Financial literacy in Switzerland 2024
A comprehensive study on the financial and investment literacy of the Swiss population.
The 2024 report
The True Wealth Financial Literacy Index is dedicated specifically to financial knowledge in Switzerland. As is well known, demographic challenges do not make it any easier for politicians to find solutions for our pension system. All the more reason why general financial education is also of central importance for broad sections of the population, not least for our social cohesion.
The index measures knowledge of basic finance and investment topics based on various criteria, including knowledge of the nature and impact of inflation, interest rates and risk diversification.
The index is calculated annually and allows the level of financial literacy of the Swiss population to be determined over time.
This is the first time that an index is available that quantifies the financial and investment knowledge of the Swiss population and allows a more detailed analysis according to socio-demographic characteristics.
The index also includes internationally standardized questions that allow Switzerland to be compared with other countries.
The Financial Literacy Index shows that the so-called gender gap in the financial world remains significant. However, the conditions for changing this are good. Other studies suggest that around a third of the gender gap can be attributed to women's lower level of trust in their own financial abilities. This makes it all the more important for women to use their financial skills with more confidence.
Dr. Michael Jan Kendzia
Economist and Head of the BSc International Management program at the ZHAW School of Management and Law
The 2024 Report
On average, 5.17 out of 10 questions were answered correctly, resulting in a True Wealth Financial Literacy Index score of 5.17. This result provides insights into the general level of financial literacy in Switzerland.
The 2024 Investment Competence Index is based on a representative sample of 2'010 people. The study was conducted by the market research institute GfK on behalf of True Wealth. Dr. Michael J. Kendzia provided scientific support for the study.
To cover a broad and relevant age group, people aged between 16 and 74 were surveyed for the study.
In international studies, financial literacy is often measured using the so-called «Big Three» questions on interest rates, inflation and diversification. In the True Wealth Financial Literacy Index 2024, the Swiss population achieves an above-average score compared to the EU. Source: Flash Eurobarometer, 2023
The study participants come from both the German and French speaking parts of Switzerland.
Is financial literacy a question of education?
A look at how school education influences financial literacy.
Key findings 2024
Is financial literacy a question of education?
Our study results show a strong correlation between level of education and financial literacy. The higher the level of education, the more pronounced the financial literacy. There is a clear difference between people with a low and a high level of education. Within the demographic characteristics examined, the level of education proves to be one of the most decisive factors for competence in financial matters.
Financial literacy increases with age
The percentage of questions answered correctly increases with age, but only slightly. Older participants on average showed slightly higher financial literacy, which may indicate accumulated life experience. In particular, older respondents performed better on basic questions about interest rates and inflation. Younger generations, on the other hand, showed greater familiarity with modern investment instruments such as ETFs.
Gender-specific differences in financial literacy
The study reveals significant differences in financial literacy between the genders. On average, male participants answered 58.5% of the questions correctly, while female participants answered 44.7% correctly on average. For all ten questions asked, men achieved higher correctness rates than women.
It is also noteworthy that women answered «Don't know» significantly more often than men. This phenomenon has also been observed in other studies and one-third of it is attributed to women's lower self-confidence in their own financial abilities. Lower confidence in their own financial knowledge is also mentioned there as an explanation for lower participation by women in stock investments.
True Wealth is committed to making investing accessible and easy for people in Switzerland by providing educational content for everyone and investment offers for children and young people, thereby empowering them to make better financial decisions.
Those interested in the topic have the opportunity to gain initial experience with a free test account – with no obligation and no risk.
Compare yourself to the Swiss average
How good is your financial expertise? Test your financial and investment knowledge anonymously.
Test your financial knowledge.
Does income determine our financial education?
Who falls behind in financial knowledge, who wins? Read the report on the Swiss Financial Competence Index 2024.
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