Retail investors often lose money due to low-quality analysis on the Internet and Telegram channels, said Valery Lyakh, Director of the Department for Combating Unfair Practices of the Central Bank of the Russian Federation.
According to him, the regulator analyzed how investors in second- and third-tier stocks behave and made sure that most often the loss of money occurs in the case of low-quality analysis.
“What is low-quality analysis is information from anonymous Telegram channels, or information whose facts and statements you cannot verify. Most of the time, in this way, the alleged investment in specific shares is announced. So this is not financial analysis, but advertising or marketing,” Lyakh said on the official Bank of Russia Telegram channel.
To better understand the quality of the analysis, the Central Bank recommended reading with checklists from the Association of Financial Analysts:
- You should know who the author of the content is: their full name, education, and experience. Anonymity should be a concern.
- You should make sure that the author has a good reputation and is not caught in unfair and illegal practices and litigation. The information can be found in the media or social networks.
- It is necessary to understand what is the benefit of the author from the creation and distribution of his content.
- Promises of guaranteed returns can be considered a frequent marker of unscrupulous analysis.
- The author must not mix facts and his opinion about them. Data sources and citations are given, which you can check for yourself.
Author:
anastasia mariana
Source: RB
I am a professional journalist and content creator with extensive experience writing for news websites. I currently work as an author at Gadget Onus, where I specialize in covering hot news topics. My written pieces have been published on some of the biggest media outlets around the world, including The Guardian and BBC News.
