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Immigrants, Financial Knowledge, and Financial Behavior

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  • Anoosheh Rostamkalaei
  • Allan Riding

Abstract

This research seeks to identify gaps in financial knowledge and behaviors between immigrants to Canada and individuals who are born in Canada. The research aims to evaluate to what extent immigrants involve themselves in financial planning and avoid harmful financial behaviors. Employing the Canadian Financial Capability Survey (2009), the findings of the study suggest that immigrants are less likely to show high levels of financial knowledge compared to born citizens. The knowledge gap between immigrants and born citizens narrows as an individual resides longer in Canada. In addition, immigrants are less likely to prepare themselves financially for their retirement or to have long‐term investments. The findings provide a basis for addressing the implications of weak financial knowledge.

Suggested Citation

  • Anoosheh Rostamkalaei & Allan Riding, 2020. "Immigrants, Financial Knowledge, and Financial Behavior," Journal of Consumer Affairs, Wiley Blackwell, vol. 54(3), pages 951-977, September.
    • Handle: RePEc:bla:jconsa:v:54:y:2020:i:3:p:951-977
    DOI: 10.1111/joca.12311
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