An exclusive interview with the boy who cried, "Bear!"

by Dan Sondhelm

It’s been suggested that the media coverage of recent market events has been fanning the flames of stock market panic. Business news channels—live from the financial capital of the world nearly 24/7—seem to be
competing with the markets in a synchronized sink or swim competition.

When the market drops 500 points in a day, the media reports: “According to the boy who cried, ‘Bear!,’ the S&P will likely drop another 50% before all is said and done.”

The next day, the market stages a 200 point rebound, and the media announces, “The impending rally is certain to be jaw-dropping and will be spoken about for generations,” according to the boy who cried, “Bull.”

I think you get my point. Media headlines are typically the most pessimistic near the bottom
of bear markets and the most optimistic near the peak of bull runs.

Finding opportunity

I understand why it seems, to some, that the media is adding fuel to the fire. But despite the sensationalism of the media coverage, for the most part, we're much better off having access to information than living in ignorance. Turning a blind eye to the current financial environment won't make it go away.

By the same token, listening to every headline about an S&P headed to 600 or a pending 25% rally in a single day isn't going to make it happen.

But rather than coming down on the media for its sensational coverage, this is an optimal time for mutual fund companies, like yours, to benefit from a record-setting number of viewers tuning into business news media every day. News sources such as CNBC and financial news sites such as Yahoo Finance have soaring audiences.

Those viewers represent well-to-do, usually hard-to-reach investors and financial advisors-that's your demographic, being handed to you on a silver platter by the media.

Separating facts from emotion
Don't sit back and watch the headlines tick across your screen. Get out there in front of your client base and show that your portfolio manager is still the captain of his ship. Talk about how he is handling the current volatility. Discuss major themes in your portfolio.

Investors are tuning in to media outlets in unprecedented numbers, looking for someone who can help them navigate the market based on facts, not emotion. There are enough people willing to tell them the sky is falling, but even more who are eager to listen to someone who can give them the tools they need to help sort out the facts from just another boy crying wolf.

Make sure your investment products are visible, and in the news. You have the opportunity to position yourself as the voice of knowledge and reason, someone investors can look to for sound counsel. SunStar can help put you in front of the public at this critical time.

Call us at 703-894-1046 to take advantage of our long-standing relationships with journalists and the financial press. Let SunStar help you generate positive news now as part of a long-term public relations program.