Managing money is an important everyday skill and Australians make a range of financial decisions on a day-to-day basis. The National Financial Literacy Strategy, led by ASIC, supports activities that strengthen financial capabilities amongst individuals, families and communities. It brings together organisations including government agencies, financial services firms and education and community sectors to work collaboratively to make a difference.
The work under the National Strategy is important because all Australians need to know how to manage money day-to-day, plan and save for the future, and make informed financial decisions. Many will also benefit from knowing what help is available to them to build confidence and understanding.
ASIC has released a consultation paper to inform the development of the National Strategy from 2018. We want people to have their say and be part of this process because everyone benefits from improved financial well-being.
The consultation paper outlines a number of issues, including:
You can support this important consultation by sharing it with your colleagues, stakeholder networks, family and friends and join the conversation via the consultation paper which is open until Friday 17 November 2017.
As this is my final submission as ASIC’s Chairman, it is timely to reflect on the role ASIC has played over many years to strengthen the financial capabilities of Australians. The importance of helping people make good financial decisions cannot be underestimated. Since the global financial crisis, there has been greater recognition internationally of the need to reinforce core financial literacy concepts. This ranges from day-to-day budgeting and the use of credit, to longer-term planning and the role of diversification in balancing risk and reward.
It is clear that Australians need the know-how to understand and negotiate the evolving
financial landscape, manage money and financial risks effectively, and avoid financial pitfalls. Almost 800,000 people already visit ASIC’s MoneySmart website each month for information on a range of topics including budgeting, saving, planning, superannuation and retirement.
I encourage you to recommend ASIC’s MoneySmart to your networks as a trusted source of impartial financial guidance and tools to support their financial decisions today and into the future.
Australian Securities and Investments Commission
Editor’s Note: Defence strongly supports the National Literacy Strategy including through the work of the ADF Financial Services Consumer Centre (ADF Consumer). ADF Consumer administers one of the largest workplace financial literacy (or capability) programs in Australia, providing financial and consumer education for all ADF members and their families in order to help them achieve greater financial security.