How to read financial news

Patrick Poke

Livewire Markets

Due to the nature of my role with Livewire, I spend a large amount of time reading financial news each day. While this is something I genuinely enjoy, my time is precious, so I need to be efficient with what I read. So when the CFA (Chartered Financial Analyst) Institute recently put out a blog entry titled 'How to read financial news,' it caught my attention straight away. They've approached five CFA charter-holders and fund managers for some insights into how they efficiently process financial news. What stood out to me, was the three questions to ask when looking at an article: 1) Is the article based on data or opinion? 2) Is it descriptive of past conditions or predictive of the future? 3) Does the article have a testable hypothesis? Answering these three questions can go a long way to testing the usefulness of the story you're reading. In the full article, they provide some 'best practice' tips for how to put this into action. (VIEW LINK)


Patrick Poke
Patrick Poke
Managing Editor
Livewire Markets

Patrick was one of Livewire’s first employees, joining in 2015 after nearly a decade working in insurance, superannuation, and retail banking. He is passionate about investing, with a particular interest in Australian small-caps.

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