chances of abuse on these content mediums. At the end of the day, take advise from different mediums, but make your decision after doing your own due diligence.