I Want to Build Wealth… Do I Really Need an Advisor?

Let’s face it, building wealth isn’t just about stashing away loonies under your mattress. In Canada, where the financial landscape is as dynamic as the four seasons, navigating investments, taxes, and retirement plans can feel like a maze. That’s where honest, personalized advice comes in, and it’s a true game-changer for women looking to make bold money moves.

Still skeptical? You’re not alone. Many Canadians try to wing it, only to realize later that a little guidance could have saved them thousands, or even set them up for a richer future. So, let’s dig into why advice is necessary when building wealth, and practical tips you can start using today.

1. The Power of Professional Guidance

Imagine setting out on a cross-country road trip with no GPS, just vibes. You might eventually get to your destination, but you’ll probably hit a few potholes—and maybe even end up in the wrong town! The same goes for your financial journey. Professional advice acts as your GPS, helping you:

• Avoid costly detours (think: unnecessary taxes or underperforming investments)

• Set clear, achievable financial goals

• Navigate life transitions, from buying your first home to planning your retirement

And here’s a stat that might surprise you: According to the Investment Funds Institute of Canada, Canadians who work with a financial advisor accumulate almost 2.7 times more assets after 15 years compared to those who go it alone. That’s like doubling your financial road trip snacks—without the extra effort!

2. The Wealth Gap & Advice

There’s a growing wealth gap among Canadians, and it particularly impacts women and people of color.

• Only 22% of Canadian women feel “very confident” in making financial decisions (RBC 2023).

• Women are 80% more likely to leave financial planning to their partner (CIBC, 2022).

• Households with a financial advisor have 2.73 times the net worth of those without, over a 15-year period (IFIC, 2022).

So, why the gap? Much of it comes down to access—access to reliable, relevant advice that resonates with your lived experience. When you’re juggling career, family, and community, having someone in your corner who understands your goals (and your barriers) is priceless.

3. Emotional Support & Accountability

Let’s be real: money is emotional. It’s tied to our sense of security, our dreams for our kids, and even our self-worth. Ever felt that twinge of guilt after a late-night online shopping spree? Or anxiety when market headlines flash “correction” or “recession”?

A great advisor doesn’t just crunch numbers—they hold your hand when you’re nervous and give you a gentle nudge when you need to stay on track. Studies show that Canadians who work with advisors are more likely to stick to their financial plans and feel confident during market downturns. That peace of mind? Worth its weight in gold.

Common Wealth-Building Pitfalls

Without the right advice, even the best-intentioned women can stumble into these common traps:

1. Not Investing Early or Often Enough
A whopping 32% of Canadians say they wish they’d started investing sooner (BMO, 2023). Time in the market beats timing the market, but too many wait for the “perfect moment.”

2. Overpaying in Fees & Taxes
Without expert advice, it’s easy to overlook tax credits and deductions you qualify for, or to miss the optimal way to split income or invest. Did you know that the average Canadian overpays hundreds, sometimes thousands, in taxes each year simply due to lack of planning? Ouch.

3. Underestimating Retirement Needs
With longevity on the rise, many women underestimate how much they’ll need in their golden years. According to Statistics Canada, the average Canadian woman now lives to age 84. That’s a long time to fund!

4. Ignoring Insurance & Risk Management
Life happens—illness, job loss, or even a global pandemic. Yet, 40% of Canadians don’t have adequate life or disability insurance. An advisor helps you safeguard your wealth against life’s curveballs.

5. Letting Emotions Drive Decisions
Markets go up, markets go down. The average DIY investor underperforms the market by nearly 3% per year—often because they panic and sell at the wrong time (Dalbar, 2022).

Real Talk: How Advice Empowers Canadian Women

Let’s put some real faces to these numbers. Picture a woman—let’s call her Maya—living in Toronto, juggling a six-figure career, two kids, and dreams of early retirement. She’s smart, driven, and motivated, but finances feel overwhelming. Without advice, Maya might:

• Leave cash sitting in a low-interest savings account

• Miss out on tax credits and investment opportunities

• Struggle to balance family priorities with long-term goals

But after connecting with a financial advisor who understands her unique needs, Maya:

• Builds a diversified investment portfolio tailored to her goals

• Maximizes her RRSP and TFSA contributions

• Puts a plan in place to protect her family with the right insurance

• Gains confidence and clarity, so she can focus on what matters most

And the best part? Maya’s not alone. A 2023 survey found that 84% of Canadians with financial advisors say they feel “optimistic” or “confident” about their financial future, compared to just 67% of those without.

When Should You Seek Advice?

Wondering if it’s “too soon” or “too late” to get advice? Spoiler alert: It’s never too early—or too late! Here’s when it really pays off:

1. Starting Your Career: Lay a rock-solid foundation from day one.

2. Major Life Events: New job, marriage, home purchase, or kids? Each shift is a chance to fine-tune your plan.

3. Inheritance or Windfall: Don’t let sudden money slip through your fingers.

4. Planning for Retirement: The earlier you start, the smoother the ride.

5. Facing Debt or Financial Stress: Tackle challenges head-on with a pro in your corner.

Even if you’re already on the path, a second opinion never hurts. Sometimes, it’s just the fresh perspective you need to level up.

Conclusion

When it comes to building generational wealth, advice isn’t a luxury—it’s a necessity. Statistics don’t lie: women who work with trusted advisors not only build more wealth, but also enjoy greater confidence and peace of mind along the way. Don’t let uncertainty or overwhelm hold you back from making your money work for you.

Ready to make your next money move? Seek out advice that feels right for you, and watch your financial future unfold—one smart step at a time. Ladies, the future is bright, and it’s yours for the taking. 💫