Report: Chinese residents' financial literacy steadily improves, and long-termism urgently needs to be cultivated

Ask AI · How Can Young People Practice Long-Termism Through Retirement Planning?

China Economic Network reporter Hao Yajuan, Xia Xin, reporting from Shanghai and Beijing

On March 25, the Shanghai Advanced Institute of Finance at Shanghai Jiao Tong University (hereinafter referred to as “SAIF”) and Charles Schwab jointly released the fourth annual “China Household Financial Literacy Report” (hereinafter referred to as the “Report”). The research shows that China’s residents’ overall financial literacy score is 73.0 out of 100, rising for three consecutive years. The gap among the six dimensions has narrowed significantly, indicating that the development levels across different aspects of financial literacy are becoming more balanced. It should be noted that, across all long-term-related questions, the performance of respondents has declined year over year, and long-term awareness remains a major weakness in China’s residents’ financial literacy.

Project lead, SAIF professor Wu Fei, said: “Cultivating long-term awareness and truly implementing it in wealth management practices can help residents better navigate cycles, while also benefiting the healthy development of capital markets. In specific practice, retirement and old-age care are often one of the most important long-term financial goals for ordinary people. Young people and middle-income groups are the most active forces in participating in individual pension plans. Faced with pressures such as buying a home, raising children, and supporting aging parents, they urgently need to build reliable plans to provide certainty in life. Continued efforts to普及 financial literacy education not only can drive participation in individual pensions, but also can help investors practice long-termism with retirement as the entry point.”

(Editor: Zhang Manyou Review: Zhu Ziyun Proofreader: Yan Jingning)