Equity markets are an integral component of wealth building, but how many people actually put money into the stock market? To find out the overall adoption rate of equities and the use of online stock trading platforms, Finder surveyed more than 23,650 investors across 16 countries.
The results of the Finder: World Stock Market Statistics survey offers insight into investor confidence, the adoption of technology and products, and provides a demographic breakdown of who invests using the stock market.
How Canadian investors rank globally on share trading
According to Finder: World Stock Market Statistics survey results, Canadian investors rank sixth out of 16 countries when it comes to the percentage of investors using equities, with 39% saying they currently own stocks.
Of the investors who own stock, 34% bought shares in just the last 12 months, while another 6% admitted to holding equities in their investment portfolio, but had not bought or sold stock within the last year. Another 20% of investors are expected to trade stock by the end of 2021.
How much do Canadians invest in the stock market?
While 41% of Canadians surveyed said they don’t invest using the stock market, the bulk of investors who invest in equities will typically invest $2,000 or less.
Men are more likely to invest than women
Around 47% of men currently own shares compared to 31% of women. By the end of the year, we’ll see an additional 21% of men and 18% of women buy shares.
Interestingly, men are much more likely than women to have invested more than $15,000, with 10% of men saying they did so compared to just 4% of women.
Generation X investors lead the pack
People between the ages of 45 and 54 (Gen X) are most likely to own shares, with 47% currently trading in equities and an additional 15% expected to purchase shares by the end of 2021.
Turns out Gen X investors are also more likely to invest large sums, with 14% of Gen X investors committing to equity portfolios worth $15,000 or more.
How does Canada compare to other countries?
At the time of the study, an average of 34% of those surveyed said they currently owned shares. Hong Kong investors led the way, with approximately 57% of adults owning shares. An additional 20% of Hong Kong adults are expected to buy shares by the end of 2021.
Singapore is not too far behind Hong Kong, with 53% reporting that they own shares and an additional 18% expected to buy shares by the end of the year. Rounding out the top three is the US, where 47% say they currently have investments in the stock market and an additional 15% say they will invest by the end of the year.
At the other end of the investing spectrum is Mexico, where just 13% say they currently have investments. However, by the end of the year, an additional 27% of Mexicans expect to invest.
It’s a similar story with Spain, with only 18% saying they have currently invested. When asked about their plans for investments by the end of 2021, an additional 17% reported that they plan to purchase shares.
How many Canadians use online stock trading apps?
Almost half (40%) of Canadian investors use a stock trading app, according to survey results.This equates to approximately 12.3 million Canadian investors who trade stocks using an online platform.
According to Finder: World Stock Market Statistics survey results, the most popular online trading app in Canada is TD Direct Investing. , followed by RBC Direct Investing and Wealthsimple Trade.
The investing gender gap
Just shy of half (49%) of men surveyed say they use an investing app, compared to less than a third (30%) of women.
The top investment platform for both genders is TD Direct Investing. After that, it appears men prefer Wealthsimple Trade, while women prefer RBC Direct Investing.
Millennials are quicker to adopt stock trading apps
Based on survey results, millennials appear to lead the way when it comes to the adoption of stock trading apps, with 53% using a mobile trading app in order to invest. Turns out baby boomers were also eager to adopt technology when it came to stock trading, with 42% currently using a mobile trading app.
As for preference, TD Direct Investing and Wealthsimple Trade are the most popular with most age groups.
About Finder
Finder is a personal finance comparison site with a mission to help Canadians save, invest, spend wisely and grow their wealth. Each month, Finder provides half a million Canadians – and more than five million globally – with independent and trustworthy financial information. Our goal is to help people make better financial decisions by providing objective, comparative insight on thousands of products and services.
As a global fintech website and app, Finder provides consumers free access to smart money content. Whether it's expert insight, product or service comparisons or independent reviews, Finder helps consumers stay on top of their finances while saving time and money.
Finder is available to consumers in Canada, Australia, America and the United Kingdom. Initially launched in 2006 by three Australians – Fred Schebesta, Frank Restuccia and Jeremy Cabral – Finder's global reach now includes thousands of products and services in hundreds of financial categories and provides expert content and independent reviews to more than five million users each month.
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