Dec. 26: Canadians lack financial education, confidence in managing money: Edward Jones Canada

December 26, 2024

A whopping 84 per cent of Canadians surveyed “believe financial education in school would have helped them manage their personal finances with less stress today.”

That’s just one of the findings of recent research carried out for Edward Jones Canada. The research found that 64 per cent of Canadians “did not learn about money management in school during their younger years” with most “looking for ways to upgrade their knowledge later in life,” according to an Edward Jones Canada media release.

The organization has developed four “complimentary interactive online modules” to help Canadians self-educate about such topics as “debt management, buying a home, and how to have conversations with family about money,” the release continues. You can access the modules here:  www.edwardjones.ca 

Save with SPP reached out to Maryon Urquhart, Director responsible for Community Impact Programs, Edward Jones, to get more details on the topic.

Q. What can a financial advisor help with that those with little or no financial literacy knowledge?

A. At Edward Jones, we do money differently. Our approach involves taking a wellness approach to wealth, focusing on all life pillars: Family, Health, Purpose, and Finances. These pillars are interconnected and impact one another, so we look at them holistically.

We seek to understand every client and their family’s priorities to provide personal advice. This includes developing personalized budgets that address current needs and future considerations.

Our process begins with the ‘My Priorities Quiz,’ where clients rank different life events, helping us understand what matters most to them. We also discuss our ‘Family Influence Circle’ to learn about who clients consider family, which often extends beyond blood relations.

Based on their priorities, family dynamics, risk comfort, and timelines, we develop a unique plan for each client. This plan includes an overview of their goals, strategy pros and cons, personalized recommendations for account types and investments, and an action plan.

We revisit and adjust the plan annually or more frequently if circumstances change. We understand that life evolves, goals shift, families grow, jobs change, health fluctuates – and these changes affect priorities. We partner with our clients through these changes to ensure their financial plans always reflect what’s important to them now and in the future.

Q. It’s good to see support from survey respondents regarding the availability of financial literacy education in schools. Do we know how widespread such programs are in Canada at this point?

A. Our goal is simple – plant the seeds of financial literacy early, so young Canadians can grow into effective financial planners for their families in the future.

Since launching in 2023, more than 4,100 students in 143 schools across Canada have completed our Financial Fitness training. Through real-world simulations in the classroom, students learn the essentials of investing, navigating global markets, and building a solid foundation in personal finance.

Our data shows that confidence in financial decision-making has jumped from 61 per cent to 78 per cent among students who’ve taken the course. Edward Jones is committed to providing Canadian youth with the education needed to build their financial knowledge and confidence.

Q. Are you getting a good response to your online modules (financial education)? 

A. The early results of our online financial education modules look promising. Since launching in late October, we’ve seen 855 users engage with the modules, setting a strong foundation for 2025.

We offer interactive modules for Canadians of all ages, covering crucial topics like debt management, home buying, taxes, and family financial conversations. Finance can be a learning curve for all ages, but we’re here to help smooth that curve with the tools and guidance needed to make informed decisions.

Q. What surprised you the most about the survey results? 

A. What surprised us most about the survey results was the clear divide between Canadians who received financial education in school and those who did not. Seventy-eight per cent of those who learned at least a bit about money management in school rate their current abilities as good, compared to only 59 per cent of those who did not receive any education on the subject.

Conversely, 41 per cent of those who did not learn about money management in school rate their ability to manage their personal finances as okay at most, compared to just 22 per cent of those who had some form of financial education. These findings underscore the importance of early financial literacy education.

We thank Maryon Urquhart of Edward Jones for taking the time to answer our questions.

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Edward Jones Canada, Maryon Urquhart

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