TORONTO, Feb. 24, 2020 /CNW/ – A new CIBC study finds that many (59 per cent) Canadian women say financial security contributes to their happiness. But getting to a good place financially is tricky, as many regret not focusing on saving and investing at a younger age. Most (73 per cent) wish they had started saving earlier in life, with many (67 per cent) expressing the same about investing.
Furthermore, only a minority of women feel they understand what to do with their money: 10 per cent report feeling very knowledgeable about investing, and 15 per cent feel the same about retirement planning. Women also tend to approach investing from a conservative lens. Of those who have an investment portfolio, many (44 per cent) are more concerned with preserving capital and making predictable returns than trying to achieve higher rates of return.
“Women’s financial health and happiness is closely linked, and with International Women’s Day around the corner, now is a good time to look at ways to help them bridge the gap between money concerns and life goals,” said Kathleen Woodard, Senior Vice President, CIBC Personal and Small Business Banking.
The study also shows a lot of women (62 per cent) continue to worry about their finances, with two-thirds (65 per cent) concerned they will run out of money in retirement. Many also fret they do not have enough savings for an emergency (46 per cent), with one-in-four (26 per cent) equally stressed about managing day-to-day finances and paying off debt.
“With retirement income a concern for many women, it’s imperative to increase knowledge about personal finances, different investing strategies and how to maximize returns for the long-term,” added Ms. Woodard.
In celebration of International Women’s Day 2020, CIBC banking centres across Canada are hosting free client events focused on providing women with advice to increase their confidence and knowledge of financial planning. To register for an event, visit the CIBC website here. For financial planning resources tailored towards women, visit CIBC Women and Wealth.
Key poll findings:
- Of the 62 per cent of women who worry about their finances, younger women (18-34) are the most concerned at 72 per cent, followed by 70 per cent of those aged 35-54, and 48 per cent of women over 55
- When asked what advice they would give their younger self about personal wealth and finances, 56 per cent of the women surveyed say “start saving earlier,” followed by “start investing as soon as possible” (50 per cent) and “start planning for retirement earlier” (44 per cent)
- The majority of women (86 per cent) say they do not want to be a financial burden to loved ones in their later years
- Women play an important role in managing household finances: 59 per cent are primarily responsible for paying the bills; 54 per cent are largely responsible for household budgeting; 41 per cent lead long-term saving goals (e.g. retirement planning) and 39 per cent decide how money is invested