(NC)-One thing in life is certain – and it is that there will always be unexpected things that pop up. They can be positive (marriage, new child, promotion, inheritance from a long-lost relative) or negative (job loss, death, divorce) and often have significant financial implications. Women are often the most impacted by life’s unexpected events. According to research conducted for TD’s Women Investor Strategy, nine out of 10 Canadian women will be the sole decision-maker concerning their finances at some point in their lives.
Although such life events may be unavoidable, there are steps women can take so they’re prepared financially and more equipped to manage any surprises.
“While you can’t predict the future, and the unexpected is – unexpected – being proactive can help you prepare yourself financially for unforeseen events,” says Sandy Cimoroni, President, TD Mutual Funds and head of TD’s Women Investor Strategy. “The best way to be prepared is to have a written, comprehensive financial plan that includes an emergency savings fund.”
According to a recent poll by TD Waterhouse, more than half (53%) of Canadian women agree that there are differences in the way women and men approach investing and working with an advisor. Cimoroni provides tips for some things for women to keep in mind when thinking about their financial plan:
• Understand your family finances – it’s essential for women, whether married, single, a parent, grandparent or otherwise, to understand their family finances (bank accounts and approximate balances, investments, financial strategy, etc.) so that if necessary, they can continue to manage, or take control, of their family’s finances.
• Plan for the unexpected – ensure that if something happens, such as an unexpected expense (car repair, home renovation), significant illness or job loss, you have an emergency savings fund to cover your expenses (a general rule is to have the value of three to six months’ of regular expenses set aside).
• Work with an advisor – compared to men, women often seek more education and market information when making financial decisions. Pros can help you better navigate your life and financial goals, and they should also be committed to investing time to educate you about the options available.
“What’s most important is feeling confident that your future is financially secure,” Cimoroni adds.