While people comprehend the basics of financial matters, a national study conducted by Northwestern Mutual found that most Americans fail to make the grade. In fact, the vast majority of the more than 1,000 study participants failed to get 60 percent of questions correct. For instance, Americans can identify terms such as asset allocation, and diversification, yet they are unclear on specific details of their company-sponsored insurance programs, unaware of the purpose of 529 plans, and uncertain as to the best protection against inflation, among other things.
So how much do you know when it comes to financial matters? Now you have an opportunity to see where you're at and do something about it thanks to the new Money Maladies Test from Northwestern Mutual.
The test, available online at www.moneymaladiestest.com, features 14 questions from the Northwestern Mutual study that gauged America's familiarity with subjects tied to financial strategies. Grade your own financial literacy and find out where you stand.