Affordability top of mind for Canadians working to build savings and investments

TORONTO, Nov. 26, 2012 /CNW/ - According to a recent Scotiabank poll, the majority of Canadians cited lack of affordability as the primary challenge to building their savings. However, more Canadians are moving in the right direction with 53 per cent taking steps toward 'paying themselves first' by automatically putting money toward savings or investments (vs. 44 per cent in 2011). And, while 28 per cent of Canadians admit to getting a late start on their investing, over half (55 per cent) report they regularly add to their investments. Additional findings on investors' mindset on saving and investing include:

• Fifty-nine per cent of Canadians agree they have a very good understanding of the amount they need to save to fund their desired retirement lifestyle (vs. 54 per cent in 2011).
• More than half of Canadians (54 per cent) are contributing at least monthly to their savings and investments - unchanged from 2011.
• Thirty-eight per cent of Canadians cited lack of funds as the most common reason for not having money automatically transferred.

"We know that every customer's finances are unique and require a saving or investing plan tailored to work for each specific situation," said Mike Henry, Senior Vice-President of Retail Payments, Deposits and Lending at Scotiabank. "Affordability is clearly on the minds of Canadians, and our financial advisors are here to help build an individualized plan that takes that into account, ensuring that each plan is goal-focussed and achievable. It's important to grab every savings opportunity and remember that even small contributions can help move you toward your goals."

About the polling data
The Scotiabank Mega Poll was conducted through Harris/Decima's telephone omnibus, teleVox from June 18 through 28, 2012.  A total of 2,013 surveys were conducted nationally with Canadian respondents 18 plus years of age.

About Scotiabank
Scotiabank is one of North America's premier financial institutions and Canada's most international bank. With more than 81,000 employees, Scotiabank and its affiliates serve some 19 million customers in more than 55 countries around the world. Scotiabank offers a broad range of products and services including personal, commercial, corporate and investment banking. With assets of $670 billion (as at July 31, 2012), Scotiabank trades on the Toronto (BNS) and New York Exchanges (BNS). For more information please visit www.scotiabank.com.

Did you know? November is Financial Literacy Month, to learn about Scotiabank's Financial Literacy Strategy please read the related press release on the Scotiabank Newsroom at www.scotiabank.com.

BACKGROUNDER: Canadian Mindset on Saving and Investing

• Men (65 per cent) are more likely than women (54 per cent) to feel they have a good understanding of what they require to fund their desired retirement lifestyle.
  
  
• Manitoba/Saskatchewan residents and Albertans are more likely than Ontarians to admit to a later start to investing but now regularly add to their investments (34 per cent each vs. 26 per cent).
  
  
• While 28 per cent of Canadians had a late start investing, they now regularly add to their investments.
  
  
• Men (31 per cent) are more likely than women (22 per cent) to say they began saving at an early age and continue to regularly add to their investments.
  
  
• Women (67 per cent) are more likely than men (60 per cent) to cite lack of affordability as the main barrier to increasing their savings. Older Canadians (age 55+) are least likely to cite this barrier (47 per cent).
  
  
• Atlantic Canadians (69 per cent) are more likely than Albertans (57 per cent) to indicate lack of affordability while older Canadians (age 55+) are most likely to say they are saving enough already (32 per cent).
  
  
• Quebec residents are (57 per cent) are more likely than Ontarians (51 per cent) and British Columbians (47 per cent) to say they pay themselves first by automatically putting money into their savings or investments.
  
  
• Men are significantly more likely than women to be paying themselves first (56 per cent vs. 49 per cent).
  
  
• Albertans are more likely than nearly all others to be diligent with the frequency of contributing to savings/investments, with two-thirds (67 per cent) making at least monthly contributions.

SOURCE: Scotiabank