be provided by behavioural economics. individuals do not act as rational agents : they recall information selectively, make little use of statistical analysis, have unstable preferences, have cognitive and emotional limitations, are vulnerable to social pressures. these circumstances have testable implications on decision - making and choice, and should be taken into account when programs are aimed at changing people ’ s behaviour. over - reliance on information alone must be prevented. it is necessary to balance the possible approaches, provide clear and accessible information, provide also cognitive instruments to correctly process information and make the appropriate decisions, encourage familiarity with financial issues. knowledge, behaviour and attitudes are the three pillars of any sound programme. we have to avoid that financial education increases confidence without increasing skills : the risk is overconfidence that contributes to sub - optimal decisions. good communication is also essential for successful programmes. the language must be consistent with the target group and the goals of the programme. especially when programmes are addressed to the most vulnerable and least educated groups of the population, the language must be clear and easily understandable. panel iii was dedicated to one of the areas where the need for financial education programmes is most compelling : pension schemes. in the face of demographic trends people need to understand the risk of poverty in retiring age and to take the proper, counterbalancing actions. in this field, there seems to be a link between general knowledge of financial matters, familiarity with the public pension system and participation in supplementary pension schemes. for this reason we are confident that education can promote virtuous behaviours. speakers have pointed out some strategies to promote pension literacy : – provide clear and understandable information on pension schemes ; – deliver financial education at school in order to increase youth awareness that rainy days can come. financial education may benefit individual citizens and the system as a whole ; it promotes a more competitive market of financial products and services ; it empowers customers vis - a - vis the financial industry. as i have already mentioned, bank of italy has launched some initiatives, but this is just the beginning. i am glad to announce that italian supervisory authorities have decided to combine their efforts, enhance their mutual cooperation mechanisms and coordinate future financial education programmes. today a memorandum of understanding on mutual cooperation in the field of financial education has been signed. in the framework of this agreement, and in line with the experience of other countries, the supervisory authorities are developing a common web portal as a clearinghouse of the existing information materials. i wish to close this symposium by

a bit unfamiliar to many. 14. over time, it has become apparent that these innovations, in particular the technologies and business innovation underpinning them, are here to stay and will naturally develop in a healthy financial system like hong kong ’ s. they have the potential to improve efficiencies, reduce intermediary cost and promote innovation. 15. digital innovations encompass a wide spectrum of products and services beyond the commonly - known crypto - currencies. defi, given its composability feature, can inspire innovation in finance. take tokenised green bonds as an example. we concept - tested the idea with the bis innovation hub last year and are adopting it for an actual issuance later this year. when both bond and cash are tokenised and brought on - chain, all bond lifecycle events like asset servicing, trading and redemption can happen more efficiently in a distributed manner. it could even make possible real - time tracking of the green impact. 16. in addition to traditional financial assets, the blockchain technology also allows fractionalisation of asset ownership in art, real estate or other assets, creating new forms of financial intermediation. with radical open - mindedness, we can use technological innovations to make financial markets more complete and bring benefits for the real world. 17. now, wearing my hat as a regulator, a “ radically open mind ” does not mean that financial stability falls by the wayside. the use of digital innovations needs to be complemented by a clear approach to money laundering and financial risks. we continuously work with banks to achieve this. we also ensure that consumers and investors understand the risks associated with investments in these still - largely unregulated products. 18. to do this we need to put in the right guardrails. the basic principle is “ same activity, same risks, same regulation ”, such that digital assets performing similar functions to traditional products should be subject to similar regulations. this is exactly what we and other regulators in hong kong are doing. 19. the hkma is putting in place a risk - based and proportionate regulatory regime for payment - related stablecoins. the sfc is introducing a framework to regulate digital asset trading platforms. we have issued guidance to banks on what they need to watch out for if they wish to offer crypto - or defi - related services, whether for account opening or custodial services. 20. these guardrails will provide a solid foundation with a clear set