Sorting through the News: How to use the News to your Investing Advantage

Most seasoned investors won't fall victim to media manipulation.  -Forbes

Today, there are many news sources on the internet, which means there is also an unfathomable amount of news articles, real and fake, floating around too. The plethora of news makes finding investment information a task comparable to finding a needle in the snowcaps of Mount Everest. However, keeping up with your investments  does not have to be an arduous task. There is a more natural way to navigate the news and filter out the noise.

First of all, it is good to note that sensationalized, tidbits of news are not going to strengthen our investment portfolios. A small tweet from Elon Musk can put a dent in his net-worth and tweets about fake tariffs can make stock prices waiver, but this type of news is not going to impact our long-term outlook. Rather than rely on the luck and inconsistency of short-term sensationalism to make a buck, we are going to assume here that we are basing our investment decisions on stock value and facts. Therefore, we do not necessarily need to read every piece of news.

So, if we don’t need to read every news article, which ones should we be reading?

Generally, stocks have been more impacted by interest rates and earning results, and this is the information we should be paying attention to. There are a handful of articles containing this

information, and this is where we should start:

1.Earning Calls

News about earning calls are usually listed on the company’s website, and if you miss it, you can find a transcript. In these calls, you will be able to listen to current information about a company, as well, as their quarterly earnings. And, in turn, you will be able to make fact-based decisions. More often than not, it is a result of these  meetings that a company’s stock value will start to rise or fall.


2.SEC Filings

SEC filings are another source of useful information to read. Understanding a company´s financial health will help you make critical decisions when managing your portfolio. SEC filings can also help decipher when there is contradictory information.  SEC filings can be found at: https://www.sec.gov/edgar/searchedgar/companysearch.html

3.Annual Meetings

Annual meetings are held once a year, and you can find the schedule and news on a company’s website. You will be able to hear the strategic goals of the company as well as year-end results. This meeting is another pivotal time for a company’s stock.

4.Extra: General News

With Google News, you can personalize your settings so that you can browse information about the companies you are interested in. This strategy helps filter the noise, and allows us to read news that matters.

Rather than tire yourself trying to read every news article, start with these three key article topics: Earning calls, Annual meetings, and SEC filings. This approach is a way to cut through countless news articles and fine-tune the information you read daily. With these steps, we can hopefully work smarter rather than harder.