Don't let fear get in your way, because it's never too late, or too early, to start investing.
At a time when many Canadians are concerned about their financial future, it's important to remember you don't need to be a financial expert or have millions of dollars to invest to begin your investing journey, according to Alex Lu, a TD Branch Manager in Burnaby, B.C.
"Almost any amount that helps a customer start saving can be the right amount," Lu said.
"At TD, our personal bankers are here to help our customers with their financial goals, whether they are to save for a down payment, a vacation, or any other large or small purchase. But before the journey starts, our first job is to understand their unique personal needs and financial circumstances."
This is especially important at a time when many Canadians are more worried about getting through the next year than looking after their long-term investment future.
According to a survey conducted by Maru Public Opinion in October 2023 on behalf of TD, almost half of Canadians surveyed (47%) have not made, or were not planning to make contributions to their investments in 2023. More than 70% of respondents cited a high cost of living and inflation as a challenge that made accomplishing their financial goals more difficult in the past year. When it comes to financial planning, the survey also found that 47% of Canadians do not feel confident in their level of investment knowledge.
At the same time, 54% of Canadian respondents have not established a personalized financial plan in the past year tailored to their goals. Among those without a personalized financial plan, 38% would feel more confident in their ability to reach their financial goals if they had one.
Starting your investing journey at TD
At TD, an in-branch Personal Banker can help you get started on your investing journey with guaranteed investment certificates (GICs) and mutual funds. A TD Personal Banker can also help you choose these types of investments for your Registered Retirement Savings Plan (RRSP), Tax-Free Savings Account (TFSA), First Home Savings Account (FHSA), or your child's Registered Education Savings Plan (RESP).
Personal Banker can also use TD Goal Builder to provide customized investment advice to help customers work toward their financial goals.
However, if you've been thinking about furthering your investment journey by investing in products like stocks and bonds, you could consider handling your investments on your own through a self-directed investment account through TD Direct Investing.
In-branch, Lu and his colleagues focus on GICs and mutual funds.
What are GICs?
GICs offer a guaranteed rate of return over a fixed period of time. To learn more about GICs at TD, please visit TD.com.
What are mutuals funds?
Mutual funds pool money from a number of individual investors and use that money to buy securities – such as stocks and bonds. Mutual funds can be a good option for customers looking to diversify their investments. To learn more about mutual funds at TD, please visit TD.com.
How much money do you need to start investing?
In the current environment, amidst high inflation, high interest rates and continued talks of a possible recession, Lu knows his customers are often concerned that they need a lot of money to start.
But the good news is that customers don’t need a lot of money to begin their investing journey. At TD, one way customers can start setting aside some money for investing is by setting up automatic transfers from their TD chequing account to a TD savings account. You can also set up automatic transfers to a registered plan, like a TFSA or RRSP, provided you comply with maximum contribution limits that may apply.
"Setting up automatic transfers is one good way to help you build your savings habit," he said
At TD, there are three types of automated savings tools to choose from:
TD Pre-authorized Purchase Plan
A TD Pre-authorized Purchase Plan lets you automatically invest in TD Mutual Funds on a pre-determined schedule: weekly, biweekly, monthly, quarterly, semi-annually, or annually.
You can invest as little as $25 per transaction.
It's free to set up and you can make changes to the amount – and frequency - of your plan whenever you'd like. There are no set-up or change fees for purchases.
TD Pre-authorized Transfer Service
Automate transfers from your TD chequing account to your TD savings account on a predetermined schedule that works best for you (daily, weekly or monthly).
There are no set-up fees for this service
TD will not process a pre-authorized transfer if there isn't enough money in your chequing account to cover it.
TD Simply Save Program
Save every time you use your TD Access Card for debit purchases or ATM withdrawals, or both
You can transfer $0.50-$5 per debit or ATM withdrawal transaction (you choose the amount when you set up the program) and the money goes from your TD chequing account to your TD savings account.
TD will not process a Simply Save transfer if there isn't enough money in your chequing account to cover it.
It's free to set up.
To learn more about automated savings tools at TD, please visit TD.com.
This Maru Public Opinion survey was conducted on behalf of the TD Bank Group and undertaken by the sample and data collection experts at Maru/Blue. From October 23-24, 2023, the online survey ran among 1,524 randomly selected Canadian adults who are Maru Voice Canada panelists. The findings are weighted to reflect the Canadian population and a comparative probability sample of this size has an estimated margin of error (which measures sampling variability) of ±2.6%, 19 times out of 20.