DIY investing vs. hiring a professional: Which is right for you?

Trends suggests a growing approval of DIY investing in Canada, but that doesn't necessarily mean it's right for you. In his personal finance column for CTVNews.ca, Christopher Liew outlines what would-be investors need to know.

Satisfaction with self-directed brokerages has increased significantly, with the overall satisfaction score rising by 33 points to 631 (out of 1,000) in 2024, according to a J.D. Power survey.

This trend suggests a growing approval of DIY investing in Canada, but that doesn’t necessarily mean it’s right for you. Let’s go over all the reasons why you would choose DIY investing or when you should go with a professional advisor.

DIY investing allows you to manage your investments without professional help, offering flexibility and potentially lower costs. It requires knowledge, discipline, and the right tools and technical knowledge.

DIY investing involves selecting and managing investments such as stocks, bonds, mutual funds or exchange-traded funds (ETFs) on your own. You’ll generally spend some time researching and selecting assets, monitoring performance and rebalancing portfolios. DIY investors tend to use discount brokerages to buy and sell securities.

DIY investors often stay updated with market trends and economic indicators. While it can be cost-effective, it can require a lot of time and effort.

Pros:

Cons: