A new survey throws light on how investors get their ideas.

An Opinium survey conducted for business consultancy Hargreaves Lansdown asked some 2,000 people for the sources of their investment choices.

Some 21 per cent of investors aged 18 to 34 get tips and market forecasts from Instagram; business websites are the number one source of investment ideas across all age groups; after that, people turn to family and friends, although less so for men and older investors.

Meanwhile older investors aged 55-plus are the most likely group to depend on themselves for investment ideas.

In detail, here’s the breakdown for social media. A whopping 21 per cent of investors aged 18 to 34 get tips and market forecasts from Instagram, as well as 16 per cent looking at Facebook, 14 per cent sourcing ideas from Reddit and even eight per cent on TikTok. 

If you are older, chances are financial companies websites are top of the list of sources, if you’re like 38 peer cent of men and 28 per cent of women. Business websites were popular across all investor age ranges, geographical regions of the UK and employment status, in fact rising to 46 per cent of people amongst the self-employed.

Emma Wall, head of investment analysis and research at Hargreaves Lansdown, says: “Other sources of ideas are different amongst different cohorts, with women more likely to ask friends and family for idea and guidance, while men and older investors prefer to trust their own judgement. After that, newspapers and specialised financial publications are a source of ideas across men and women of all ages – though less so with younger investors who prefer to turn to social media for ideas.

“Regionally there are few differences – most investors across the UK prefer the same sources for ideas – although people in the East Midlands at 39 per cent and London at 33 per cent trust friends and family for investment ideas far more than those in Wales and the West Midlands at just 17 and 11 per cent respectively! 

“Of course, the most important factor when looking for investment ideas – regardless of your source – is that they are right for you, and your personal financial plan. Those readying themselves for retirement probably shouldn’t be invested in the same portfolio as a Gen Z investor who is in their first job.”

Wall advises that investors must consider their risk appetite, investment horizon and what they may already be invested in before acting on any investment ideas. 

“Ensure a good mix of sectors, regions and styles in your investment portfolio, to help build ballast to weather choppy markets. While engagement with investing should be applauded at any age, taking tips from unregulated or unverified sources, such as social media, should be done with caution. Always take time to do additional due diligence on any ideas. 

“If you are at a pivotal life event – retirement, marriage, becoming a parent, and you are really short of investment ideas, consider getting professional advice before taking the plunge.”