Affluent Canadians are reassessing their finances and retirement plans amid economic worries | Job Binary


  • 82 per cent of HNW Canadians are concerned about where the economy is going

  • Three-fifths are concerned about saving and growing their wealth

  • Three-quarters work with an advisor, and less than half have a financial plan

  • Half plan to delay retirement and work longer given the current economic climate

TORONTO, November 23, 2022 /CNW/ – Canadians with the highest net worth (HNW) (defined as having $1 million According to new research by IG Private Wealth Management (IGPWM), a division of IG Wealth Management, people are feeling more stressed about the impact of a volatile economy on their wealth and lifestyle.

IG Wealth Management logo (CNW Group/IG Wealth Management)

IG Wealth Management logo (CNW Group/IG Wealth Management)

As a follow-up to IGPWM’s 2021 Report on Wealthy Canadians and Wealth Transfer, this new study shows that concerns about the economy and its impact on wealth and retirement planning are top concerns among HNW Canadians. Key findings include:

  • A majority (82 per cent) are concerned about Canada’s economy, including individual factors such as inflation (84 per cent), energy increases (72 per cent) and interest rates (49 per cent).

  • Three-fifths (61 percent) are concerned with maintaining and growing their wealth in today’s economy, and half (49 percent) are concerned with managing their wealth.

  • While three-quarters (74%) work with a financial advisor, less than half (45%) have a comprehensive financial plan that addresses all dimensions of their financial life.

  • Three-fifths of those who work with an advisor (60 percent) say their advisor can help them manage their wealth, grow their wealth (59 percent), and reduce the negative effects of the economy (56 percent).

“Like other groups, high-income Canadians are concerned about where the economy is going and its impact on their personal circumstances,” he said. Damon Murchison, President and CEO of IG Wealth Management. “With wealth comes complexity, so in these times, it’s important not only to seek the help of a qualified financial advisor who can put things into perspective, but to choose someone who will work with you to develop a holistic financial plan. stress-tested and tailored to your evolving situation.”

Retirement plans are under review

The study also found that while almost all HNW Canadians have at least an idea of ​​what retirement will look like (92%), only half have a detailed retirement plan (47%). The pandemic and its economic consequences have had a lasting impact on their retirement planning, with many rethinking their goals and how they will achieve them:

  • While most (85 percent) are confident they will have enough money to support their lifestyle in retirement, half (48 percent) report changes in how much money they will need in retirement.

  • Additionally, nearly half (46 percent) reported changes in when they will retire, what their retirement will look like (45 percent), and how they will manage their retirement investments (46 percent).

  • More than half (51 percent) of those considering delaying retirement reported having to work longer because their investments are earning less and the cost of living is rising.

“Given the state of the markets, consult with an advisor about how your golden years may or may not be affected before making any conclusions about how your retirement may change and where the economy may be headed,” Mr. Murchison noted. . “Any thoughtful financial plan should include a solid retirement plan that takes into account a variety of factors, including lifestyle choices, income sources, and tax and estate planning. We live in very challenging times – the value and importance of professional advice and financial planning has never been clearer.”

IG Private Wealth Management, a division of IG Wealth Management, provides financial planning services to meet the complex needs of high net worth Canadians.

About IG Wealth Management

Founded in 1926, IG Wealth Management is a national leader in delivering personal financial solutions to Canadians through a network of advisors located across the country. Canada. In addition to an exclusive family of mutual funds and other investment vehicles, IG offers a wide range of other financial services. IG Wealth Management has $108.3 billion in assets advised as the case may be October 31, 2022 and IGM Financial Inc. (TSX: IGM) is a member of the group of companies. IGM Financial is one of Canada leading diversified wealth and asset management companies $246 billion in total assets in management and advisory as the case may be October 31, 2022.

About Pollara’s research

This study was conducted with an online sample of n=500 Canadians with investable assets. $1 million or more. This study was conducted between October 7th and 14th2022. The results of a probability sample of this size can be considered accurate within ±4.4% percentage points, 19 times out of 20. Results were weighted by age, sex, and region to be representative of this population. Canada as a whole.

SOURCE IG Wealth Management

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