In the past, having financial education was considered a luxury, a career option for some and almost a hobby for the rest. The level of financial training did not influence investment decisions, which were too often based on past experience and on the opinions of family and friends with no training in the subject. Financial training is a necessity; we were not aware of it before, but we are increasingly so now, in a world as complex as today’s, where the abnormality of negative official interest rates and financial repression on savings can persist longer than desired.
Financial training has always been essential, for everyone and in every aspect of life. In the case of investors, good financial training will lead them to make financially responsible decisions, with an understanding of their rights and obligations when using financial products. Financial education is also a tool for the authorities responsible for customer protection, precisely because helping to promote training strengthens it. Financial institutions devote enormous resources to improving society’s financial education because it is something that benefits everyone.
An OECD study wryly reflects the concern of many investors when deciding on their investments: it is far more stressful than going to the dentist. Any decision related to our assets or our money is never easy, although having good training helps greatly, enabling us to see the pros and cons from a medium-term perspective. The impact of the crisis was more moderate in countries with higher financial education, and their recovery has also been faster. This is no coincidence.
José Luis Martínez Campuzano, spokesperson for the Spanish Banking Association
