Where Financial Education Lacks


Financial literacy is a hot topic among financial service providers. Every financial website has different levels of financial education and provides different types of education. These educational resources are helpful for investors to become more financially literate, but are they meeting all of the educational needs investors have regarding financial topics?

Despite how much information is available, and the variety of sources, there are still several topics investors would like to receive more information regarding. Basic investment education and basic investing education are the two topics that investors want to see the most.

This desire for basic investing education is something that financial providers are attempting to provide, yet investors are still craving more. Investment education comes through discussing various investment choices and explaining to investors detailed information regarding the investments selected, as well as those investments avoided. This will provide investors with the information they desire, while also accomplishing necessary investment conversations.

Nearly half, 46 percent, of investors would like suggestions on how to invest in a bear market. Given the market movements throughout 2022, investors are needing this guidance more than ever. This education goes beyond just the investment selection but how to weather the storm that is a volatile or down market.
Forty-four percent of investors would like more information from financial education websites about how to create and manage a financial plan. Financial plans are a critical component of each individual’s overall wealth management. Many investors are being provided very comprehensive financial plans through their financial advisor; however, this shows that a large percentage of investors are still seeking more information regarding this topic.

Thirty-eight percent of investors would like non-investment related advice, while a third would like more information regarding analysis and summary of domestic and international economic trends. Over a quarter of investors would like market updates, recommendations on specific investment purchases, and guidance on family dynamics. Family dynamics play a significant role in estate planning, which is an important part of wealth management.

How this information is provided is also important to investors. Fifty percent of investors would like to do their own research regarding investment information. Nearly half, 48 percent, of investors would like to read articles about these financial topics, while 41 percent would like to watch videos about financial topics. A third of investors would like information regarding how to find a financial advisor or investment advisor from financial education websites.

Despite the plethora of information available to investors, there continues to be information that investors are still seeking. Investors need to continue seeking the information they desire through financial education websites, and consult with their advisor when they are unable to find the information they are seeking.