A five-question financial literacy survey issued annually by the Finra Investment Education Foundation reveals a striking disconnect between what Americans think they know about financial matters and
what they actually know.
76% of respondents gave themselves a “very high” rating on financial knowledge, but only 14% of survey respondents answered all five questions correctly. Only 37% of respondents got four in five questions correct,
a 5% drop in overall performance from 2009.
However, Americans understand some financial topics than others: Most respondents (75%) got a basic question on interest rates correct, while only a minority of respondents (28%) could answer a basic question about bond prices.