Rethinking School Curriculum: Need For Comprehensive Financial Education

When I was twelve years old, I helped my grandmother transfer her physical share certificates of ITC into Demat. Little did I know that this simple task would spark my fascination with the world of finance. I scrutinised the stock price of ITC, naively believing that by keeping my eyes glued to the stock I could ensure that my grandmother would make profit. My curiosity grew further as I discovered the multifaceted factors influencing stock movements. My father explained the basics of stocks, earnings, sales and their impact on stock prices. He then offered me a book: The Intelligent Investor by Benjamin Graham, which awakened me to the power of sound decision-making and risk-management.

From that moment, I have not looked back, delving deeper into financial concepts through publications such as the ‘Financial Express’, and growing my understanding of financial markets.  

The consequences of inadequate financial education

As I advanced to higher classes at school, I realised that my school curriculum offered minimal insights into financial topics like mutual funds, insurance, taxation, and budgeting. 

With the advent of the digital age, traditional financial models no longer suffice in a world of online banking, cryptocurrencies, and digital transactions. Students must be prepared for the financial challenges they will face, such as managing debt, making sound investments, and understanding the implications of financial decisions in a globalized economy.

Young adults are constantly making financial decisions, from choosing between discretionary spends like watching a movie or buying a phone to planning higher education. Instead of teaching financial education at advanced degrees like the MBA, these vital skills should be introduced much earlier in high school, not just to people who have taken economics or commerce stream, but to everyone.

My effort to address this challenge

In a bid to supplement students’ knowledge of the subject, I started a Twitter account for finance enthusiasts, where I analyse stocks of listed companies and try to predict their future prices based on historical trends, chart patterns and other indicators. My objective with this project is to help people understand the importance of taking calculated risks and making informed decisions with their financial investments.

My engagement with this community has prompted vibrant discourse among over 750 people. To my surprise, I’ve received over 300,000 total impressions on my tweets. Together, we swap interesting insights and discuss doubts, harnessing the value of our collective knowledge, and together spread this information. 

Collaborative efforts for change

A lack of financial literacy often exposes individuals to misselling and financial frauds. Scams like chit fund schemes have targeted vulnerable populations, leaving them devastated after losing their life savings. Basic financial education from a young age can save people from falling into such traps and empower them to make sound financial decisions.

There are various educational campaigns in the media to promote mutual funds and insurances. My belief is that if this education begins in high school itself, we can have a long-lasting impact on financial well-being. Addressing the need for comprehensive financial education requires collaboration among policymakers, educators, and financial institutions. To make a change, governments must prioritize the inclusion of financial literacy in school curricula, while educators should receive training and support to deliver the content effectively. Financial institutions can contribute by partnering with schools to provide resources and expertise.

Conclusion

As we navigate an increasingly complex financial landscape, we must rethink our school curricula to prioritize comprehensive financial education. By equipping students with the knowledge and skills to make sound financial decisions, we empower them to build a secure future and contribute to a financially literate society. It is time to bridge the gap and ensure that every student receives the education they need to thrive financially.

Aarav Jain

Guest Author Aarav extensively analyzed stocks of listed companies, employing historical trends, chart patterns and various indicators to predict their future prices.