America is failing its youngest investors, warns personal finance guru Ric Edelman

Encouraging Americans to enhance their financial literacy is Ric Edelman, the founder of Edelman Financial Engines, a well-known figure in personal finance. In an interview on CNBC’s “ETF Edge,” Edelman expressed frustration with the country’s lack of emphasis on smart personal finance education. He stressed the importance of addressing this issue, especially as people are living longer, increasing the risks of financial insecurity in later years.

Edelman highlighted concerns about the younger generation’s attraction to get-rich-quick schemes and risky investment strategies promoted by certain websites. He warned against falling for complex and expensive financial products offered by corporations aiming to exploit consumers. Emphasizing the need for credible financial education sources, Edelman criticized the trend of relying on platforms like TikTok for financial advice.

The lack of mandatory personal finance courses in high schools was also a point of concern for Edelman, who noted that many young adults struggle with financial decisions due to a lack of early education in this area. While progress has been made with some states now requiring personal finance courses for high school graduation, there is still a long way to go in ensuring young individuals are well-equipped to manage their finances effectively.

Despite financial challenges faced by many young investors, Edelman expressed optimism about their motivation to achieve financial success. He pointed out that today’s youth is driven by a desire to avoid the financial struggles their parents faced and are eager to secure a better future for themselves.