Canada Life Assurance Co., who asked the participants to rate their financial knowledge, and then quizzed them on subjects ranging from inflation to capital gains and tax-free savings accounts. According to the insurance and financial service provider, the proportion of those who claimed high confidence in financial matters amounted to only 41 per cent, despite the average quiz score being 71 per cent.
“This was a gut check on the basic financial knowledge of Canadians, particularly as we’re coming out of the pandemic,” Brad Fedorchuk, Executive Vice-President, Group Customer, at Canada Life, said. “What we found was a gap between their knowledge and their confidence.”
On the other hand, although Canadians in their 20s scored the worst average quiz score of 56 per cent, this age group expressed the most interest in learning about managing their income, expenses, debt and savings. “That group did score the lowest, but on the positive side that was also the group most interested in further education,” Fedorchuk noted.
According to experts, the COVID-19 pandemic has shined the light on certain financial inequalities in Canada, with low-wage workers, women and youth being disproportionately affected by lockdown restrictions. They are of the view that recognising the fact that economic and income inequalities are leaving certain groups of the public behind, has highlighted the need for greater financial literacy among consumers.
