This web site is dedicated to investment fund investor education and protection. The multi-billion fund industry plays a key role in the savings and retirement plans of millions of Canadians. Many industry practices provide beartraps for the unsuspecting investor and securities regulations have not kept up with the pace of change in the industry.
Thursday, May 1, 2014
IIAC Report on Seniors
The report identifies why it is important for investment dealers and advisors to remain vigilant when dealing with their senior clients. These factors include:
With few exceptions, seniors have limited ability to replenish capital losses through future income from other sources;
Extra caution needs to be exercised when dealing with seniors engaged in higher risk investments or strategies, or who deplete capital through withdrawals that exceed returns;
Unrealistic client expectations for investment income which is inconsistent with a low risk tolerance;
Senior clients’ fears and uncertainty about their future financial situation and life circumstances can be strong behavioural influences in their investment activities; and
Seniors are more susceptible to physical (e.g. hearing, vision) and cognitive (e.g. memory, context) impairments which need to be accommodated.