Ignore biz journalists when it comes to investing advice

Suzanne McGee of The Guardian writes about the dangers of taking financial advice from business journalists.

McGee writes, “Financial reporters have access to smart people who do a great job explaining complicated topics. A lot of other people, less intelligent or more unscrupulous, want to use us to get access to you, our readers. Our job is not to offer personalized financial or investment advice; nor is it to serve as a conduit for pundits.

“Rather, it’s to identify which folks are credible, and whom has more to offer our readers than a soundbite or a stock pick. If it sounds like we’re dishing up what some onlookers have dubbed ‘investment pornography’, it’s time to turn the page, click to the next story, or go watch Jon Stewart and Stephen Colbert. That’s more enriching than any stock hype.

“It’s tempting to believe that someone out there has inside knowledge and that if we could find that person, and share in that knowledge, then the American dream would be ours. It’s also tempting, in the midst of a world so awash in products, options and strategies, each enthusiastically promoted, that someone out there is wise enough to hand you a shortlist of the half-dozen best ideas.

“I doubt anyone can do such a thing, and if anyone can, it’s probably not going to be a financial journalist.”

Read more here.