Social media networking, which started out as a fun thing, has shifted track into the financial field. According to a new study, seven in ten Generation Y investors use social media for personal finance and investing purposes.
The study was done by Cogent Research, Cambridge, Mass., under a report named “Social Media’s Impact on Personal Finance & Investing.” The report details the impact of major social media outlets on investing behaviour and the perceptions of specific brands among top investors.
Among affluent investors, 9 percent is held by people born in the 80s and 90s – called the Gen Y investors. More than 81 percent of these use the services of financial advisors.
Among the Gen Y investors (around 42%), Facebook is the most preferred means of online portal for investing. 32 percent of the investors opt for YouTube while 23 percent go for financial firms’ websites/blogs.
Twitter is used by 19 percent, while 8 percent uses LinkedIn.
About 28 percent of Generation X investors (those born between 1964 and 1980) make use of financial firms’ websites and blogs. Among this age group, the use of Facebook, LinkedIn, YouTube and Twitter are 15 percent, 6 percent, 7 percent and 7 percent, respectively.
Among genders, men use financial firms’ websites and blogs more than women (the report states 26 percent for men and 16 percent for women).