Women & the sudden responsibilities of wealth management

It's estimated that at some point, 90% of all wealth will be controlled by women.  Yet, the financial industry (and that of accounting, law, banking and more) still primarily focus on men.

Women, by design, accident or choice are facing complex financial decisions during critical phases in their lives such as a divorce, death of a spouse, inheritance, or the sale of a business.  Without a firm financial footing, these pivotal points in her life can cause undue stress, leave her vulnerable to being taken advantage of and more.

So what do women need when they're facing the responsibility of managing sudden wealth?  I assembled a round table of women – from industry experts to government to female trail blazers - for a discussion on how to level the playing field. Insights were shared on how women can better equip themselves with a solid financial foundation and where much work still needs to be done.  This project was sponsored by BNN's, Larry Berman and his company, ETF Capital Managment.  You'll find a robust video discussion, industry report, and a plethora of resources on the micro site we created at www.etfcm.com/womenmoney.

The aspect of "trust" came up often in our conversations and how to find a qualified financial professional.  Financial literacy leader Jane Rooney discussed the excellent, unbiased resources the Financial Consumer Agency of Canada has developed (see the above link).

Cynthia Kett, a fee-only Certified Financial Planner and Partner with Stewart & Kett, informed the table that anyone in Canada can call themselves a financial planner (outside of the province of Quebec).  A frightening thought!

Understanding the fundamentals of financial planning will help women feel more confident about the process and better equip her to identify a qualified professional when facing the challenge of managing wealth suddenly.

For more information on the benefits of engaging in financial planning, and the value of working with a CFP professional, visit http://www.financialplanningforcanadians.ca/herestheplan/.

Couples and Money - how to have the talk without it turning into a fight

Love and money can be tricky subjects on their own.  When combined, they can be a powder keg ready to ignite at any time.

So often individuals have friends that are very similar to them financially yet, will attract a spouse that's the polar opposite.  Couples with both individuals defaulting to "savers" are fine - they are well on their way to financial freedom and likely will avoid divorce because of a money fight.  But for those in a relationship with a spender and a saver, or worse, two spenders, conversations about cash-flow can turn into a full on fight.

To avoid further frustration, shame, guilt and avoidance, couples need direction when having conversations about their household finances.  It doesn't have to turn into an argument with some simple guidelines.

The following is a process that will help you have a successful money conversation with your spouse and continue to keep the dialogue open:

• Step one:  What are our goals?
• Step two:  What are our needs vs. wants?
• Step three:  Where are we now?
• Step four:  How are we going to get to our goals?
• Step five:  Make changes - what are we going to do first?
• Step six:  Take action and get help

The full explanation and process can be found in my book, A Canadian's Guide to Money-Smart Living, published by the Chartered Professional Accountants of Canada.  You can order a copy for $9.99 or an instant download for $3.99 here.

Even starting the money talk can be overwhelming for some couples.  If you find yourself in this situation, it's time to bring in some outside help.  A Certified Financial Planner will walk you through uncomfortable conversations, set life goals and help you design a plan that works for both you and your spouse.

Check out this article from the Financial Planning Standards Council - Modern families have one thing in common: they need a plan.

And if you're ready to check out a qualified planner, visit the FPSC's Find A Planner tool to locate a CFP in your area.

Women most likely to lose sleep over money worries - FPSC Study

According to a new national study conducted on behalf of the Financial Planning Standards Council (FPSC), women are significantly more likely than men to lose sleep over financial worries. While the study found that 42 per cent of Canadians (excluding Quebecers) rank money as their greatest stress, 51 per cent of women, versus 40 per cent of men, are more likely to stay awake at night mulling over their financial woes.

 

Health Canada places long-term stress on issues such as financial problems as a major contributor to adverse health complications. These can range from heart disease to mental health issues. Stress is also a risk factor in alcohol and substance abuse, as well as weight loss and gain. Stress has even been identified as a possible risk factor in Alzheimer’s disease.

According to financial author Kelley Keehn, there’s good reason to believe women are bearing the greater share of these health burdens. Women, she explains, have begun to take the lead in managing household finances.

“Although women have always controlled aspects of family finances, they are forefront more than ever before,” she says. “Women are also earning more, holding an increasing share of jobs and living longer.” (According to research commissioned by Toronto-Dominion Bank, widowed baby boomers outlive their spouses by an average of 16 years.)

Read the full article here: http://www.financialplanningforcanadians.ca/financial-planning/women-most-likely-to-lose-sleep-over-money-worries

According to a new national study conducted on behalf of the Financial Planning Standards Council (FPSC), women are significantly more likely than men to lose sleep over financial worries. While the study found that 42 per cent of Canadians (excluding Quebecers) rank money as their greatest stress, 51 per cent of women, versus 40 per cent of men, are more likely to stay awake at night mulling over their financial woes.
Health Canada places long-term stress on issues such as financial problems as a major contributor to adverse health complications. These can range from heart disease to mental health issues. Stress is also a risk factor in alcohol and substance abuse, as well as weight loss and gain. Stress has even been identified as a possible risk factor in Alzheimer’s disease.
According to financial author Kelley Keehn, there’s good reason to believe women are bearing the greater share of these health burdens. Women, she explains, have begun to take the lead in managing household finances.
“Although women have always controlled aspects of family finances, they are forefront more than ever before,” she says. “Women are also earning more, holding an increasing share of jobs and living longer.” (According to research commissioned by Toronto-Dominion Bank, widowed baby boomers outlive their spouses by an average of 16 years.)
- See more at: http://www.financialplanningforcanadians.ca/financial-planning/women-most-likely-to-lose-sleep-over-money-worries#sthash.is5MM6tH.dpuf

According to a new national study conducted on behalf of the Financial Planning Standards Council (FPSC), women are significantly more likely than men to lose sleep over financial worries. While the study found that 42 per cent of Canadians (excluding Quebecers) rank money as their greatest stress, 51 per cent of women, versus 40 per cent of men, are more likely to stay awake at night mulling over their financial woes.
Health Canada places long-term stress on issues such as financial problems as a major contributor to adverse health complications. These can range from heart disease to mental health issues. Stress is also a risk factor in alcohol and substance abuse, as well as weight loss and gain. Stress has even been identified as a possible risk factor in Alzheimer’s disease.
According to financial author Kelley Keehn, there’s good reason to believe women are bearing the greater share of these health burdens. Women, she explains, have begun to take the lead in managing household finances.
“Although women have always controlled aspects of family finances, they are forefront more than ever before,” she says. “Women are also earning more, holding an increasing share of jobs and living longer.” (According to research commissioned by Toronto-Dominion Bank, widowed baby boomers outlive their spouses by an average of 16 years.)
- See more at: http://www.financialplanningforcanadians.ca/financial-planning/women-most-likely-to-lose-sleep-over-money-worries#sthash.is5MM6tH.dpuf

Expert Committee Recommendations Have Potential for Increased Consumer Protection in Ontario

Did you know that anyone in Canada, outside of the province of Quebec, can call themselves a financial planner?  Cary List, President, and CEO of the Financial Planning Standards Council and their team have been working diligently to change that.

Yesterday's Expert Committee Recommendations support a number of actions the FPSC has been calling for to better protect Canadians.  Two notable recommendations are title restrictions (who can call themselves a financial planner) and a unified set of financial planning standards, including a standard which ensure that the client's interests come before all others.

Read the full press release here: http://www.fpsc.ca/alerts-updates/2016/04/05/expert-committee-recommendations-have-potential-for-increased-consumer-protection-in-ontario