Canada’s funds industry—the financial sector devoted to managing mutual funds and exchange-traded funds—has more than doubled in size since 2006. It made $30.6 billion in 2018. What does this mean for Canada’s economy?
As the first of a two-part series, this issue briefing puts the economic shape and size of the funds industry into focus. It detangles the industry’s direct and indirect contributions to Canada’s economy. It also examines how each dollar of revenue from the industry flows into the hands of workers, businesses, and governments. It includes estimates of the number of jobs supported by the funds industry as well as additional price and market variables, allowing readers to gain an understanding of how the industry fits into the broader Canadian economic picture.
The second briefing in this series will examine how financial advice affects Canadians’ savings behaviour and its impact on their retirement.