Because it has broader appeal, we spend a lot of time thinking and talking about the demand side of financial social media. Investors can use tools like following their favorite investors portfolio moves on Covestor or crowdsource ideas on Piqqem or use AlphaClone to create the same portfolio Warren Buffett has.
There are other great tools, communities and sites as well that help investors with stock discovery — idea generation for new investments. Other businesses focus less on broad idea generation and rather assist deep research on specific investments. So, we’ve got great new ideas being developed to help investors with vertical and horizontal coverage for stocks.
What’s creating this demand for stock ideas is a vibrant supply side of financial advisors, investment advisors, newsletter editors and analyst-bloggers posting fresh and creative ideas 24/7.
Ever ask yourself why they are doing this if blogging keeps you poor?
TOTAL SELF INTEREST. That’s why.
Financial analyst-bloggers get noticed. They get hired as analysts for hedge funds. They get hired as financial journalists and many of them, who run money, attract more money.
SeekingAlpha was early in this space, providing a podium for finance professionals and all aspirants to market themselves. The idea here was that financial professionals would contribute content to SeekingAlpha in return for the voice that SeekingAlpha gave them.
What SeekingAlpha lacks in terms of providing a direct connect from blogging to landing clients, companies like Covestor have provided. With the launch of an investment advisory this week at CV.IM, Covestor has provided the business model behind blogging for financial professionals.
We’ve now got a liquid market of demand for investment ideas and a supply of analyst-bloggers providing them. Everyone wins.