Inculcating financial literacy among young adults through trust and experience

The current and future financial choices of the young generation are likely to be more challenging than those of their parents, given the greater complexity in financial products, use of new digital technology, new financial systems and regulations. Thus, this study attempts to measure the financial...

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Main Authors:	Abdul Hayei, Afaf, Khalid, Haniza
Format:	Article
Language:	English English
Published:	Academic Inspired Network 2019
Subjects:	HG179 Personal finance HT Communities. Classes. Races
Online Access:	http://irep.iium.edu.my/71615/ http://irep.iium.edu.my/71615/ http://irep.iium.edu.my/71615/1/IJAFB-2019-18-03-08%20published.pdf http://irep.iium.edu.my/71615/7/71615_International%20Journal%20of%20Accounting%2C%20Finance%20and%20Business_mycite.pdf

id	iium-71615
recordtype	eprints
spelling	iium-716152019-07-12T03:16:32Z http://irep.iium.edu.my/71615/ Inculcating financial literacy among young adults through trust and experience Abdul Hayei, Afaf Khalid, Haniza HG179 Personal finance HT Communities. Classes. Races The current and future financial choices of the young generation are likely to be more challenging than those of their parents, given the greater complexity in financial products, use of new digital technology, new financial systems and regulations. Thus, this study attempts to measure the financial literacy (FL) amongst a specific group of students i.e. upper-secondary students of a private religious school. It is expected that parents’ educational achievement, occupational and income levels of this group to be almost invariable, therefore allowing us to focus on other factors that influence financial literacy. FL is measured using two latent constructs namely, financial knowledge and financial behaviour, covering aspects such as general money management, investment management, credit management, charity giving and entrepreneurship. The findings of this study show that while their level of financial knowledge is generally good, the majority of respondents are not entrusted nor guided to manage their own finances, make budgets and record their expenditures; particularly since most schooling expenses including food and transport are paid in advance by their parents. Around 85.2 percent reported zero or very little experience in business or helping out in business activities at school or for their family members. Parents and the school authorities must realize that financial literacy is worth investing time and resources into if the future generation is to lead financially sustainable lives. Policymakers need to design effective interventions targeted at this age group, aiming towards empowering individuals to manage their financial matters effectively and towards promoting responsible consumer behaviour. Academic Inspired Network 2019-03 Article PeerReviewed application/pdf en http://irep.iium.edu.my/71615/1/IJAFB-2019-18-03-08%20published.pdf application/pdf en http://irep.iium.edu.my/71615/7/71615_International%20Journal%20of%20Accounting%2C%20Finance%20and%20Business_mycite.pdf Abdul Hayei, Afaf and Khalid, Haniza (2019) Inculcating financial literacy among young adults through trust and experience. International Journal of Accounting, Finance and Business, 4 (18). pp. 78-91. E-ISSN 0128-1844 http://www.ijafb.com/PDF/IJAFB-2019-18-03-08.pdf
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English English
topic	HG179 Personal finance HT Communities. Classes. Races
spellingShingle	HG179 Personal finance HT Communities. Classes. Races Abdul Hayei, Afaf Khalid, Haniza Inculcating financial literacy among young adults through trust and experience
description	The current and future financial choices of the young generation are likely to be more challenging than those of their parents, given the greater complexity in financial products, use of new digital technology, new financial systems and regulations. Thus, this study attempts to measure the financial literacy (FL) amongst a specific group of students i.e. upper-secondary students of a private religious school. It is expected that parents’ educational achievement, occupational and income levels of this group to be almost invariable, therefore allowing us to focus on other factors that influence financial literacy. FL is measured using two latent constructs namely, financial knowledge and financial behaviour, covering aspects such as general money management, investment management, credit management, charity giving and entrepreneurship. The findings of this study show that while their level of financial knowledge is generally good, the majority of respondents are not entrusted nor guided to manage their own finances, make budgets and record their expenditures; particularly since most schooling expenses including food and transport are paid in advance by their parents. Around 85.2 percent reported zero or very little experience in business or helping out in business activities at school or for their family members. Parents and the school authorities must realize that financial literacy is worth investing time and resources into if the future generation is to lead financially sustainable lives. Policymakers need to design effective interventions targeted at this age group, aiming towards empowering individuals to manage their financial matters effectively and towards promoting responsible consumer behaviour.
format	Article
author	Abdul Hayei, Afaf Khalid, Haniza
author_facet	Abdul Hayei, Afaf Khalid, Haniza
author_sort	Abdul Hayei, Afaf
title	Inculcating financial literacy among young adults through trust and experience
title_short	Inculcating financial literacy among young adults through trust and experience
title_full	Inculcating financial literacy among young adults through trust and experience
title_fullStr	Inculcating financial literacy among young adults through trust and experience
title_full_unstemmed	Inculcating financial literacy among young adults through trust and experience
title_sort	inculcating financial literacy among young adults through trust and experience
publisher	Academic Inspired Network
publishDate	2019
url	http://irep.iium.edu.my/71615/ http://irep.iium.edu.my/71615/ http://irep.iium.edu.my/71615/1/IJAFB-2019-18-03-08%20published.pdf http://irep.iium.edu.my/71615/7/71615_International%20Journal%20of%20Accounting%2C%20Finance%20and%20Business_mycite.pdf
first_indexed	2023-09-18T21:41:32Z
last_indexed	2023-09-18T21:41:32Z
_version_	1777413172749139968

Inculcating financial literacy among young adults through trust and experience

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