Originally from our sister publication, Advisor.ca.
While Canadians are feeling a bit better about their overall financial health, they are still plagued by the thought of insufficient income in retirement, according to the recent Russell Financial Health Index.
The study, which gauges the financial health of Canadian investors around retirement, shows Canadians are particularly concerned about the financial impact of a medical issue or the death of a spouse.
The index rose slightly to 47.62, up from the previous quarter of 47.08, to the highest level in over a year.
“Financial markets have had a good start to the year and that’s helped Canadians feel a little better about their financial security in retirement,” said Bob Leeming, director of client solutions, Russell Investments Canada. “But as baby boomers head into their retirement years, they’re starting to worry about issues such as their health and their spouse’s health.”
Changes to benefit plans and government programs, he added, are having a huge impact on the ability to address such expenses as medical costs and “it’s not surprising that the Russell Financial Health Index is reflecting those issues.”
These concerns about their financial health in retirement point to the need for financial plans that incorporate multi-asset solutions to help reach investment goals.