Over the past five years, the Canadian group scholarship plan industry grew by 47.49%, according to the Registered Education Savings Plan Dealers Association of Canada (RESPDAC).
The RESPDAC is made up of five member companies, C.S.T Consultants Inc., Global RESP Corp. Universitas Management Inc. heritage Education Funds Inc. and Knowledge First Financial Inc., which provide group education savings plans. Together these five companies account for 90% of the group savings plan industry based on assets under management and represent nearly 30% of all assets invested in registered education savings plans in Canada.
RESPDAC members now manage a total of $10.59 billion in assets for family’s savings for a child’s education.
“The growth in assets of our members’ plans is keeping pace with the growth in RESPs generally, and that’s very gratifying,” said Paul Renaud, RESPDAC chairman, in a statement. “Even though the economy has proven to be challenging and unpredictable these past five years, and economic recovery has been spotty, there’s no question that families continue to see the huge value of post-secondary education for their children.”
Currently there are nearly 1.5 million group plans held with RESPDAC members.