Financial capability allows people to take actions to build financial security.
People need more than financial knowledge to be financially secure - they need financial capability. A financially capable person has both knowledge about managing their finances and the skills and confidence to act on that knowledge. They also need access to quality financial products that allow them to build financial security in a way that works for them.
A 2015 FINRA survey found that less than 40% were able to answer more than three of five questions correctly covering everyday aspects of economics and finance.
Commonwealth works to find solutions that increase people’s financial capability to navigate the financial landscape and to make informed choices in support of their own financial aspirations and goals.