Are You Under the Finfluence?
A new MoneySmart study finds that over half of Singaporean adults now turn to social media for financial advice. Find out how it’s steering decisions on investing, saving, and spending in today’s digital age.
For the Record: Is Your Social Feed Feeding Your Financial Decisions?
Exploring the Depths: The Most Sought-After Financial Topics on Social Media
Our study looked at the most popular financial topics that people are searching for on social media. Across all age groups, advice on investing (59%), saving (59%), and budgeting (39%) proved to be the most popular. However, there were some differences between generations.
While Gen Z are most interested in topics around saving, Millennials, Gen X and Baby Boomers are most interested in learning how to grow their wealth. This is likely due to the fact that these age groups were the most likely to have over 6 months of salary already saved, and are now seeking ways to maximise their returns, while Gen Z have only just recently entered the workforce.
While Gen Z are most interested in topics around saving, Millennials, Gen X and Baby Boomers are most interested in learning how to grow their wealth. This is likely due to the fact that these age groups were the most likely to have over 6 months of salary already saved, and are now seeking ways to maximise their returns, while Gen Z have only just recently entered the workforce.
The Rise of the 'Finfluencer'
As people are increasingly seeking out more financial advice online, many are turning to specific financial influencers, or 'finfluencers' for guidance. Globally these influencers are making waves, with an analysis of follower counts from over 800,000 influencers on Instagram and YouTube finding that 'finfluencers' experienced double the follower growth over the past year compared to other types of influencers on these platforms.
Our study found that 44% of Singaporeans now follow specific financial influencers on social media for advice, helping them make more informed financial decisions. The most popular influencers include Adam Khoo, Warren Buffett, and Dave Ramsey.
With half of Singaporeans saying that a financial influencer has motivated them to take more interest in their finances, it's clear that influencers are now playing a significant role in shifting the tides of financial awareness and engagement with financial topics across Singapore.
Our study found that 44% of Singaporeans now follow specific financial influencers on social media for advice, helping them make more informed financial decisions. The most popular influencers include Adam Khoo, Warren Buffett, and Dave Ramsey.
What makes Singaporeans more likely to trust financial influencers?
With half of Singaporeans saying that a financial influencer has motivated them to take more interest in their finances, it's clear that influencers are now playing a significant role in shifting the tides of financial awareness and engagement with financial topics across Singapore.
Social Media Is Influencing Our Financial Choices
It’s not just about dipping a toe into financial content online, many Singaporeans are actively taking real action based on the financial advice that they are exposed to, with nearly a quarter (21%) saying that they have changed their spending habits due to social media.
When it comes to impact on investment decisions, social media is guiding many through unfamiliar waters, with varying degrees of success. Almost 2 in 5 (37%) Singaporeans have made an investment based on advice from social media.
Here’s a look at the top choices and their outcomes:
It's important to remember that although many have seen positive returns, investments come with inherent risk. If you’re thinking of investing make sure you do so via a trusted brokerage platform.
When it comes to impact on investment decisions, social media is guiding many through unfamiliar waters, with varying degrees of success. Almost 2 in 5 (37%) Singaporeans have made an investment based on advice from social media.
Here’s a look at the top choices and their outcomes:
It's important to remember that although many have seen positive returns, investments come with inherent risk. If you’re thinking of investing make sure you do so via a trusted brokerage platform.
The Risks of Financial Advice on Social Media
As Singaporeans explore the sea of financial advice available on social media, they must also be aware of the risks that lurk beneath the surface. While social media offers unprecedented access to financial insights, the waters can quickly become murky, with unqualified individuals or even scammers presenting themselves as financial experts.
This underscores the importance of anchoring yourself in reliable sources, like MoneySmart. Just as a seasoned sailor relies on a trusted map, making financial decisions requires the guidance of reputable advice to steer clear of risky waters and avoid falling prey to financial misinformation or malicious content.
This underscores the importance of anchoring yourself in reliable sources, like MoneySmart. Just as a seasoned sailor relies on a trusted map, making financial decisions requires the guidance of reputable advice to steer clear of risky waters and avoid falling prey to financial misinformation or malicious content.
How to make sensible financial decisions and stay safe online by Ethel Yow
1. Learn to spot the warning signs
Be cautious of financial advice that promises guaranteed returns or uses clickbait content, such as ‘100% win rate strategy’ or ‘How to become a profitable trader’. Sensational headlines are often used to lure followers, but credible sources will offer balanced insights and acknowledge risks.
2. Verify the information
Social media is largely unregulated, meaning anyone can post financial content regardless of expertise, and information can be unverified and even false. Social media algorithms also reinforce confirmation bias, showing content that aligns with users' existing beliefs. To avoid these pitfalls, cross-check advice with reliable financial news, official company reports, or licensed financial advisors before making decisions.
3. Understand the risks
Social media offers access to a variety of investment ideas and real-time market sentiment, which can provide low-cost insights and foster community support for new investors. However, misinformation, unqualified individuals, and emotional triggers like FOMO (fear of missing out) can lead to impulsive, short-term decisions that may not align with sound financial planning.
4. Balance short-term excitement with long-term goals
To avoid focusing solely on short-term returns, limit speculative investments to a small portion of your portfolio while balancing them with more stable assets like index funds or bonds. Set clear financial goals, reserving any short-term gains for immediate needs, while keeping long-term priorities like retirement or major purchases in focus.
5. Do your own research and use trusted platforms
Conducting your own research helps you understand the risk, potential returns, and suitability of an investment. Trusted platforms and brokerages provide the added assurance of regulation and transparency. Reputable platforms offer access to reliable tools, secure transactions, and resources that can help you make informed choices.
Navigating the world of personal finance and social media can feel a bit like venturing into uncharted waters.
Fret not, MoneySmart’s portal offers a wealth of trustworthy information to help you sieve through the noise. Whether it’s in-depth guides on investing and trading or financial advice on personal loans and credit cards, there’s plenty of reliable resources to help you grow your wealth or simply get your finances in order.
Abel Lee, General Manager at MoneySmart Singapore and Hong Kong shares,
“Our study reveals a significant shift in how Singaporeans approach financial advice, with social media now leading over traditional sources. While social media has made financial advice more accessible, unreliable information stemming from unverified sources is a concern. Therefore, in such a landscape, we aim to empower individuals with the tools, trusted guidance, and curated recommendations to make informed financial decisions.”
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Methodology
Research conducted on behalf of MoneySmart by Savanta among 1,000 Singaporean adults (aged 18+). The survey was carried out online between 2 – 7 October 2024.
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Social Media: Your Compass for Financial Guidance
As more Singaporeans navigate social media for financial advice, it appears that these platforms are having a positive impact on knowledge and understanding of personal finance topics. In fact, 44% of Singaporeans report that social media has helped them expand their financial knowledge, with 21% checking social media daily for financial advice and tips.
With 59% of Singaporeans feeling confident about managing their finances and 46% feeling financially secure, it’s clear that many of us are successfully treading these open waters.