The 2016 Bridgehouse Scholarship Program (BSP) reveals that 62.5% of young Canadians are risk-takers and 51% are rational risk-takers, Bridgehouse Asset Managers announced on Thursday. According to the announcement, only 9% of respondents self-identified as risk averse.
The BSP, which ran from May 2 to June 15, included submissions from more than 800 students between the ages of 18 and 22 from across Canada. Students took an investor personality quiz and submitted an essay explaining what they learned about their investment personalities. The objective of the BSP was to highlight the Know Your Client requirement that financial advisors must follow before embarking on an investment program with any client.
Each of the 10 scholarship winners will head back to class this fall with a $2,000 contribution towards their tuition costs.
“Rational risk-taking, combined with a long-term investing horizon, is an ideal combination for successful investing,” says Carol Lynde, President and COO of Toronto-based Bridgehouse Asset Managers, in a statement. “Young people have a long investing horizon. If they have a propensity for calculated risk, they can stay invested through the inevitable short-term ups and downs.”
“Knowing yourself first is an important component of the Know Your Client requirement,” adds Lynde. “The Bridgehouse Scholarship Program was designed to help students get to know their potential strengths and weaknesses so that, when they start to invest, they can seek appropriate advice and support to invest successfully.”
Just under 63% of BSP participants showed risk-tolerant personalities (31.4% of those fell into the “Strategist” category, 20.3% into the “Thrill Seeker/Strategist” category and 10.8% into the “Thrill Seeker” category), while fewer than 9% self-identified as risk-averse. Further, 51% of participants indicated a tolerance for risk and a rational approach to decision-making.
The 2016 BSP winners are:
- Evelyn Savolainen, Lethbridge, AB – Strategist
- Lakota Stedel, Charlie Lake, BC – Strategist
- Sherlyn Assam, Brampton, ON – Strategist
- Sarah Ippolito, Hamilton, ON – Strategist/Analyst
- Ryan Watson, Oakville, ON – Strategist
- Willa Mason, Chelsea, QC – Strategist
- Katherine Tang, Mississauga, ON – Thrill Seeker/Strategist
- Andrew Weinhardt, Oakville, ON – Strategist
- Ulfath Arshiya, Calgary, AB – Thrill Seeker/Strategist
- Swati Sood, London, ON – Strategist
The 10 winning submissions were selected by a panel of investment advisors who are passionate about promoting investor knowledge to young Canadians: Carol Lynde, moderator, Rod Tyler, The Tyler Group, Jeremy Clark, Clark Hetherington Financial Ltd., and Natalie Sears, National Bank Financial Wealth Management.
The sixth annual Bridgehouse Scholarship Program will open for applicants on May 1, 2017.
Bridgehouse Asset Managers is a trade name of Brandes Investment Partners & Co.
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