Posted April 12, 2018 07:03:13 If you’re a financial planner or advisor, you know that the way to make the most of your money is to have a sound understanding of how the markets work and the strategies you should use.
But just how much does it really matter to you?
As you might guess, it matters a lot, according to a new report from the Financial Literacy Project, a non-profit research group at the University of Southern California.
The Financial Literate Project surveyed nearly 3,000 financial professionals and investors to find out how much they thought financial literacy was worth, what they think about financial advisors, and how much their clients think they’re wasting their time.
The results were interesting.
Among those who take a financial literacy course, about 20% said they consider it a “must-have” for them.
Among people who don’t take the course, less than 10% said it was “important” for their financial lives.
And while the survey did find that people who took a financial education course were more likely to have been actively involved in investing, it also found that they were less likely to be actively investing.
But if that’s the case, why does this matter?
The survey asked the participants to rate the importance of financial literacy.
The researchers found that the average financial literacy score for respondents was 4.2, while the average for those who didn’t take a course was 3.9.
The study found that a higher financial literacy level is associated with more equity and less risk in your investments.
The study also looked at the types of financial products and strategies investors prefer.
Among the most popular financial products for investors are stocks and bonds, but among the least popular are mutual funds and ETFs.
The financial literacy study also found, however, that those who were actively invested were more than twice as likely as those who weren’t to have high levels of wealth in their retirement accounts.
And for people who said they didn’t invest, the average wealth was higher, but that the gap was narrower.
What do you think about the Financial Skills of Financial Advisors and Wealth Management Professionals?
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