Are young investors getting sound money advice online?

“Sometimes, you need to be around like‑minded people,” she says.

Through the community, she has followed discussions about the economy, investment options and the mistakes others have made with money.

“It has made me more financially aware and, more importantly, made me realise that you don’t have to wait until you are older or earning a lot of money to start thinking about your financial future,” she says.

The appeal, she adds, is that social media allows young people to learn directly from those already involved in areas they want to explore.

“You can learn from people who are already in the spaces you want to get into and hear about their experiences first‑hand.”

Still, Ms Ngari does not take everything she sees online at face value. “I usually do my own research and look for additional information before making any decision,” she says.

That caution is important. The growing amount of financial content online comes from people with very different levels of knowledge, experience and interests.

Joyce Wangui Gikonyo, a financial adviser at ICEA LION Group, says social media has become a major source of financial information for young people because it is accessible, free and can simplify complex subjects.

Young people, she notes, are particularly interested in achieving financial freedom and often seek advice on budgeting, managing debt, saving and investing. But the quality of information varies.

“There are credible financial advisers who use these platforms to educate and market their services and products with integrity and truth,” Ms Gikonyo says.

At the same time, she warns that some influencers present half‑truths or fail to explain the risks attached to the products and strategies they promote.

Common misconceptions

One misconception she sees is the belief that conventional ways of building wealth are “boring and slow”, alongside the idea that speculative trading leads to success. Another is equating expensive brands and flashy lifestyles with financial success.

“Financial influencers push flashy lifestyles, labels and brands that signal wealth to young people,” she says.

The risk is not only that someone could lose money. A person can also put their money into a legitimate financial product that does not suit their goals or circumstances.

Ms Gikonyo recalls working with a young professional who had bought a 25‑year insurance policy because he wanted to protect his young family and secure his future. The policy was not necessarily a bad product, she says, but the client did not have a savings plan or a medium‑term investment strategy.

After reviewing his financial habits and goals, they restructured the policy to 10 years and set up a Money Market Fund account to cater for emergencies. The experience showed why financial decisions should be based on an individual's circumstances rather than simply following a recommendation.

“Insurance has different solutions to each question in life,” she says.

Hard lessons

Samuel Kariuki learnt a similar lesson after discovering stock‑investing content on TikTok. Creators showed their profits and how they were making extra income from investing in Kenyan stocks. He also found other people confirming the information and did his own research before deciding to invest.

He started with Sh10,000, buying shares in some popular companies, and says the experience introduced him to how the Nairobi Securities Exchange works.

The experience was useful, but it also changed his expectations about what a small investment could achieve.

“It was good that I learned about stocks, but I also got some hard lessons. I need a substantive amount to make actual profit,” he says.

For Ms Gikonyo, experiences such as these show why people should look beyond the promise of returns before putting their money into an investment. She advises consumers to check how regulated the investment instrument or platform is, how long their money will be locked in and what charges they would face if they exit early.

Before acting on online infor...

They should also consider their risk tolerance and what measures are available to limit potential losses. Before acting on information found online, she recommends checking the institution behind an investment opportunity, including its history, reputation, asset base and physical presence.

A good financial adviser, she adds, should do more than sell a product. The adviser should be a teacher who explains financial concepts in plain English, a guardrail who protects clients from poor decisions and a partner who adjusts their financial plan as their circumstances change.

Social media, she says, can still play an important role in improving financial literacy. Content that explains compound interest, budgeting and saving, breaks down financial jargon or debunks misleading claims can help people understand money before they make financial decisions.

For Ms Ngari, that accessibility remains one of the biggest advantages of learning about money online. “It makes financial learning feel less intimidating and more like an everyday conversation,” she says.

But before acting on any financial tip, Ms Gikonyo says consumers should ask themselves whether the advice serves their own financial goals or is simply selling them a shortcut.

“Does the advice align with my goal or is it promoting a hack, a get‑rich‑quick scheme?” she says. “When the deal is too good, think twice.”

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