The Rational Reminder Podcast

Episode 272: Rob Carrick: Canadian Personal Finance in 2023

Sep 28, 2023

Canadian Personal Finance expert, Rob Carrick, discusses the issues at the forefront of Canadian readers' lives, the increasing investment in conservative interest-paying investments, challenges and alternatives in home ownership, adjustments in retirement, healthcare costs, dental expenses, and parental financial support. The chapter also explores the effectiveness of podcasts in delivering financial information to young people.

53:22

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Episode guests

Rob Carrick

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Quick takeaways

Retirees face challenges in adjusting to retirement, including finding meaningful activities and dealing with a loss of identity and status.

Housing affordability is a major concern for Canadians, leading to a shift in expectations and a willingness to consider alternative housing options.

Many Canadians are investing in low-yielding investments like GICs for stability, but experts caution that this approach may not be sustainable in the long term.

Deep dives

Financial challenges of retirees

Retirees often face challenges in adjusting to retirement, especially in terms of finding meaningful activities to fill their time and adjusting to a loss of identity and status from their work lives.

Introduction

4min

The Influx of Money into Conservative Investments in Canada

16min

Exploring the Challenges and Alternatives in Home Ownership

18min

Challenges and Adjustments in Retirement

2min

Healthcare Costs, Dental Expenses, and Financial Support for Adult Children

2min

Parental Financial Support

8min

Delivering Financial Information to Young People through Podcasts

4min

In this episode, we welcome back one of Canada's most trusted and widely read financial experts to discuss the state of Canadian personal finance. Rob Carrick is a columnist for The Globe and Mail, where he has brought his boots-on-the-ground perspective to readers for more than 20 years. He also co-hosts the Stress Test Podcast, where regular Canadians offer real-life perspectives on the biggest stress tests that their personal finances face in the wake of COVID-19. Tuning in, you’ll find out which issues are at the forefront of Rob’s readers’ lives. Next, he shares his perspective on GICs and ETFs and draws a comparison between affordable housing today and the mutual fund market of 20 to 30 years ago. We talk about the lack of comprehensive advice that Canadians are receiving from their planners, the state of affordable housing in the country, and why so many Canadians say they are giving up on home ownership altogether. We also compare housing returns to the stock market and discuss successfully using a reverse mortgage, the non-financial challenges faced by retirees, and more. For a comprehensive overview of the state of personal finance in Canada (and some practical advice for protecting yourself and prospering in a challenging economy), don’t miss today’s episode!

Key Points From This Episode:

(0:00:19) Introducing today’s returning guest, Rob Carrick.

(0:02:38) Issues at the forefront of Rob’s readers’ lives today.

(0:04:02) His perspective on GICs, ETFs, and simplification.

(0:09:33) Comparing today’s EFT Market with the mutual fund market of 20 to 30 years ago.

(0:15:24) The lack of comprehensive advice Canadians are receiving from their planners.

(0:20:03) Rob’s perspective on affordable housing, as outlined in his Globe and Mail article.

(0:24:52) Why a growing number of adults continue to live with their parents into adulthood.

(0:28:48) Reasons that many Canadians say they are “giving up on home ownership.”

(0:31:44) Housing returns in comparison to the stock market.

(0:35:13) Successfully using a reverse mortgage.

(0:37:28) Some of the non-financial challenges faced by retirees.