SIFMA Foundation and FINRA Announce Strategic Alliance to Expand Investor Education

Five-year partnership will expand access to proven investor education

WASHINGTON & NEW YORK--(BUSINESS WIRE)--FINRA and the SIFMA Foundation today announced a new strategic alliance to expand access to financial education for young people nationwide. The partnership brings together the organizations’ expertise in financial and investor education to help investors of today and tomorrow develop the knowledge, skills and confidence to make informed financial decisions throughout their lives.

The partnership also will reach more young people and families by broadening access to practical and unbiased investing education. The organizations will explore new ways to engage digital-native investors through tools and resources designed to meet individuals where they are in their financial journey.

The announcement comes amid increasing attention to financial capability across the country. More states are requiring personal finance education in schools, policymakers are considering ways to strengthen financial literacy instruction, and new initiatives such as Trump Accounts are introducing young Americans and families to investing at an earlier age. The proliferation of online investing apps, finfluencers, and new financial products and platforms targeted at young investors underscore the need for reliable investor education at every stage of life. Together, these developments have brought greater urgency to ensure that youth understand the financial decisions they will be expected to make.

"Expanding access to financial education is fundamental to what FINRA stands for. FINRA Foundation research demonstrates that investment literacy has a meaningful correlation to better financial outcomes, including greater retirement preparedness and lower fraud susceptibility. This alliance with the SIFMA Foundation reflects our shared commitment to ensuring that more Americans have the knowledge and confidence they need to navigate the financial markets and plan for their futures," said Marcia Asquith, Executive Vice President, Board and External Relations at FINRA.

While access to new investment accounts offers an important starting point, young people need reliable education to understand their choices and the value of saving and investing over time. Research shows that starting early can build a foundation for lifelong learning and positive financial outcomes. A SIFMA Foundation survey found that 92% of parents believe it’s critical for their children to learn about investing, yet 78% lack the confidence to teach investing basics at home. In addition, 76% believe financial education should start before high school.

“We are deeply grateful to FINRA for its partnership and unwavering commitment to financial education,” said Melanie Mortimer, President of the SIFMA Foundation. “Reaching young people early empowers them to make informed decisions, build confidence and take greater control of their future, setting them on a path of lifelong financial capability and security. With FINRA's support, we can bring essential knowledge and skills to millions more young people, preparing the next generation to navigate an increasingly complex financial world and make the most of the opportunities ahead.”

This effort also will build on the SIFMA Foundation’s established education programs to reach more young people and families. For almost five decades, the Foundation has worked with educators and the financial services industry to introduce students to the financial markets through hands-on learning. Its flagship program, The Stock Market Game, gives students the opportunity to manage a simulated investment portfolio, research companies, and make investments working as a team. The program helps students put lessons in math and personal finance into practice while developing critical thinking and decision-making skills. Since its launch in 1977, The Stock Market Game has reached more than 24 million young people.

Rich Daly, Founder Chair Emeritus, Broadridge, and Chairman of the SIFMA Foundation, added, “I want to thank FINRA for their vision, leadership, and commitment. Together, we can provide access to opportunity for every child through financial education, equipping all with the knowledge and understanding that they, too, can participate in the markets.”

FINRA’s work in investor education focuses on helping individuals understand investment products, assess risk, recognize potential fraud, and identify unbiased information sources that can facilitate informed financial decisions. Together with SIFMA Foundation’s expertise in early financial education, the alliance creates opportunities to connect learners with accessible, and trustworthy resources from their earliest experiences with investing through adulthood and retirement. Through the new alliance, the organizations will draw on their respective strengths to identify opportunities to enhance existing programs and provide educators and community partners with additional resources to make investor education available to more people across generations and stages of life.

About FINRA

FINRA is a not-for-profit organization dedicated to investor protection and market integrity. FINRA regulates one critical part of the securities industry—member brokerage firms doing business in the U.S. FINRA, overseen by the SEC, writes rules, examines for and enforces compliance with FINRA rules and federal securities laws, registers broker-dealer personnel and offers them education and training, and informs the investing public. In addition, FINRA provides surveillance and other regulatory services for equities and options markets, as well as trade reporting and other industry utilities. FINRA also administers a dispute resolution forum for investors and brokerage firms and their registered employees. For more information, visit www.finra.org.

About the SIFMA Foundation

The SIFMA Foundation is committed to fostering knowledge and understanding of the financial markets for young people of all backgrounds. Drawing on the support and expertise of educators and the financial industry, the Foundation provides financial education resources and tools that strengthen economic opportunity across communities and increase awareness of the benefits of the global marketplace. Since 1977, the Foundation’s flagship program, The Stock Market Game™, has put 24 million students on a path to financial independence. The program is proven to raise math test scores, financial knowledge and behavior, while reinforcing critical life skills, academic performance and college/career readiness. For more information on the SIFMA Foundation, visit www.sifma.org/foundation.