The Benefits of Consolidating Your Assets

Aoife O’Reilly

January to April is a busy time when it comes to managing finances. Preparing your personal income tax, contributing to your Registered Retirement Savings Plan (RRSP) and Tax Free Savings Account (TFSA) are examples of what may be on your to-do list at the beginning of each year.

Many people have assets in different locations, such as a financial institution or insurance company. Consolidating your assets offers you greater control over your finances. This article explains what consolidation is and some of the benefits that come from consolidating your assets.

Do you have retirement savings and investment accounts with a variety of companies? Monitoring each of your accounts in this way takes a lot of time and energy. Consolidating your assets means moving everything you have to one institution. Keeping your assets in one place allows you to keep track of all your accounts in a more seamless and stress-free way. Below are four benefits that consolidating your assets brings:

1: Conflict-free advice

When your assets are in multiple accounts, you’re faced with conflicting advice and investment strategies. How do you know which way to go? Working with one institution offers a more streamlined approach to your finances. They provide you with conflict-free advice on all your assets and work with you to determine your short and long-term financial goals.

2: Low fees

If your financial institution informs you that you are not paying fees on your investments, this is a red flag. Investment management is a service that always includes a fee. It is important to note that when you invest with multiple organizations, you are subject to higher fees. Fees, transaction costs and other incurred costs add up over time. Consolidating your assets with one provider is a cost-effective strategy because you reduce fees and lower your investing expenses.

3: Successful investment strategy

At Open Access, we always recommend a diversified investment strategy for navigating market ebbs and flows. When your assets are with one provider, you have a portfolio that best aligns with your financial goals. Market trends are continually changing so your investment strategy may need to be adjusted from time to time. Making these shifts is quicker when dealing with one institution. Keeping your financial goals on track, particularly during market fluctuations, is easier with funds located at one financial institution.

4: Retire well

Consolidating your assets is particularly beneficial if you’re nearing retirement age. You want to make sure that drawing your income is a seamless process. Transitioning from a RRSP to a Registered Retirement Income Fund (RRIF) is easier when dealing with one financial institution. Consolidating your assets also reduces the burden on your loved ones when you’re no longer in a position to manage your finances.

As an Open Access member, you can consolidate your assets with us. Benefit from our competitive pricing and superior risk-adjusted returns for all your investments. Simply download and complete a transfer form here and email it to inquiry@openaccessltd.com. Alternatively, you can complete this process by phone. Simply call +1 866-625-4777 if you would like a client relations representative to assist you.