Many Canadian investors aren’t aware of even the basic cost of holding mutual funds in their RRSPs, finds a recent survey commissioned by online bank ING Direct.

According to the survey, 45% of Canadians were unsure of the annual management expense they are paying for mutual funds. Furthermore, 28% were unable to even suggest what they considered to be a fair fee.

“It’s concerning that Canadians are unaware of the high fees they pay for mutual funds, especially since these are the most popular investments in most retirement portfolios,” says Peter Aceto, president and CEO, ING DirectCanada. changed.”

However, the recent recession seems to have inspired Canadians to take a more active and informed role when it comes to investing. The survey found that in the aftermath of the recession, 39% of respondents are questioning whether they are invested in the right products, and nearly a quarter (24%) are looking for a simpler, more proven way to save for retirement.

A majority of respondents (58%) said that choosing a mutual fund for an RRSP was not as simple and straightforward as it could be, with 36% finding the process either frustrating or stressful. Simply not having enough time to educate themselves was the biggest obstacle cited when deciding which funds to choose.

The Angus Reid Public Opinion online survey was conducted from Dec. 14-15, 2010 among1,062 randomly selected Canadian adults who are Angus Reid Forum panelists.

IE