Despite a slow entry into the digital world, more and more mutual fund firms are employing social media to build brand loyalty, educate investors and help with customer service, reports the Wall Street Journal.
It certainly helps that, in early January 2011, the Financial Industry Regulatory Authority posted social media guidelines that would allow financial firms to publicly broach investor-sensitive topics while still meeting compliance regulations.
But even prior to that, Vanguard Group, the largest fund company in the U.S., has been on the forefront of social media with a July 27, 2010 announcement that introduced a six-person team dedicated to social media. In late 2009, Vanguard also hosted a Q&A scavenger hunt on Facebook, with answers hidden under gold coins on its Vanguard.com website.
And as for what’s completely quiet on the Twitter front, Capital Research and Management, which oversees the popular American Funds group, and T. Rowe Price, which invested in Twitter, do not have Twitter accounts.
But these mutual fund firms do.
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