Clients focus on reducing debt, saving for retirement

Investors around the world are focused on reducing debt and saving for retirement.

In fact, when asked what they would do if they earned an extra $200 more per month, women and men would save more (45% vs. 38%) and pay off debt (28% vs. 23%), finds a BlackRock survey. Also, about half agree, “I am not willing to take any risks with my money.”

Mary Anne Wiley, managing director, Head of iShares, BlackRock Canada, says “Developing a strong action plan for the future is a must, and with Canadians living longer than ever before, longevity is key issue that cannot be ignored.”

Read: CMHC to hike mortgage insurance premiums

Some Canadian findings include:

• 19% of women and 33% of men are comfortable investing in the stock market;
• Two-thirds say a risk-averse attitude is keeping them on the sidelines when it comes to investing; and
• 7% of women allocate take-home income to investing, compared 12% of men.

In the U.S. retirement is also a priority; 47% of men and 46% of women say funding a comfortable retirement is an important financial goal. Also, 55% of men say they understand how much they need to save for retirement, compared to 45% of women. And 53% of women have begun to save, compared with 62% of men.

Read: Most worried about retirement

Global findings include:

• Job security remains a top threat, say 31% of women and 25% of men;
• Top financial priorities include: paying off the mortgage on their homes (30% women vs. 26% men), paying off other debts (49% women vs. 42% men), saving a deposit for a new home (15% vs. 11%), and financing their children’s educations (21% vs. 18%).

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