More investors are turning to chatrooms rather than asset manager websites to get their information, new research has revealed.
The study by GraniteShares found over two fifths (42%) of regular investors are members of chatrooms where they can swap information about investing strategies, trading ideas, shares and brokers while talking about the latest news.
However, the research showed their decisions are not influenced by chatrooms as 69% of members said less than a quarter of their trades are based on this information.
Overall, 5% said none of their trades are based on chatroom information.
The research also found 26% are members of four or more investor chatrooms.
GraniteShares founder and CEO Will Rhind said: “During the Meme stock frenzy chatrooms became famous and were seen as a major source of influence in the stock market and particularly on Wall Street.
“In the UK the reality is that many stock market investors are members and they find the information they get there useful but they do not base their entire trading strategy on the chatrooms.”
GraniteShares is a global issuer of Exchange Traded Products (ETPs) which are listed on national exchanges in the UK, France, Italy, and Germany.
To obtain these results, GraniteShares commissioned Viewsbank an independent research company to speak to 1,035 UK adults aged 18+ as well as 264 regular stock market investors and 145 digital asset traders in February 2024.
