Ten members of the Task Force held a second day of public consultations in a sunny and bright Ottawa Thursday, all – even representatives from the west and Toronto – invigorated by the triumph of Les Canadiens the night before.
The improving disclosure practices of the investment business were addressed by Charles Sims, Mackenzie Financial CEO, who said an industry working group is developing “a two page disclosure in simple, plain language (that addresses) how the risk profile should fit into (investors’) thought processes.”
Presenter Margot MacPherson Brewer advocated that “women’s experiences should be integrated into the Task Force’s recommendations.” She said “all women need to take responsibility for their own financial independence,” and need knowledge and support to do so.
Entraide budgétaire Ottawa (http://www.ebottawa.org/) – which provides counseling to middle and low income earners – echoed this theme, Hélène Ménard noting that, “we encourage people to come in as a couple; very few do…the burden for budget management in the family is often on the woman.”
Option Consommateurs (http://www.option-consommateurs.org ), a non-profit association that promotes consumer rights, made 15 thought-provoking recommendations, including establishing a national financial literacy coordination office with its website offering plain language tools for consumers.
Additional important social context was provided by Ken Georgetti, Canadian Labour Congress President, who expressed disappointment in “the stagnation of wages” experienced by most Canadians. “Canadians are not saving as much because they can’t afford to save,” he said. Mr. Georgetti also criticized the heavy advertising by financial institutions, saying it persuades people that, “you have to give your money to somebody else (to manage) because you’re not smart enough to do it yourself.”
After Wednesday’s public sessions, the Task Force had an opportunity to provide an informal update to the Minister of Finance, to whom we report, on some of the broader themes emerging across Canada. A more comprehensive report on our consultations will be provided to the Minister this summer. Minister Flaherty reiterated to us the importance of our work in strengthening the national fabric.
The Task Force will conclude its public, in-person consultations when two of its members convene in Iqaluit on May 27.
Don Stewart
Chair of the Task Force on Financial Literacy
