Geopolitical Concerns Drive Advisor Focus, Canadian Confidence Rises
Event summary
- Fidelity Investments Canada’s Advisor Pulse Polls, conducted during the Fidelity VISION 2026 event, surveyed 2,500-3,100 financial advisors.
- 59% of advisors cite geopolitics as the primary macro factor expected to impact portfolios in 2026.
- 54% of advisors report that geopolitical shocks are the top client concern, surpassing volatility, recession, and AI.
- 26% of advisors believe Canada offers the strongest risk-return potential over the next five years, a notable shift in sentiment.
The big picture
The findings highlight the growing influence of geopolitical factors on investor sentiment and the crucial role financial advisors play in navigating market volatility. Fidelity’s data underscores a broader trend of increased client reliance on advisor guidance during periods of uncertainty, potentially boosting demand for managed services and specialized investment strategies. With $362 billion in assets under management, Fidelity’s insights into advisor behavior provide a valuable barometer for the health of the Canadian wealth management industry.
What we're watching
- Client Retention
- The ability of advisors to maintain client confidence amidst ongoing geopolitical uncertainty will be a key determinant of AUM retention and growth for firms like Fidelity.
- Regional Shifts
- Whether the increased advisor confidence in Canada’s investment potential translates into actual client allocations and sustained outperformance remains to be seen.
- Product Innovation
- The focus on global diversification and factor investing suggests increased pressure on Fidelity to develop and market relevant investment products to meet advisor demand.
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