ONE IN FOUR ASIAN PARENTS OPTIMISTIC ABOUT MONEY PARENTING - STUDY

2 Feb 2021

KUALA LUMPUR: A major regional study conducted by Eastspring Investments Bhd, a leading Asia-based asset manager, revealed that one in four Asian parents were optimistic about educating children about money.

Eastspring’s inaugural Money Parenting study (#MoneyParenting) surveyed 10,000 parents across nine Asian markets to explore how parents are educating their children about financial responsibility.

The findings provide a comprehensive view on the perceptions, habits and knowledge among Asian parents about financial education, and how these attitudes and beliefs about finances are passed on to their children.

Eastspring head of distribution Yap Siok Hoon said 51 per cent of all parents surveyed said they did not know if they had been successful teachers and role models for their offspring.

She added that 43 per cent of parents surveyed would like to improve their own financial knowledge to become a better role model and teacher.

At the same time, 95 per cent of parents agreed it is very important to teach their children about how to use and manage money, she said.

“Many expressed an interest in tools to help them teach their children to use and manage money better, including mobile apps, television programmes, websites and workshops they can attend with their child,” she said during the press briefing recently.

Meanwhile, findings in Malaysia revealed that many parents were unsure if they were teaching their children successfully, with only 47 per cent of Malaysian parents regarding themselves as successful teachers and role models for their children.

More than half of Malaysian parents surveyed said the best outcome of money parenting was that “the child is debt-free and has some savings when they enter adulthood”, she added.

The findings also reported that Malaysia’s Money Parenting Confidence Index score is 0.67, slightly above the regional average of 0.65.

Commenting on the economic uncertainty created by the COVID-19 pandemic, its chief executive officer Raymond Tang said during these times, children are increasingly aware of the financial pressure on their families.

“Through this initiative, we believe parents will be better equipped to help the next generation make sensible financial choices, understand the essentials about money and live financially fit lives,” he said. -Bernama