Wealth Professional - This one acronym confuses Canadians more than their mortgage

A lack of financial education is costing the average Canadian household between $1,997 and $5,410 annually, according to a report by BrokerChooser.

The forex broker firm analysed search data across 53 financial terms and found that 64 percent of Canadians did not receive any financial literacy education in school and are now trying to fill the gap on their own.

Although this generation has widespread access to financial content—from blogs to social media influencers—only 33 percent of them turn to these sources for financial education, according to a Spruce survey.

Bloomberg noted that the volume of conflicting and sometimes misleading information may be contributing to financial misinformation and confusion.

Wealth Professional highlighted several efforts by advisors and institutions to address this gap. Like the charitable allowance. Quoted in the article, John Bromley, CEO of Charitable Impact, described a “charitable allowance” initiative that allows parents and grandparents to give children money earmarked for donations through donor-advised funds (DAFs).

Read the full article here to know more and to find out what the acronym is.