Have you ever tried bringing up the stock market in casual conversation
around friends and family? It's an odd experience. You are likely to get a
variety of reactions. Some raised eyebrows, some crinkled foreheads, perhaps a
tirade against big business or curiosity surrounding the mystery the market
represents for most Americans. The average American knows next to nothing about
the stock market and views it with a mix of suspicion, derision and awe. Many
think of it as that place that rich people make their money. Others think of it
as gambling but a lot less fun. Many don't even realize that they are stock
owners themselves because they don't truly understand how their pension plans,
401K and IRAs work. I try to raise the collective financial IQ of those around
me but I often feel like a door to door evangelist but instead of asking
"have you been saved?" I ask "have you saved for
retirement?"
Perhaps the lack of education is because our parents depended on company pension
plans and social security to take care of them in retirement. They didn't need
to know about the stock market so they simply don't have the knowledge to pass
on. Unfortunately, the world has changed and company pension plans are nearly
extinct and social security is on life support. Our education system reacts to
the changing world about as well as the Titanic reacted to that iceberg. Read more...
No comments:
Post a Comment