Helping you make wiser investment decisions

Making sense of the markets this week: August 10

August 7, 2020 Dale Roberts
Making sense of the markets this week: August 10


My own research leads me to embrace the idea of a “dynamic spending plan” for retirement, which may allow us to spend more during periods when the stock markets are roaring. Make more hay while the sun shines, but always keep an eye on those guard rails. (For many, it makes sense to seek advice from a qualified retirement specialist.)

Captain Obvious says: many Canadians have taken a financial detour due to COVID-19

Edward Jones released a study on the changing face of retirement in Canada, focusing on four central pillars: health, family, purpose and finances. The report looks at the impact of COVID-19, which has accelerated many of the trends highlighted in this study. 

“We’ve certainly seen COVID-19’s disruptive influence on finances, with the pandemic impacting retirement timing and financial confidence,” said David Gunn, country leader at Edward Jones Canada. One in three Canadians are planning to retire are thinking about retiring later, predominantly for financial reasons.

The pandemic has put many important money issues on the table, including the need to plan for retirement, and to create a generous emergency fund

At the same time, the pandemic has also brought many families closer together, figuratively and literally. We’ve had to huddle and stay within our family bubbles for many months and, for some (but certainly not all), the pandemic was an opportunity to strengthen family ties. (In my neighbourhood, for example, many young adults returned to mom and dad’s house, leaving the downtown condo behind.) 

On generational generosity, 63% of respondents said they would help a family member even if that meant jeopardizing their own future. That is being tested in 2020 due to COVID-19: to date, 17% of parents have provided financial support to their children during the pandemic. 

The study also found money is not happiness in retirement—a finding that may be surprising to many. Gunn also offered: 

“Only 3% say they want their money to enable them to buy or experience nice things. Clearly, security and freedom are the primary purpose[s] of money in retirement.” 



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