GICs: Safety more important than rates

Almost half of Canadians (44%) who hold GICs—or would consider holding them—rank safety of their investments as more important than getting the highest interest rates (32%), finds an RBC poll.

Read: Is dollar-cost averaging smart?

“We also found that most Canadians are taking a long-term view of their GIC investments, with 65% saying that, when deciding to purchase a GIC, having the flexibility to cash in their GICs before their maturity date was the least important consideration,” says Rosalyn Kent, head, GICs and Savings, RBC.

Read: Deconstructing wealth

Today’s investors are interested in increased benefits and flexibility, such as:

• GICs that offer an interest rate that increases every year (80%)
• GICs that provide a regular income (70%)
• GICs that are linked to the stock market (65%)

Read: Making money in softer markets

Read: Top 5 things clients need to know

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.