DEFINITION of Financial Blog
An online journal (or web log) that provides news and information related to the finance industry. Financial blogs not only comment on news and information, but some also provide stock analysis based on both fundamental and technical principles. Most, if not all, financial blogs are provided free of charge to the general public. For the most part the style of these blogs is more casual than traditional articles and they often reflect the personal opinion of the respective writers.
BREAKING DOWN Financial Blog
The use of financial blogs has become a great tool for investors to share their thoughts on the latest news in the finance industry. Financial blogs are not only provided by major financial websites, but also from individual investors.
Since anyone is capable writing a blog without restrictions on the information used, investors should be wary of what they read. Although reputable websites are reliable with their information, blogs provided by individuals may be more subject to manipulation. Unethical investors can use an investing blog to promote stocks in ways to benefit positions they have taken. Investors who use blogs should be aware these sites exist and ensure that a blog they read has an adequate disclosure policy before they act on anything.
Consumers of financial blogs should pay keen attention to sources of information a blogger uses to buttress his or her arguments, pertaining to buying or selling a particular stock. Even though citation requirements may be more looser for blogs than it is for traditional journalistic content, bloggers worth their salt will disclose where they received their quantitative data, so readers can evaluate the level of credence. The most thorough and credible bloggers include a link to the sources of their information, coupled with an explanation detailing precisely how they contextualized the data, for example: “The information is from a study conducted by ABC Equity Research, which tracked the top performing tech stocks over the last five years.”
While many financial blogs focus on stock analysis, others focus on financial planning and wealth management issues. These may be geared towards a spectrum of end consumers, ranging from retail and millennial investors, to high-net-worth individuals. A breakdown of financial blog topics includes:
- How to establish and maintain strong credit.
- How to save for retirement when living paycheck to paycheck.
- How to establish a retirement savings plan.
For high-net-worth individuals:
- How to succeed your business to the next generation.
- How to achieve tax-advantaged trust and estate planning.
- How to open a family office.