Getting Cinderella to the ball: putting education at the heart of financial education

The recent banking collapse has called into question all activity related to financial services, from regulation to consumer protection, to financial education. Since the Organisation for Economic Co‐operation and Development's 2005 ‘Recommendations on Principles and Good Practices for Financial Education and Awareness’, there has been an increase in financial education activity, yet the world is a different place. The role of financial education, its scope and its potential, must now be critically analysed to help ensure its efficacy in supporting financial rectitude in challenging times. The authors draw on several years’ experience in the design and delivery of financial education programmes and debt prevention interventions, informed by their perspective as educationalists. In this theoretical commentary, they seek to influence the discourse on financial education, and position education as a foundational discipline in financial education. The authors identify potential risk to the future of financial education, engaging with the literature that questions the validity of financial education as an endeavour in consumer protection, which points to the dearth of empirical evidence to support its effectiveness, and which queries the efficacy of resourcing such initiative development. They argue that financial education focused on consumption cannot serve the citizen; rather, financial education must be rooted in the needs of the individual. Through these analyses, the authors highlight areas of further research, which when undertaken, can lead to more effective outcomes for all. This article introduces the concept of financial edification as an approach to financial education, predicated on the needs of the individual. In repositioning financial education as a pedagogical endeavour, the article asserts that financial education, when not driven by education, cannot achieve its true potential; it is time for Cinderella to go to the ball.     

A critical appraisal of the reporting quality of published randomized controlled trials in the fall injuries

To evaluate the quality of reporting in published randomized controlled trials (RTCs) in the field of fall injuries. The 188 RTCs published between 2001 and 2011, indexed in EMBASE and Medline databases were extracted through searching by appropriate keywords and EMTree classification terms. The evaluation trustworthiness was assured through parallel evaluations of two experts in epidemiology and biostatistics. About 40%–75% of papers had problems in reporting random allocation method, allocation concealment, random allocation implementation, blinding and similarity among groups, intention to treat and balancing benefits and harms. Moreover, at least 10% of papers inappropriately/not reported the design, protocol violations, sample size justification, subgroup/adjusted analyses, presenting flow diagram, drop outs, recruitment time, baseline data, suitable effect size on outcome, ancillary analyses, limitations and generalizability. Considering the shortcomings found and due to the importance of the RCTs for fall injury prevention programmes, their reporting quality should be improved.     

Promoting sustainable financial behaviour: implications for education and research

The current financial crisis has clearly shown that national financial health is strongly tied to the household financial well‐being, and that most consumers were not well equipped with knowledge they needed to cope with this crisis. The failure of markets, institutions, businesses and households during the current financial crisis also revealed the serious economic risks posed by widespread unethical and irresponsible behaviour. The focus of this paper is to explore how, through financial education, we can improve the economic performance of individuals in the economy, both for their own well‐being and for the well‐being of society at large. However, for that to happen, the current approach to financial education will have to include the discussion of attitudes, values and beliefs that enable us to make financial decision that promote long‐term security for families and communities. After establishing the importance of financial education, the challenges and opportunities of the current status of financial education, with emphasis on the complexity of human and financial behaviour, are discussed. It, then, argues for the promotion of responsible behaviour by integrating fundamental values in financial education. Discussion of how selected learning theories can be used to develop effective teaching approaches and the implications for future research conclude the paper.     

Learning to fail: resilience and the empty promise of financial literacy education

The requirement to build economic resilience in people has become a concern for the UK Government, regulators, and the financial services industry. Transposed to the realm of financial literacy education (FLE), the resilience doctrine performs particular effects in relation to the naturalisation and individualisation of financial market relations. At the same time, it tends to speak of the inevitability of market failures and crashes. I argue that based on these features, the effect of the resilience doctrine is to mask the “empty promise” of FLE programmes: the irreconcilable gap between the empowerment discourse surrounding what such agendas are meant to achieve for ordinary people and the latter's actual success in securing their security and well-being through financial markets. The paradoxical element of resilience talk is that it at once serves to further legitimise financial education attempts, while providing an opportune reason for failures judged even on its own terms.     

Effects of financial education on sound personal finance in Korea: Conceptualization of mediation effects of financial literacy across income classes

This study analyzed the role of financial literacy as a mediator between financial education and sound personal finance to assess how financial education affects the soundness of personal finance. In particular, this study conducted three sets of mediation analyses using data from the 2014 Consumer Empowerment Index survey of the Korea Consumer Agency to verify whether the mediating relationship is valid across different income classes of the Korean population. The results suggest that financial literacy works as a mediator between financial education and sound personal finance in the high‐income class and the middle‐income classes. Therefore, policymakers should consider the limitations of financial education and financial literacy when addressing low‐income consumers.     

A glimpse of the complexity of factors that influence financial literacy

Financial literacy has been recognised as a vital life skill, but there is little evidence of the factors behind the differences in managing personal finance. Socio‐economic factors and the provision of financial education do explain the variance in financial literacy in some countries, but not in all. In the PISA 2012 financial literacy test, Estonian students ranked very highly in international comparison; although only a few had received financial education at school. Compared with other countries, socio‐economic factors explained the smallest proportion of variance in the test score. There was, however, a significant difference between the mean financial literacy scores of Estonian‐ and Russian‐language communities. The aim of the article is to analyse the factors behind the differences in financial literacy when financial education is not provided. It also offers insight into how students in a similar education system in two different cultural and language frameworks achieve different financial literacy scores. Moreover, the results demonstrate how indicators, such as family background can work through different channels as opposed to the usual parental education or occupation based socio‐economic indicators. The latter implies that unexplained factors remain, such as cultural, developmental and societal indicators, which most researchers pay little attention to when explaining efficient policies for improving financial literacy. Multivariate regression models show that the level of financial literacy in Estonia is correlated with gender, language of the school, the number of books at home, mathematics and reading scores. The Blinder–Oaxaca decomposition explains less than half of the gap between the two communities. The only variable significantly explaining the gap is the number of books at home. Books can be interpreted as a symbol of social status, evidence of cultural background or source of influence for broader picture and better problem solving skills.     

Ownership dispersion and listing rules in companies large and small: A reply

The contrast between the findings of the present authors and Cheffins, Chambers and Koustas is explained by their addressing different sizes of firms. Chandler's view of the relative incidence of the divorce of ownership from control among large firms remains unsupported by any quantitative evidence.     

The relationships of financial literacy with both financial behavior and financial well-being: Meta-analyses based on the selective literature review

This study conducted meta-analyses of the relationships between financial literacy and both financial behavior and financial well-being. Peer-reviewed articles published on financial literacy in the field of consumer studies were collected by July 29, 2020. Fourteen articles were eligible for the meta-analyses. The results showed positive relationships of financial knowledge with desirable financial behavior and financial well-being. Our comparison of objective and subjective financial knowledge indicated that subjective knowledge had stronger relationships with both financial behavior and financial well-being than objective knowledge. These two types of knowledge also had different paths to financial well-being in that subjective knowledge had both direct and indirect effects on financial well-being through financial behavior, whereas objective knowledge only had an indirect effect. The relationship between financial knowledge and financial behavior appeared stronger in cross-sectional data than in longitudinal data. The implications of these results and possible directions for future consumer science research were discussed.     

Teaching financial literacy: a survey of community‐based educators

A nationwide online survey of financial educators in adult community‐based financial education programmes in the US was conducted to examine teaching beliefs, related curriculum and teaching strategies used to reach underserved populations. A transformative learning theoretical framework was used to discover how financial education engages learners in relation to their own lives. Survey findings indicate in community‐based settings financial educators are largely White, female, college educated and with multiple years of experience; believe their role is to provide expert information to help learners make informed financial choices; and often adapt published materials to reflect the life circumstances of learners. Learners are more racially diverse than educators, most having attended high school, who identify their own financial need to attend the programmes. Programmes do not often target specific groups, are frequently free and can take place in a variety of face‐to‐face settings. Implications indicate best practices for financial educators require inclusive, culturally responsive pedagogies.     

Household characteristics and the change of financial risk tolerance during the financial crisis in the United States

This study examines how household financial risk tolerance is affected during the period of 2007 and 2009, which covered the eve and trough of the financial crisis in the United States and what types of households are associated with the change of risk tolerance. Risk tolerance is measured by two objective indicators, narrowly and broadly defined stock ownership, and a subjective indicator, risk taking attitude. Using panel data from 2007 to 2009 Survey of Consumer Finances, results show that during the financial crisis, the households in general are more risk averse, indicated by withdrawing from stock markets and holding a less risk taking attitude. In addition, Black and Hispanic households are more likely and households with higher education are less likely to withdraw from stock markets. Older households are less likely to change in risk tolerance during the financial crisis, as are richer households. The findings show panel data could generate novel results and contribute to the literature of financial risk tolerance.     

Healthy financial habits in young adults: An exploratory study of the relationship between subjective financial literacy,engagement with finances,and financial decision-making

This paper provides insights into young adults' financial habits and decision-making considerations as they enter the workforce. We use 28 semi-structured interviews with Australian university graduates to explore how their motivation to engage with personal finances and their subjective financial literacy, i.e., self-reported, support healthy financial habits. Our findings show that a young adult's social context and exposure to financial hardship rather than their financial confidence determine the health of their financial habits. We observed research participants in a romantic partnership as more focused on their future. This future focus motivates them to engage more with their finances and manifests as explicit goal setting, formal budgeting, or adherence to strict bucket systems. These insights might be useful for policymakers and educators: social context matters when designing financial health interventions, while financial education programs predominately should aim at demystifying complex long-term financial decision-making such as investments and retirement.     

The financialization of the non‐financial corporation. A critique to the financial turn of accumulation hypothesis

One aspect in which non‐financial corporations (NFCs) are said to be financialized is that they have been increasingly engaged in financial accumulation from which they derive a growing proportion of financial income. This is what we call the financial turn of accumulation hypothesis. In this article, we show that the evidence used to sustain it, in the U.S. setting, has to be reconsidered. Our findings show that, contrary to the financial turn of accumulation hypothesis, financial income averages 2.5% of NFCs’ total income since the 1980s, oscillating since the beginnings of the 1990s until 2005 and then declining. In terms of assets, some of the alleged financial assets might actually reflect other activities in which NFCs have been increasingly engaged, such as tax avoidance, internationalization of production, activities refocusing and M&As.     

Banking is essential,banks are not. The future of financial intermediation in the age of the Internet

This paper examines the question how the future of financial intermediaries and banks as special financial intermediaries may look like in the age of the Internet. The reduction of transaction costs caused by the Internet will reduce the barriers to enter the market for financial products, because there may be no longer a need to run a large system of cost-intensive branches. But as closer examination of the functions of financial intermediaries shows, not everybody can sell and distribute financial products. This is true because of asymmetric information problems in financial business which require an intermediary with a good reputation and because of the need to keep large funds of capital to transform the risk of assets. Both requirements represent an important barrier to enter the market for financial intermediation. Not every financial product will be exposed to more competition due to the rise of the Internet but only products which are standardized and have a low risk. Moreover, large firms with high amounts of capital and a good reputation can be considered as new competitors for banks.     

Likeability as a measure of advertising effectiveness: the case of financial services

Television advertising for financial services accounts for over one-third of total financial services advertising expenditure, yet there is evidence to suggest it is not very well done. Given the difficulties advertisers have to overcome in terms of promoting an intangible product in accordance with tight restrictions on advertising content and format to a largely uninvolved audience, it becomes all the more imperative to study how viewers judge financial services commercials. This paper presents the findings of a study which seeks to establish which elements, if any, of a financial services commercial first make it likeable to its target audience, second motivate the viewer to seek more information about the service being advertised and, third, have an effect on the image the viewer has of the advertiser. Some interesting findings from the research point to the similarities between the emerging factors for viewers' affective reactions to fast-moving consumer goods (FMCG) and financial services commercials and the extent to which likeability mediates the influence which advertisement execution features have on subsequent behavioural intentions.     

Religion's influence on the financial well-being of consumers: A conceptual framework and research agenda

Religion is an indelible force in society, yet research examining its influence on consumption, particularly in the context of financial well-being is lacking. Thus, this paper presents a conceptual framework of factors influencing, and outcomes associated with, the effects of religion on financial well-being. Specifically, this paper introduces a conceptual framework aimed at understanding how religion influences financial decisions and well-being, both from a consumer and a business perspective. Focus groups were conducted with consumers and financial practitioners to support the development of the conceptual framework. Most novel to this framework is the identification of potential process mechanisms explaining this relationship, including trust, affect, risk propensity, and perceived personal control. The framework concludes with potential interventions targeted at consumers and businesses to improve financial well-being. This propositions-based conceptual framework serves as a research agenda to guide and aid scholars, consumer advocacy groups, policymakers, and marketers in promoting greater financial well-being.     

Young people's perceptions of the responsibilities of organizations promoting financial capability

Today's changing market environment demands financial capability even from young consumers. This article concentrates on the perceptions of young people on the roles and responsibilities of school, public, private and non‐profit sector actors in promoting financial capability among the young. The qualitative data were collected via focus group discussions among young people aged 15–26 in schools and education institutions across Finland. Educational institutions play an important role in the everyday lives of the young but tend to focus on macro‐finance issues in financial education. Banks are seen as professional actors promoting financial capability to the young, but their activities are recognized as profit driven. Public sector and non‐profit organizations are less familiar to young people as providers of financial information but are considered impartial and reliable. It is apparently difficult for young people to differentiate between the activities of the various parties offering financial advice. They would welcome finance‐related information from several actors and from different perspectives. Financial education and financial matters are only interesting to the young when topical. In order to promote a financial capability among young people, the actors involved should become more proactive and cooperate with each other.     

浅谈如何构建中小板上市公司的财务绩效评价体系

我们都知道,在当今企业的发展与管理道路上,中小板上市公司的整体管理绩效正在不断的扩展与深化。这就要求我们更加重视对于中小板上市公司的整体财务绩效评价体系的建立。本文通过解析中小板上市公司的财务绩效体系的构建,力求能够帮助中小板上市公司完善自身上市的条件,为各大投资者提供更优、更完善的投资信息,并以此逐步的深化、扩展中小板上市公司的发展动力、潜力。     

如何发挥财务部门在内控中的作用

内部控制是企业为了提高会计信息质量,保证资产的安全、完整,确保有关法律法规和规章制度的贯彻执行等而制定和实施的一系列控制方法、措施和程序。是保证企业的平稳发展的重要手段。而财务管理作为内部管理的核心环节,在内部控制中所起到的作用是举足轻重的。那么财务部门一定要提高人员素质,加强财务制度建设和夯实基础工作,这样才能为企业真正把好资金关口,促进企业良好健康发展。     

泉州民营企业创新的主体与金融支持探究

目前在中国民营经济的地区发展模式中,泉州民营企业经过一系列创新而超越温州的现象值得探索。在熊彼特看来,创新需要企业家精神和银行家的金融支持,但考察泉州民营企业创新的这两个因素,具有与熊彼特观点相异的特征。其中,泉州民营企业家精神的特质为:不安于现状、能忍受困苦、有学习型人格、能力排众意、怀感恩之心;泉州民营企业创新的金融支持有四种形式:1995年以前主要表现为侨资和本地民间资金;1995年之后银行资本和风险资本也逐渐发挥出效应。     

欧盟金融服务离岸外包:现状、特点与趋势

近年来,金融服务外包已成为全球金融业的一大发展趋势,并引起欧盟经济社会的广泛关注．欧盟金融服务业在离岸外包的机遇和挑战中积极参与全球竞争。因此分析欧盟金融服务离岸外包的发展现状和趋势,欧盟银行服务外包的模式、业务范围和动机,讨论银行业务外包所涉及的主要风险以及相关的监管原则和措施,以及研究欧盟金融服务外包市场的特点与发展前景,均对我国发展服务外包承接业务有参考意义。