Reflections from Fig FinTalk and Canada’s Financial Fitness Journey
November is Financial Literacy Month, a time to celebrate progress, address challenges, and refocus on the financial well-being of Canadians. On November 5th, I had the honor of opening the sessions at Fig FinTalk, thanks to Monisha Sharma’s kind invitation. Together, we explored insights drawn from various studies on Canadians’ financial literacy, fintech adoption, and fraud concerns—discussing how these factors shape the financial health of individuals across generations and demographics.
These conversations aligned with broader themes uncovered in national research, such as the Financial Fitness Index and other studies by Environics Research. Here’s what we learned—and why it matters.
A Decade of Progress in Financial Knowledge
The Fig Barometer revealed that one-third of Canadians still don’t know their credit score, but this marks significant improvement from a decade ago when 56% were unaware. Millennials are leading this shift, with 76% knowing their scores. Yet, gender disparities persist: 37% of women compared to 29% of men remain unaware of their credit scores, and women also report lower confidence in their financial knowledge (31% vs. 49% for men).
As Monisha and I discussed, this confidence gap is not due to a lack of financial knowledge. In fact, studies consistently show that women’s financial acumen often matches or exceeds men’s. Bridging this confidence gap remains a key challenge in empowering Canadians.
Social Values in FinTech Adoption: Enthusiastic vs. Anxious
At Fig FinTalk, I shared findings from Environics Research’s FinTech Segmentation, which categorizes Canadians based on their attitudes toward technology:
- FinTech Segment #1: Enthusiastic Experimenters love tech and thrive on innovation (Enthusiasm for New Technology), open-mindedness (Pursuit of Novelty), and creativity (Pursuit of Originality). These individuals are early adopters of fintech solutions, driving much of the industry’s momentum.
- On the other hand, FinTech Segment #3: Anxious Traditionalists, who make up 29% of the population, approach fintech with caution. They experience high Technology Anxiety, distrust advertising (Skepticism Towards Advertising), and prioritize Control of Privacy. For them, trust and security are critical barriers to adoption.
These segments reveal how diverse values and attitudes shape Canadians’ interactions with fintech. Addressing these differences requires a balanced approach: financial literacy empowers early adopters to maximize their tech-savvy capabilities while building trust and confidence among more hesitant groups. By fostering inclusivity and understanding, we can create a fintech ecosystem that meets Canadians where they are, equipping them with the tools and knowledge to thrive in an increasingly digital financial world.
Generational Perspectives on Fraud and Technology
One of the most thought-provoking discussions at Fig FinTalk centered on generational differences in online fraud concerns. Monisha was intrigued that Gen X (43–58 years old) and Gen Z (12–26 years old) are significantly more worried than Millennials (27-42 years old) in online fraud and asked for my thoughts.
My hypothesis is that Gen X witnessed the birth of the internet at an impressionable age (around 14 years old), navigating a transformative technology with limited precedent. Similarly, Gen Z is encountering AI and deep fakes during their formative years. Both generations learned to critically evaluate new technologies, fostering a cautious approach. Millennials, who grew up during the internet’s growth phase, may feel more comfortable with its risks.
Technology also plays a pivotal role in empowering Canadians. Four out of five now express confidence in managing their finances independently, with Millennials leading the charge—nearly 90% use online tools for banking, payments, and planning. However, concerns about fraud and data privacy remain a barrier, especially for Boomers and the Anxious Traditionalist segment.
This discussion highlights how generational experiences with transformative technologies shape attitudes toward online fraud, emphasizing the need for tailored financial literacy efforts supported by cybersecurity tools. Gen X and Gen Z financial education could focus on foundational skills like recognizing phishing scams, using tools such as password managers, antivirus software and understanding the implications of AI-driven fraud (e.g., deep fakes). Millennials, who are more comfortable with technology, could benefit from advanced workshops on managing digital footprints, using multi-factor authentication, and staying updated on emerging cyber threats. By leveraging these tools and addressing generational nuances, financial literacy empowers Canadians to confidently navigate their financial journeys, build trust in fintech, and safeguard against evolving cyber threats.
Financial Fitness and Mental Health: A Deep Connection
At Environics Research, our exploration of financial fitness began years ago with the Financial Fitness Index, developed with Sagen. A recurring insight has been the struggles of the “Alert” segment—those who feel financially behind and don’t know where to seek help.
This segment disproportionately includes women, younger Canadians, and those with lower income or education. Many report high stress about money (85%), health (49%), and even personal safety (19%). They score high on social values like Anomie (feeling detached) and Fatalism (believing things won’t improve). These challenges are closely tied to mental health, with 60% of this group experiencing regular mental health struggles.
For financial professionals, understanding the mental health connection is crucial. Integrating financial literacy into support strategies enables professionals to empower individuals with the tools and confidence to regain control over their finances while building trust, offering nonjudgmental support, and fostering hope to enhance overall stability. Financial literacy, paired with empathetic guidance, can be a powerful catalyst for both financial recovery and emotional resilience.
Why This Matters: Building a Resilient Financial Future
Financial literacy is more than just knowledge; it’s about fostering confidence, addressing systemic barriers, and understanding the emotional and social context of financial decision-making. Whether it’s bridging the gender confidence gap, addressing the trust deficit in fintech, or supporting vulnerable groups like the Alert segment, the path forward requires empathy and collaboration.
Thanks again to Monisha and Fig FinTalk for fostering meaningful discussions and highlighting the role of research in advancing financial literacy. Social values lie at the heart of our segmentation models, offering a deeper understanding of the motivations, concerns, and behaviors that shape Canadians’ financial decisions. These values, such as trust in technology, privacy concerns, and openness to innovation, provide a critical lens through which we can develop strategies that resonate with diverse groups. By uncovering insights into Canadians’ behaviors, attitudes, and challenges, research helps shape targeted strategies to empower individuals and bridge gaps in financial knowledge. With continued exploration and collaboration, we can build a future where every Canadian feels confident, informed, and secure in their financial journey!
