The digital landscape is overflowing with financial advice, but a startling revelation from an industry expert suggests that most of it might be worthless or even dangerous. In a recent explosive statement, Manish Pandey, a veteran coach for digital creators and co-author of 'Booming Digital Stars', declared that 95% of finance content creators don't deserve to be on the internet.
The Credibility Crisis in Financial Content
Pandey made these concerning remarks during the latest episode of 'Money Konnect', a special interview series by Mint in association with Edelweiss Mutual Fund. He highlighted a massive gap in experience and credibility among the multitude of voices dispensing financial wisdom online. What's particularly alarming, according to Pandey, is seeing 22-25-year-olds giving life advice on money, a scenario that he admits "scares the hell out of me".
The core of his argument rests on the necessity of real-world financial experience. True financial advisors, he stressed, need to have lived through both the "highs and lows" of the financial world, including the painful experience of losing their own money during a market crash. Without this lived experience, the proliferation of these inexperienced voices ultimately creates more confusion than clarity for the general public trying to understand complex financial matters.
Navigating the Regulatory Minefield
Pandey issued a strong warning to content creators about understanding the impact of their content. He emphasized that creators must resist the temptation to say anything just for the sake of generating views. SEBI and other regulatory bodies have become extremely vigilant and will crack down on those spreading unreliable financial information.
He clearly explained the critical distinction creators must understand:
- Information/Explainer Content: This involves explaining concepts like "what is a mutual fund" or "how redemption works"
- Financial Advice: This consists of telling viewers "which mutual fund to buy" or "this is how you should create a portfolio"
Creators must consciously stay in the informational lane and avoid the advisory lane unless they are fully registered with the appropriate authorities. Crossing this line can lead to serious regulatory trouble.
The Investor's Responsibility in Content Consumption
The responsibility doesn't lie solely with creators. Pandey places significant onus on consumers of financial content, stating that viewers bear 90% of the responsibility for verifying the advice they receive. "Please spend 5 minutes researching who you are listening to and be very, very careful of what you are taking from there. This is because you are going to put your hard-earned money in markets," he cautioned.
He recommended a practical tool for investors: cross-check information from 3-4 credible sources before acting on any advice. When evaluating a financial content creator, investors should check:
- The number of years of experience they have in the financial world
- Whether they are SEBI-registered
- Any certifications in financial products they hold
- Their educational qualifications
- The track record of their previous assumptions and predictions
The Reality of India's Booming Creator Economy
Pandey's comments come against the backdrop of India's rapidly expanding creator economy. The content marketing industry in India was valued at approximately ₹2,344 crore in 2024 and is projected to skyrocket to ₹3,375 crore by 2026. The number of influencers in India has exploded from under a million in 2020 to more than 4 million today.
However, Pandey offers a crucial reality check for those seeing content creation as a quick path to riches. "Only 2-5 content creators out of every 100 would make some sizeable income, which you can call income and depend on that money for livelihood," he revealed. His advice for aspiring full-time creators is stark: only those who can sustain themselves for three years without any earnings should pursue this career path.
For brands, especially in the BFSI sector, the evaluation of creators has become increasingly sophisticated. Unlike comedy or fashion content, financial content is closely monitored by regulators who have repeatedly warned against unqualified advice.
Whether you're an investor seeking guidance or an aspiring creator looking to enter the financial space, the message is clear: conduct thorough due diligence before consuming or publishing financial information online. The consequences of ignoring this warning could be severe for both your wallet and your reputation.
