When it comes to planning for retirement, Canadians trust financial planners and advisors more than any other resource available to them, according to a new survey from Fidelity Investments Canada ULC.
The survey, which polled 1,926 pre-retirees and retirees in Canada aged 45 and older, found that just under half of respondents said they trust advisors more than any other resource for retirement planning. Other popular tools included newspaper and magazine articles, and independent financial websites and blogs.
Fidelity also found Canadians are turning to their advisors for more than just advice on investments. Seventy-three per cent of respondents said they want their advisor to get to know them better to identify issues they need to consider before they retire, and 87% said they want their advisor to help them feel comfortable about their financial security.
Canadians also wanted their advisors to help them develop a better understanding of what could impact their investments (84%) and plan for the unexpected (62%).
Additional findings from the survey included that many Canadians (46%) expect to carry some long-term debt into retirement. Almost half (48%) expect to have credit debt, while 41% expect to have mortgage debt. One-third of pre-retirees said they do not currently have any debt.
Forty-two per cent of retired respondents said they had long-term debt when they began their retirement. Of the indebted retirees, 49% said they entered retirement with credit debt, while 42% had mortgage debt. One-fifth of respondents no longer had those debts.
The survey also found that respondents who had a written financial plan were more likely to have a positive outlook on life in retirement.
Eighty-eight per cent of respondents who had a plan on paper felt better prepared financially, compared to 43% of respondents without a plan. Those with a plan also felt better prepared emotionally (79%, compared to 64%), socially (84%, compared to 67%) and physically (89%, compared to 67%).