Canada became the strongest G7 economy in 2017 with GDP growth at 3%, having weathered the oil price crisis of the past two years. This in turn influenced growth in the country's wealth market in 2017. The future outlook however, is that the pace of economic and wealth market growth will reduce due to geopolitical risks, and increasing interest rates affecting consumer spending.
This report analyzes the Canadian wealth and retail savings and investments markets, with a focus on the HNW segment. The report is based on our proprietary datasets.
Specifically the report -
- Sizes the affluent market (both by the number of individuals and value of their assets) using GlobalData's proprietary datasets
- Examines HNW clients' attitudes towards non-liquid asset classes, such as property and offshore investments
- Analyzes which asset classes are favored by Canadian investors and how their preferences impact the growth of the total savings and investments market
- Evaluates the size of the retail non-resident (offshore) market in Canada and foreign investors' preferences.
- Affluent individuals held just under 80% of Canada's total liquid assets at the end of 2017.
- HNW individuals account for less than 1% of the total population, but hold over a quarter of the country's wealth.
- Mutual funds have overtaken deposits, with the largest share of Canadian retail investor portfolios at 41%. This is mainly driven by balanced funds, as investors embrace the benefits of diversification.
- Rising interest rates have slowed the rate of growth in deposits as consumers have had to spend more servicing debt; however, the hikes influenced the inflow of new money into bond holdings.
- The non-resident investments market in Canada is small, but reached an all-time high in 2017. Equities remain the largest offshore investment asset class.
Reasons to buy
- Benchmark your share of the Canadian wealth market against the current market size
- Forecast your future growth prospects using our projections for the market to 2022
- Identify your most promising client segment by analyzing the penetration of affluent individuals in Canada
- Evaluate your HNW proposition by understanding how economic and political changes affect your HNW clients
- Review your offshore strategy and offering for non-resident investors by learning about the dynamics in these markets.