Before investing in a social media firm, use its platform

UNDERSTANDING what a social media company does and how it plans to grow in the future is critical to investing in one.

A recent seminar, held by the Singapore Exchange (SGX) on valuing and investing in social media companies, noted that not only are more of such companies emerging around the world, more of them are going public.

Indeed, in recent years, there seem to be few things sexier or more glamorous than the IPO (initial public offering) of a social media company.