The plunge in stock markets since June has shaken Canadians’ confidence regarding their retirement, according to a new survey from National Bank of Canada.
Sixty per cent of respondents said yes when asked “Would you say that the recent market conditions have affected your level of confidence towards retirement?” Moreover 64% of Canadians age 50-64 said they were worried, as did 69% of 18-34-year old respondents.
“Retirement remains without a doubt a big cause for concern for all Canadians,” says Patrice Delisle, senior manager – retirement strategy, National Bank. “The recent market downturn has only heightened the pressure on investors. Some are planning to save more to make up for the losses in their capital, while others are opting to put off their planned retirement date,” he explained.
Canadians’ reactions to the recent bear market vary dramatically from one age group to another. Young Canadians (age 18-34) plan to take more action, as the following results show:
|
|
Age |
|
|
|
18-34 |
35-49 |
50-64 |
|
|
Make no changes to their retirement planning |
28% |
34% |
39% |
|
Save more to offset the losses in their assets’ value |
43% |
30% |
12% |
|
Put off their planned retirement date |
22% |
16% |
21% |
The survey also reveals that more than one Canadian in five aged 50 to 64 plans to delay their scheduled retirement.