It’s no secret that market volatility has many investors concerned about how to best protect their wealth. According to research commissioned by the Investment Funds Institute of Canada (IFIC), it’s also true that investors working with trusted financial advisors are better equipped to weather those fluctuations and come out ahead, regardless of income levels. Not surprisingly, this same research reveals investors working with financial advisors are more confident that they will be able to afford the retirement they’ve worked so hard to achieve.

The Numbers Tell the Story

IFIC’s The Value of Advice study from 2010, which is based on Ipsos Reid’s longitudinal database tracking Canadian financial attitudes and behaviors, polled 1,030 households working with an advisor and 1,371 households without an advisor in the years 2005 and 2009. The findings were telling: those with an advisor generally had more investable assets than their counterparts with no advisor. This was true regardless of income.


What’s more, the study found that investors with an advisor felt twice as confident that they would have enough money to retire.


Investors working with an advisor were more confident about their overall financial situation.


How To Know You Have The Right Advisor For You

The number one quality of an investment advisor is that they put you first. They are not worried about how they will get paid but instead are concerned about how your goals and objectives will be met.

You want to work with an advisor that follows and understands the markets. You don’t want someone that passes off the responsibility of your account to someone else (i.e. mutual fund or third party manager). This goes well beyond having the right credentials and certifications, although that knowledge and education is important. Your advisor should understand what is happening on Bay Street and Wall Street and be able to explain why the market is behaving as it is.

When you have a question and need clarification, your advisor should be there to provide answers.

Call Me or Email Me

I welcome you to call me at 416-332-3863 or email me at allan@allansmall.com and let me help you become more confident with your financial planning!