Risking No Returns? 4 in 10 Young Canadians Missing Out on TFSA Growth: TD Survey

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Risking No Returns? 4 in 10 Young Canadians Missing Out on TFSA Growth: TD Survey /* Style Definitions */ span.prnews_span { font-size:8pt; font-family:"Arial"; color:black; } a.prnews_a { color:blue; } li.prnews_li { font-size:8pt; font-family:"Arial"; color:black; } p.prnews_p { font-size:0.62em; font-family:"Arial"; color:black; margin:0in; } .prntac{ TEXT-ALIGN: CENTER } Canada NewsWire While Gen Z and Millennials are eager to invest, lack of confidence and understanding may be holding them back TORONTO, Nov. 12, 2025 /CNW/ - A new TD survey finds that while many young Canadians are eager to grow their wealth, a surprising number could be leaving money on the table when it comes to their Tax-Free Savings Accounts (TFSAs). According to the poll, four in 10 (41%) Gen Z and Millennial Canadians admit they aren't investing the money held in their TFSAs. While 65% of Canadians surveyed hold a TFSA, 39% of them are not investing the money inside it – rising to 41% for both Gen Z and Millennials. According to the poll, the top reasons these two generations give for not investing within their TFSAs include: wanting the funds to be readily available (27%);feeling they have not saved enough to invest (22%);not knowing what investment products to choose (22%) and;not feeling confident in their investment knowledge (19%)."Many Canadians understand the value of saving, but fewer seem to recognize the importance of investing those savings within their TFSA," said Pat Giles, Vice President, Saving and Investing Journey at TD. "Simply parking cash in a TFSA limits its potential and, in some cases, could lead to contribution penalties if used like a regular savings account. Even small, consistent investments can help Canadians maximize the full tax-free potential of their TFSAs." The survey also revealed that Gen Z Canadians face bigger confidence gaps than older generations when it comes to investing, even if they already have a TFSA: Gen Z are more likely to have opened a TFSA because it felt like a simple first step (40% compared to 30% of other Canadians) and many intend to invest within the next year (25% Gen Z vs. 17% of other Canadians).Still, two in five (40%) Gen Z Canadians say they don't feel confident when to use a TFSA versus an RRSP, and one in three (32%) aren't sure they've chosen the right type of account to meet their financial goals...

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