More millennial investors want to manage their own money with do-it-yourself investing
Millennial investors have jumped into the stock market in a big way over the past year with about two million new trading accounts being opened across the country.
A recent survey finds many of them feel they don't need the assistance of a financial advisor and plan to do their investing on their own.
“Canadians are no different then investors all around the world trying to find new ways to grow their money, especially since the start of the pandemic," said Nicole McKnight with Finder.com which conducted the survey.
The survey found about three million Canadians plan to stop working with a financial advisor this year and many who want to become do-it-yourself investors are between the ages of 24 and 40 years old.
The survey found 34 per cent of millennials plan to stop working with a financial advisor or are seriously considering it.
Another 54 per cent said they want to save money on fees, 42 per cent want more control over their money and 25 per cent feel knowledgeable about investing.
Andrew Kriegler, president of the Investment Industry Regulatory Organization of Canada (IIROC) said “we've seen a couple of million new do-it-yourself accounts opened over the course of the last year."
Kriegler said do-it-yourself investing can be a good strategy for some, but he cautions that investors should also be aware of the risks and be careful where they get their information from.
IIROC said investors need to develop a strategy and do their research. Some millennials have been investing in cryptocurrencies and stocks that have been promoted on the website Reddit.
“When you are looking at information that comes from, for example, social media, it's very difficult to tell whether that information has been checked, audited or has anything behind it or not or whether it’s somebody’s opinion," said Kriegler.
McKnight added, “I think it's important not to jump on a bandwagon, but really do a lot of research on a company before investing in it."
Kriegler said that while some investors are doing it themselves, others are using an advisor and many are doing a combination of the two.
Kriegler said it's important for younger generations to learn about money and investing, because many may not have a company pension plan so they will need to save for their retirement years.
CTVNews.ca Top Stories
Indian envoy warns of 'big red line,' days after charges laid in Nijjar case
India's envoy to Canada insists relations between the two countries are positive overall, despite what he describes as 'a lot of noise.'
Stormy Daniels describes meeting Trump during occasionally graphic testimony in hush money trial
With Donald Trump sitting just feet away, Stormy Daniels testified Tuesday at the former president's hush money trial about a sexual encounter the porn actor says they had in 2006 that resulted in her being paid to keep silent during the presidential race 10 years later.
U.S. paused bomb shipment to Israel to signal concerns over Rafah invasion, official says
The U.S. paused a shipment of bombs to Israel last week over concerns that Israel was approaching a decision on launching a full-scale assault on the southern Gaza city of Rafah against the wishes of the U.S.
Former homicide detective explains how police will investigate shooting outside Drake's Bridle Path mansion
Footage from dozens of security cameras in the area of Drake’s Bridle Path mansion could be the key to identifying the suspect responsible for shooting and seriously injuring a security guard outside the rapper’s sprawling home early Tuesday morning, a former Toronto homicide detective says.
Northern Ont. woman makes 'eggstraordinary' find
A chicken farmer near Mattawa made an 'eggstraordinary' find Friday morning when she discovered one of her hens laid an egg close to three times the size of an average large chicken egg.
Susan Buckner, who played spirited cheerleader Patty Simcox in 'Grease,' dead at 72
Susan Buckner, best known for playing peppy Rydell High School cheerleader Patty Simcox in the 1978 classic movie musical 'Grease,' has died. She was 72.
Jeremy Skibicki has 'uphill battle' to prove he's not criminally responsible in Winnipeg killings: legal analysts
Accused killer Jeremy Skibicki could have a challenging time convincing a judge that he is not criminally responsible for the deaths of four Indigenous women, a legal analyst says.
Bye-bye bag fee: Calgary repeals single-use bylaw
A Calgary bylaw requiring businesses to charge a minimum bag fee and only provide single-use items when requested has officially been tossed.
Alcohol believed to be a factor in boating incident after 2 men die: N.S. RCMP
Two Nova Scotia men are dead after a boat they were travelling in sank in the Annapolis River in Granville Centre, N.S., on Monday.