FPABE Knowledge Circle-Why Does Research Matter-ONeill-09-16-final

Why Does Research Matter?

Barbara O’Neill, Ph.D., CFP®, AFC, CHC Rutgers University

[email protected]

4 Key Research Tasks • Observe something and systematically record data

• Analyze data and develop implications from findings

• Disseminate findings (e.g., publications, presentations)

• Inform and improve practice and practice outcomes

– Apply methodologies and/or findings to “real world” settings

Research Provides Evidence • Life-saving therapies (e.g. breast cancer)

• Relationships between variables (e.g., personality traits and saving money; health and wealth)

• Best practices in financial planning – Example: Retirement asset decumulation

– Example: Social Security benefit claiming

• Financial education program content – Example: Increasing equity glide path in retirement

What Happens Without Research?

• People die because life-saving therapies are not discovered

• Policymakers are unable to make informed decisions

• Gaps in knowledge are not addressed

• Programs and services are not improved

• Mistakes are repeated, effort is duplicated, and money is wasted

What Happens at Conferences or in Publications Without a Strong Research Base?

• Personal experiences are accepted as “fact”

– N = 1

– “If it happened to me, it is happening to everyone”

• Anecdotes instead of evidence

• No “hard data” to back up claims of effectiveness

• Potential for sharing misinformation

• Knowledge and practice gaps are not addressed – Example: What works? For whom? Under what conditions?

“So What?” Questions At the end of the day…

• Are certain factors or practices related (e.g., nutrition label reading and financial planning)?

• Is one life-saving therapy better than another?

• Did financial education or planning or coaching improve people’s lives?

How do you know? You do research and put the scientific method on your side!

Using knowledge attained through

evidence-based research is the best way

to serve your clients!

KNOWLEDGE attained through SCIENTIFIC RESEARCH is like broccoli

Source: Sandra Huston, Texas Tech University

I know it’s good for me, but…

Source: Sandra Huston, Texas Tech University

I just don’t like the experience of

consuming it!

Source: Sandra Huston, Texas Tech University

Why don’t you make it taste better?

Source: Sandra Huston, Texas Tech University

How can we make Science-Based Knowledge

More Palatable?

Source: Sandra Huston, Texas Tech University

Let’s Build a Bridge!

• Collaborative researcher-practitioner research projects

• Gap analysis of practitioner research needs • Research briefs

– Short summaries of the methodology and the “so what?”

• Other ideas?

What Do Practitioners Need From Researchers?

• Assistance with research project development, program evaluation, and/or statistical analyses

• Involvement at research project inception, not as an “after-thought”

• Co-authorship on published articles

• Other “shared glory” (e.g., presentations, awards)

• Sub-contract funding on research grants

What Do Researchers Need From Practitioners? • “Real-world” perspectives about how people

think and act with respect to personal finances

• Access to potential survey respondents who are clients or students of practitioners

• Assistance with co-authorship of papers, award applications, and presentations

• “Bonus Points” on grant applications from some funders for including an outreach component

What the Journal of Financial Planning is Looking For From Researchers

• Previously unpublished thought-provoking articles that “break new ground” by exploring new topics or expanding upon previous studies

• Well-written articles that follow JFP guidelines with good grammar, spelling, and organization

• Clear and specific implications for financial advisors (the “So What?”)

Contact Information

Phone: 848-932-9126 E-Mail: [email protected] @moneytalk1 on Twitter