Briefly:

Previous Brieflies this week: | MON | TUE | WED | THU |

(November 13, 2008) It is an age-old question among men: What do women want? When it comes to defining financial success, the answer is “to be debt free,” according to the 2008 TD Waterhouse Female Investor Poll.

The survey found 37% of women defined financial success as living without debt, making it the single most popular goal. Having enough money for retirement garnered only 17% of the vote, lagging short-term goals like being able to buy anything they wanted (23%).

“The fact that most women concentrate on short-term planning, budgeting and goal-setting is not surprising — it may be an even more natural response in times of economic turmoil,” says Patricia Lovett-Reid, senior vice-president, TD Waterhouse. “While getting your spending under control is important, it’s not enough. Without a long-term investment plan, we cannot achieve a comfortable, worry-free retirement.”

The most popular step toward financial success was to stick to a budget (55%), while only 25% said they had sought professional investment advice.

With debt management ranking so highly in defining success, it should come as no surprise that paying off credit cards was the most common measure taken (55%) by respondents who feel successful. Only one in five of those who feel unsuccessful did likewise.

Half of those who feel successful contribute to an RRSP, compared to 21% of those who feel unsuccessful.

“Contrary to what some women might believe, getting more engaged in the world of investing provides a sense of empowerment and accomplishment,” says Lovett-Reid. “Burying our heads in the sand does not.”

When it comes to having a financial plan, it appears westerners are ahead of the rest of the country. Thirty-one percent of respondents from British Columbia and the Prairies said they had a plan, compared to 23% in Ontario, 19% in Quebec, and 18% in Atlantic Canada.

• • •

American consumer funk deepens: RBC

(November 13, 2008) American consumer confidence continued to fall in October, according to the latest RBC CASH (Consumer Attitudes and Spending by Household) Index.

A worsening job market and ever-lower home values are more than countering any positive sentiment stemming from lower energy prices. The early November RBC CASH reading showed a slight decline of 2.3 points, to 34.7, compared to the already dismal 37.0 reading at the beginning of October.

“The overall RBC CASH Index continues to sag back towards the low established in July, when sentiment was driven down by record energy prices,” said T.J. Marta, economic and fixed income strategist for RBC Capital Markets. “Although we have had a sharp decline in energy prices, consumer sentiment remains low, as growing joblessness, the decline in the stock market and the ongoing housing market correction weigh on consumers’ minds.”

Perhaps as a sign of how bad current conditions are, economic expectations for the future rose in the latest survey, from a low of 5.1 in October, to 23.3 in November. Marta also suggests that this optimism stems in part from the election of Barack Obama as the next president.

The current conditions component fell 12.4 points to 25.6, driven by respondents’ worries about the strength of their local economy. Only 21% considered their personal financial condition to be strong, compared to 33% who saw it as weak.

• • •

Jovian to merge Charterhouse

(November 13, 2008) JovFunds Management has announced it will merge its Charterhouse Preferred Share Index Corporation into a new open-end mutual fund trust.

The new fund will have as its primary investment objective “to generate high-dividend income while protecting capital by investing primarily in preferred shares of Canadian companies and other income-generating securities.”

The merger should be completed within 90 days, pending regulatory and shareholder approval.

“We are excited with the prospect of proceeding with this merger and the opportunity to open this innovative fund to new investors,” said Steve Hawkins, president of Charterhouse and managing partner of JovFunds.

(11/13/08)