- Just one-third of Canadians have a good understanding of what a financial plan is
- More than 80 per cent (mistakenly) believe it's just about investment management
- Canadians with a plan are three times more confident they'll reach financial goals
The study, conducted by Pollara Strategic Insights for IG, noted that Canadians who have a holistic financial plan (i.e. one that brings together multiple dimensions of their financial world, including budgeting, debt, insurance, estate and retirement planning as well as investing and an overall tax strategy) are three times more likely to feel very confident that they will be able to achieve their financial goals than Canadians who do not.
Further, the study revealed the following:
- Only one-third of Canadians feel they know "a lot" about what a financial plan is and how it can help them.
- More than 80 per cent reported that a financial plan is all about their investments, with very few appreciating that a truly effective financial plan covers off much more than just portfolio management.
- And, while 61 per cent of Canadians reported having a financial plan, the majority stated that their plan was primarily "one-dimensional" and focussed almost exclusively on their investments.
"We know that a truly personalized holistic plan can play a significant role in helping realize your financial goals-- we see this everyday in the work we do with our clients," said
Of concern, the study found that almost three-quarters of Canadians who both use a financial advisor and have a financial plan reported that their plan focusses exclusively on investments.
"As an industry we need to step up our efforts on not just educating Canadians about the value of financial planning, but in raising our game in the design and execution of financial plans as well," concluded
About IG Wealth Management
Founded in 1926, IG Wealth Management is a national leader in delivering personalized financial solutions to Canadians through a network of advisors located across
About the Pollara Study
This study was conducted with an online sample of n=1,503 and was conducted between
SOURCE IG Wealth Management
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