Hopefully dear reader, you haven’t been guilty of that, but on a much larger scale, these things have indeed been happening today. 

That larger scale is known as social media - think of Instagram, Facebook, TikTok. And the same bloke down the pub now calls himself a personal finance influencer – or finfluencer – with followers numbering in the many thousands. 

The Austrian Securities and Investments Commission (ASIC) recent released research showing an alarming proportion of investors were relying on social media for their information. Up until recently, this has been an unregulated activity, and so far it’s been open to anyone with an opinion on how and what to invest in.

That changed last week. 

The corporate watchdog has cracked down on this form of unlicensed financial advice, warning commentators they could face fines up to $1 million and jail. ASIC is not denying anyone from sharing their financials tips, all you need is to get a licence.

So the common sense approach is, take advice from people with reputations and credentials. Certainly you can rely on the bloke down the pub, just make sure you know his backstory.

If you are looking for a source of sound financial advice we have fantastic financial advisors located in our office. Please contact Tammy Stone from the Knight Financial Group on Tammy.Stone@knightgroup.com.au.