November 14, 2019 – Mackenzie Investments today released the results of a study that shows that there is a significant need and opportunity for Canada’s financial advisors to help Canadians better understand the details involved in making the transition to retirement – in addition to their assistance and guidance in saving and investing for retirement.
Between September 18 – 20, 2019, Pollara Strategic Insights conducted the online survey on behalf of Mackenzie Investments amongst a randomly-selected, reliable sample of N=1,518 adult Canadians. Online samples cannot be assigned a margin of error. A probability sample of this size would carry a margin of error of ±2.5 percentage points, 19 times out of 20.
The study found that six-in-ten (61%) Canadians – and about half (47%) of Baby Boomers – want to know more about what is involved in making the transition to retirement. This finding is not surprising given that less than a quarter say they are very familiar with how the Canada Pension Plan works, when and how to convert their RRSPs to RRIFs, and how they’ll be taxed in retirement.
“Canadians in general, and Boomers in particular, are seeking advice on the details involved in making the successful transition to retirement,” said Carol Bezaire, Vice-President, Tax, Estate & Strategic Philanthropy, Mackenzie Investments. “This provides Canada’s financial advisors with a tremendous opportunity. As people approach retirement it’s clear that there’s more of a premium put on the value of advice as areas like tax and estate planning and optimizing investments during retirement take on added importance.”
Confirming the need for advisors to provide additional education and assistance regarding the transition to retirment, seven-in-ten (72%) of Canadians – including 74% of Boomers – felt it was time to put more emphasis on helping people better understand all the components of successful retirement planning, beyond simply saving.
“It’s a particularly important time for Canada’s Boomers. Not only are they having to learn a whole new set of rules as they approach retirement but many are also managing the complexity of inheriting significant sums as the world goes through the largest transfer of wealth in history,” added Ms. Bezaire. “An advisor can play an important role in helping clients successfully stickhandle this critical life stage.”
For more information, please see Mackenzie Investments’ press release or the articles about the study in Investment Executive and Wealth Professional Canada.
