FINRA Foundation Research Supports Efficacy of Financial Education

A FINRA Investor Education Foundation analysis on the effectiveness of financial education concludes that it is a cost-effective way to "improve financial knowledge, budgeting and savings behavior."

A summary of the academic paper states that (i) financial education program expenses are considered "low"; (ii) the degree of the effect of financial education on financial behaviors is considered to be "medium," and (iii) the commensurate effect on financial knowledge is considered "large." The authors conclude that the effects of the financial education interventions on financial knowledge "are comparable to interventions designed to improve math and reading scores."