Social media has the tendency to display wealth, but does it generate wealth? Yes, it has become a platform for online vending and other exchange in services, and many startups are launched through websites that increase traffic through social media promotions. Summarily, social media has given new generations of users alternative means to earn income, and also a false view of wealth. Evidently, everyone might think they’re the next Jeff Bezos, but social media has more wealth-growing uses than online selling.
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Social media users not inclined to selling could find that social media is an efficient platform for wealth growing resources. Wealth managers, then, should put this platform to good use by engaging generations of social media users in dialogues about income-generating opportunities. Millennials, in particular, get their current events from their Facebook and Twitter feeds. This new method of consuming information will influence their attitudes toward investing. Social media allows them to keep track of companies and brands that influence them, and will shape their tastes in industries that they think have longevity.
Furthermore, the presence of celebrities and other high-net-worth individuals on social media can dictate market trends---and as considerably as people downplay the celebrity effect. A single tweet from a big business personality like Donald Trump can send his stock prices down or up. Many investors are also surveying social media conversations about certain trends to inform their stock purchases.
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Social media also has a bearing on the way wealth managers engage their clients. Social media is synonymous with real time. Wealth managers have to catch up with the pace of real time in relaying updates on crucial investments. Social media has the power to leave wealth creators behind in a delay of a second.