Australians relying on media for financial advice
Australians are twice as likely to get information about their finances from the media than they are from professional advisers, a new survey has revealed.
The survey of 1200 people, conducted by Newspoll on behalf of the Institute of Chartered Accountants (ICAA), found 60 per cent of Australians classified themselves as financially literate.
When asked how they received financial information, 80 per cent answered that the media was their primary source.
Only 38 per cent of those surveyed said they received information from a professional advisers, while 36 per cent said friends and colleagues were a source of information
Despite respondents’ boasts about financial literacy, the survey found 18 per cent could tell the difference between a franked and unfranked dividend, while just 23 per cent felt they could read a company balance sheet with some confidence.
ICAA standards general manager Bill Palmer said all Australians needed to be encouraged to become financially literate.
“The rate of share ownership by Australians is at record high. Even those who are not interested in finance are committing a minimum of 9 per cent of their salary each week into superannuation which is directly tied to the performance of companies and the financial markets — therefore all Australian have an interest understanding financial reporting,” Mr Palmer said.
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