This paper investigates whether the level of investor education could influence earnings persistence and the stock price informativeness about future earnings. I argue that investors with better financial knowledge may better understand the accounting information disclosed by firms. Furthermore, educated investors may demand high quality financial report. Using data from 1995 to 2009 in 36 countries around the world, I find that earnings and accruals are more persistent in countries with a better investor education. In addition, stock price is more informative about future earnings in those countries. This study sheds light on the role of investor financial education in shaping corporate governance and its consequences on earnings and stock prices. It also provides some implications for policy makers that education factors are an important determinant in the development of industry and financial markets.