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BUSINESS Monday 5 noveMber 2018
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Charles Schwab executive talks financial literacy

By SARAH SKIDMORE SELL and I did the work. Using
Associated Press an adviser felt kind of like
Carrie Schwab-Pomerantz a personal trainer. It cre-
is an industry leader in fi- ates more accountability. I
nancial literacy. A sea- meet with them on a regu-
soned financial planner, lar basis and I learn from
she is senior vice president that person and I get bet-
of Charles Schwab & Co., ter results.
the company her father Q: What do you suggest
founded in 1971. Schwab- for starting education with
Pomerantz has advised children?
two White House adminis- A: I did start early and I had
trations and is the author of a little system. When my
multiple personal finance kids were young — 5 years
books. old or so — I gave them an
Schwab-Pomerantz re- allowance, not very much.
cently spoke to The Associ- And that was the begin-
ated Press about financial ning of them experiencing
literacy, gender parity and money and putting value
the importance of having on it.
a financial plan. The inter- I remember my middle
view has been edited for This undated photo provided courtesy of Schwab shows Carrie Schwab-Pomerantz, who is an child pleading to get
clarity and length. industry leader in financial literacy. Pokemon cards and I was
Q: Financial literacy has Associated Press tempted to buy them and
been a part of your entire move on. But I said 'You
life. What made you so woman of the time. And rich to poor. make the change. have an allowance, why
passionate about it? with my dad struggling What I have concluded is The bottom line is a lot of don't you get them for
A: I've been working for and the divorce I think it that the lack of financial these issues start at home— yourself.' He thought about
Schwab since I was 16. The had an impression on me literacy cuts across Ameri- how we talk about money. it and thought about it and
company was basically a about women's financial cans from all walks of life. It The gender gap starts at said 'I think I'll pass.' He de-
startup at that time. (My empowerment. Women re- is blind to economic status, early ages so we've got to cided his money was more
father) built the company ally (need) to be engaged gender and age. be talking to daughters the valuable than mine. Learn-
on democratizing investing in their finances and inde- Our latest research found same way as sons. Also, it's ing the value of money
and creating more acces- pendent. there was some positive about creating a culture early and making choices
sibility for everyday Ameri- I've been fortunate to learn news: women's attitudes that it is our personal re- is important.
cans. They say apples don't about investing and saving and aspirations are in the sponsibility to be engaged When it came to investing,
fall far from the tree, so I at an early age and see right place. Unfortunately, in our finances. I made them come to the
guess that my whole ca- the benefit of that. cultural habits and society Q: What is the biggest hur- Schwab office and fill out
reer has been about de- Q: You mentioned under- still get in the way of wom- dle for folks wanting to take paperwork. I could have
mocratizing investing and served populations, are en having economic parity control of their money? done it for them but I want-
making it more accessible there groups that should and that is discouraging. A: It's about making a plan ed them to experience
for those not well-served by be taking better steps with Q: How can that change? for getting there. That in- working with a financial
our industry. their money, or who lack in- A: I think it is one thing tentional act of focusing institution. It can be intimi-
Growing up, my father — formation? where we all need to come on your finances can make dating for a lot of people.
before Schwab — was a A: I have been working on together. (Financial edu- such a difference. And when the kids got jobs
struggling businessman. He this for 30-plus years and cation) can be embed- It's also about being scrap- I opened up a custodian
had several ventures that along with my colleagues ded in school curriculums. py — you've got to know Roth IRA where they start-
didn't pan out. And when have created financial lit- And in the public sector, what you are spending ed saving.
I was young my parents di- eracy programs for wom- the government has a bully your money on, where you Q: Anything else we should
vorced. My mom was Stan- en, for inner city kids, for pulpit. And nonprofits — we are spending your money know?
ford Phi Beta Kappa — my working poor over 50 — ev- have a partnership with the and where can you cut. A: Learning about financ-
parents met at Stanford eryday Americans. And I'm Boys and Girls Club. I think You just have to be a little es isn't a one-point-in-time
— but she was definitely a talking to our clients from together we can all start to more disciplined some- thing, it's a lifelong pursuit.
times. If you have aspira- Life changes and therefore
tional goals you are more your goals change.q
For some, a vibrant US economy likely to be motivated.
I think people think it is scar-
complicates voting decision ier than it really is.
Q: I understand even you
get professional financial
EXTON, Pennsylvania (AP) back Republicans in hopes 250,000 jobs in October. advice?
— For many voters in Amer- that the economy will con- At stake Tuesday is control A: I recently revealed this.
ica's affluent suburbs, a tinue thriving under the of the House and Senate, I always did it on my own
flourishing economy is forc- majority party? both now led by Republi- and it wasn't until my 40s
ing a thorny dilemma for A healthy economy has can majorities. Steady eco- that I got outside help.
the midterm elections. at least complicated their nomic growth and a vig- I was flying all over the
Do they vote Democratic, decision and blurred the orous job market haven't country. I had three kids, a
in part to protest President outcome of the midterm been the clincher in pros- husband and a big com-
Donald Trump for behavior elections. On Friday, the perous areas that were mute. I couldn't do it all
some see as divisive and government reported that once seemingly safe Re- on my own. I went into a
unpresidential? Or do they employers added a robust publican turf.q Schwab program and we
met on a quarterly basis