180% Right on the money....
They MUST know the facts or they will be taken advantage of.
They MUST know the facts so they can understand the consequences of bad decisions.
But, They MUST also be sheltered partially from the overload of crap that they would be exposed to if parents did not at least try to limit what they see, hear, watch, play, say etc..
Believe me, even being somewhat sheltered, they will be exposed enough to the noise to get the above lessons.
But the input should come from the parents, trusted teachers or childhood friends with similar ethical mindsets.