Rising costs, job fears and market volatility top client concerns as CUSMA talks intensify
Trade anxiety has moved off the front page and into the financial planning room. New polling from Fidelity Investments Canada ULC finds that 47% of Canadian financial advisors are now fielding client concerns about the Canada-United States-Mexico Agreement (CUSMA), tariffs, and the knock-on effects for household finances.
The findings arrive as the mandatory July 1 CUSMA review deadline bears down on an already fragile lending environment.
The FidelityConnects Advisor Pulse Poll, conducted on June 11 with between 360 and 642 respondents, identified rising costs from tariffs or supply chain disruptions as the most common client concern, cited by 63% of advisors.
Market volatility tied to trade and geopolitical developments followed at 43%, while job security and income stability were raised by 24%, figures that point directly to the financial risk calculus every prospective homebuyer must now perform.
"Trade uncertainty has moved from government negotiations and business headlines into everyday financial conversations," said Chris Pepper, vice-president of corporate affairs at Fidelity Investments Canada.
"Canadians are asking what existing and potentially new tariffs, rising costs and economic uncertainty could mean for their jobs, investments and long-term financial plans."
Regional divides and the mortgage connection
For mortgage brokers, the regional breakdown is directly relevant. Concern was most acute in Alberta, where 61% of advisors reported trade-related client questions, followed by Quebec at 54% and Atlantic Canada at 48%.
Advisors working with clients in manufacturing reported the issue most frequently at 55%, with energy at 38% and agriculture at 32%, sectors carrying concentrated exposure to cross-border trade flows.
The findings align closely with what brokers have already been documenting in their own client conversations. Trade-related job insecurity has become a direct suppressor of housing demand.
Tracy Valko, founder of Valko Financial, previously told Canadian Mortgage Professional that "with US tariff risks and global economic pressures, mortgage rates may remain volatile." That's a warning that sharpens considerably as Trump's CUSMA threat and its implications for Canada's housing market come into sharper focus this summer.
Economic anxiety is freezing deals across Canada's housing market, as two in five brokers cite recession fear as top deal killer. "Uncertainty itself has become a market force," said Joel Fox, co-founder and chief operating officer of Ownright.
One Fidelity survey respondent put the client fear plainly, noting that concerns centred on "the trade agreement could be scrapped entirely or significantly reduced in scope, creating the potential for new tariffs on goods and, ultimately, higher prices."
Advisors guiding clients toward long-term discipline
Despite elevated anxiety, advisors are holding the line on fundamentals. According to the poll, 70% said they were helping clients separate short-term trade headlines from long-term strategy, 60% were reinforcing diversification across sectors and regions, and 40% were revisiting retirement and income plans.
A generational dimension is also emerging. More than a third of advisors, or 37%, believe younger investors will pay closer attention to geopolitical developments going forward, with 26% expecting them to diversify differently than prior generations.
"Markets have always faced periods of uncertainty, but today's investors are processing more information — and more noise — than ever before," Pepper said.
"Trusted advice can help investors maintain confidence, stay disciplined and keep their long-term objectives front and centre."
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