Canadians Say Lion's Share of Retirement Savings on
Their Own Shoulders

Toronto, ON - Canadians believe that they themselves are primarily responsible for ensuring they are financially secure in retirement, according to the quarterly RBC Canadian Consumer Outlook Index conducted by Ipsos Reid. On average, Canadians say that their share of the responsibility for ensuring they have a financially secure retirement is 59%, with the rest of the pie being divvied up and shared among the government (19%), their employer (10%), another family member (8%) or their financial advisor (5%).

Canadians are doing a number of things to ensure that they've got a financially secure retirement. One in three (34%) save a regular amount of money from each pay cheque, while one quarter (23%) have a financial advisor who helps them manage their money. Others educate themselves about investment options regularly (23%), get professional financial advice (19%), or have a written retirement plan that they obtained from a third-party professional (8%).

Despite most acknowledging that they're responsible for the bulk of their own retirement security, one in three (32%) Canadians admit that they're not doing any of these things. However, just one in ten (13%) `agree' (3% strongly/10% somewhat) that they are too young to think about retirement.

Thinking about all of the retirement savings available to them, including RRSPs, TFSAs, DCPs, DBPs and PRPPs, just one quarter (25%) of Canadians say they have enough retirement savings options to secure their retirement. Most (54%) say that they don't have enough money to use all of the savings options available to them, and 15% are overwhelmed, saying that there are too many options to make a clear decision. One in ten (6%) have enough money to use all the options but prefer to put it all in one vehicle like RRSPs.

Overall, just one in three (36%) Canadians are confident that they will have enough money to have a secure retirement, while a similar proportion (37%) worries that they won't have enough money to have a financially secure retirement. One quarter (26%) of Canadians know that they'll have to work after they turn 65 to make enough money to live. Furthermore, more people think that they are going to be worse off (35%) than better off (27%) in retirement than their parents are or were in retirement. Four in ten (37%) think they'll be about the same, financially, as their parents in retirement.

Perceptions of Economy Stagnant...

Canadians perceive no real movement in the state of the economy in the second quarter compared to the first quarter of the year, but attitudes are considerably more negative than at this stage last year. Nationally, the overall index is flat at 79 points, well off the 108 points from this time last year, but unchanged since last quarter. The current conditions index is up 5 points to 94 (down from 108 year over year), the expectations index slid 2 points to 61 (down from 86 year over year), and the investment index is flat at 83 (down from 112 a year ago).

A slim majority (54%) of Canadians say that the overall state of the economy is `good', down 4 points since last quarter and 11 points since this time last year. Job anxiety is also flat since January of this year, with 21% of Canadians saying that they or someone in their household is worried about losing their job or being laid off. Job anxiety is highest in Ontario (25%) and British Columbia (24%), followed by those living in Quebec (20%), Atlantic Canada (19%), Alberta (15%) and Saskatchewan and Manitoba (10%).

Expectations for a stronger economy are not common. Looking ahead to the next three months, more Canadians think that the economy will worsen (31%) than improve (18%). Even looking ahead to the next year, more believe the economy will worsen (33%) than improve (30%).

Reflecting on their personal financial situation, the picture is slightly more positive. Still, in the next three months, the same proportion expects their situation to improve (23%) as worsen (24%), but over the next year more expect their own situation to improve (34%) rather than worsen (23%).

A majority (52%) of Canadians are continuing to delay major purchases, while just two in ten (20%) plan to spend more this year compared to four in ten (44%) who say they'll control their spending and spend less this year than last on major purchases such as buying a car or household appliance, vacation, etc. A majority (53%), up 8 points since last quarter, believe that interest rates will rise within the next six months.

These are some of the findings of an Ipsos Reid poll conducted from April 2 to 9, 2012, on behalf of RBC. For this survey, a sample of 3,398 adults from Ipsos' Canadian online panel was interviewed online. Weighting was then employed to balance demographics and political composition to ensure that the sample's composition reflects that of the adult population according to Census data and to provide results intended to approximate the sample universe. A survey with an unweighted probability sample of this size and a 100% response rate would have an estimated margin of error of +/-1.7 percentage points, 19 times out of 20, of what the results would have been had the entire population of adults in Canada been polled. All sample surveys and polls may be subject to other sources of error, including, but not limited to coverage error, and measurement error.

For more information on this news release, please contact:

Sean Simpson
Associate Vice President
Ipsos Reid
Public Affairs
416.572.4474
[email protected]

About Ipsos Reid

Ipsos Reid is Canada's market intelligence leader, the country's leading provider of public opinion research, and research partner for loyalty and forecasting and modelling insights. With operations in eight cities, Ipsos Reid employs more than 600 research professionals and support staff in Canada. The company has the biggest network of telephone call centres in the country, as well as the largest pre-recruited household and online panels. Ipsos Reid's marketing research and public affairs practices offer the premier suite of research vehicles in Canada, all of which provide clients with actionable and relevant information. Staffed with seasoned research consultants with extensive industry-specific backgrounds, Ipsos Reid offers syndicated information or custom solutions across key sectors of the Canadian economy, including consumer packaged goods, financial services, automotive, retail, and technology & telecommunications. Ipsos Reid is an Ipsos company, a leading global survey-based market research group.

To learn more, please visit www.ipsos.ca.

About Ipsos

Ipsos is an independent market research company controlled and managed by research professionals. Founded in France in 1975, Ipsos has grown into a worldwide research group with a strong presence in all key markets. In October 2011 Ipsos completed the acquisition of Synovate. The combination forms the world's third largest market research company.

With offices in 84 countries, Ipsos delivers insightful expertise across six research specializations: advertising, customer loyalty, marketing, media, public affairs research, and survey management.

Ipsos researchers assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media and they measure public opinion around the globe.

Ipsos has been listed on the Paris Stock Exchange since 1999 and generated global revenues of e1,363 billion (1.897 billion USD) in 2011.

Visit www.ipsos-na.com to learn more about Ipsos' offerings and capabilities.