Canadians say financial advice improves well-being
NIAGARA FALLS, Ontario (Reuters) - Canadians who receive comprehensive financial advice rate their emotional and financial well being higher -- often significantly so -- than those who do not receive advice, according to a study released on Tuesday.
The Value of Financial Planning Study, conducted by polling firm the Strategic Council on behalf of the Financial Planners Standards Council (FPSC), asked a series of questions online to 7,383 English-speaking Canadians between August 2009 and January 2010.
The respondents were broken up into three groups: those who had received comprehensive financial planning from an adviser, those with limited financial advice, and those that had not received advice.
It also separated the groups into different net-worth categories to eliminate net worth as a variable when evaluating the impact of financial planning.
"Overall, the survey's results indicate that the benefits of financial planning are much more than simply the accumulation of wealth," said Cary List, president and chief executive of FPSC, when presenting the study at the Canadian Institute of Financial Planners annual conference.
"Those individuals who receive comprehensive, integrated planning have a significantly more optimistic outlook on their emotional and financial well-being compared to those who don't."
"They feel better prepared to deal with financial emergencies and manage through difficult economic times, they are more confident in reaching a wider spectrum of key life goals, and...they have a better understanding of their financial needs and thus are more confident in this regard."
EMOTIONAL WELL BEING
When asked to respond to the statement, "I feel I barely get by every month", 30 percent of those who had received comprehensive advice agreed. Continued...