Your Industry  

Adviser takes financial literacy lessons to school

Adviser takes financial literacy lessons to school

Cervello Planning is sponsoring a group of students in an East London school to take a financial education course run by the London Institute of Banking and Finance (LIBF).

The year 11 students at Sanders School in Hornchurch are to set to follow an LIBF course that covers a broad range of topics, including financial risk, inflation, diversification and scams. It is run primarily online.

Chris Daems, director of Cervello, visited the school to discuss several of the topics with the class.

He said the company believed young people massively benefited from financial education.

Mr Daems said: "Empowering young people with the skills and knowledge to understand the concepts of money more clearly allows kids to make more informed financial decisions as they move into further education or the workplace and beyond."

Joanne Lillis, progress leader of year 11 at Sanders, said students needed to develop financial literacy if they were to participate effectively in modern society.

Ms Lillis said: "Children are growing up in an increasingly complex world and will eventually need to take charge of their own financial future.

"We know poor financial decisions can have a long-lasting impact on individuals, their families and society therefore I believe that financial education can and will make a difference."

The school already offers financial education to its GCSE students, but the sponsorship of the LIBF course was nevertheless welcomed.

Ms Lillis said: "This programme is empowering and equipping them with the knowledge, skills and confidence to become financially responsible adults."

Cara Whitehouse, from personal finance advice website, said money should not be seen by children as boring or complicated.

Ms Whitehouse said: "It's so important to educate young people to grow up with the life skills, knowledge and confidence they need to successfully earn and manage money and have the confidence to invest for their future."

She added that women were typically good savers, and yet often chose not to invest.

"Educating young people about finance could help to see a much-needed improvement in the investment gap between men and women," said Ms Whitehouse.

Research released in April pointed to a persistent wealth gap between genders, with women more prone to invest in low yielding assets such as cash than men. 

Richard Morris, manager of wealth manager Killik & Co’s main residence in London, agreed the earlier young people got to grips with money the better.

Mr Morris said: "We have long held the belief that financial education is hugely important, predominantly for the next generation that will need to learn to understand and manage their money effectively to make it work harder for them - particularly in regard to buying property and building pensions."

Killik’s head of education, Tim Bennett, produces regular videos, articles and guides for aspiring and experienced savers and investors alike to learn more, said Mr Morris.

He added: "Since we opened House of Killik Northcote Road, we will be offering regular workshops for local residents of all ages to attend."