What high-net-worth means in Canada
Although the term “affluent” is often used interchangeably with “high-net-worth,” the HNW threshold is generally set at a minimum of $1 million in net liquid or near-liquid investable assets in Canada. This includes, for instance, cash and investments held in RRSPs, TFSAs or non-registered accounts, but excludes physical assets like real estate, vehicles, art or business equity. Some financial firms use lower thresholds of $500,000 or $250,000, while ultra-high-net-worth individuals (UHNWIs) are typically defined as those with over $10 million in investable assets.
The rapid rise of HNW Canadians
About 6% of Canadians had a net worth of over $1 million in October 2024. 1 The HNW group is diversifying and expanding rapidly.
Between 2024 and 2029, the number of HNW individuals in the country is expected to increase by at least 66%.2
This robust growth is driven by several factors :
Entrepreneurs and retirees
These two groups have traditionally been central to the HNW demographic and remain key growth drivers, especially as the population ages.
Immigration
Canada is among the world’s top 10 destinations for millionaire migrants3, drawn by its safety, favourable tax and retirement policies, high quality of life, education and reliable healthcare.
Women
By 2028, Canadian women are projected to hold $4 trillion in financial assets, or 45% of the nation’s wealth, up from $2.2 trillion in 2019.4 This increase is largely attributed to higher income, greater participation in management and entrepreneurship roles, and intergenerational wealth transfers.
Younger generations
By 2030, millennials will control a much larger share of Canada’s financial wealth compared to previous generations.5 They are expected to increase their share of affluent households and financial wealth at the fastest rate, supported by higher education, entrepreneurship, and inheritance.
Understanding their unique needs and expectations
HNW clients are not a monolithic group; their concerns and objectives are as diverse as their backgrounds. Still, several common needs and expectations frequently emerge:
• Wealth preservation and growth: They tend to focus on protecting their assets and achieving long-term gains through tailored investment strategies aligned with their goals and risk tolerance.
• Income generation and security: Many HNW clients, such as retirees and entrepreneurs, worry about income interruption and maintaining a comfortable lifestyle. Corporate executives may rely on pension plans, but entrepreneurs often lack comprehensive retirement strategies.
An estimated $1,275 billion will transfer between generations in Canada from 2023 to 20326, making wealth transfer, inheritance and philanthropy key priorities.
• Tax optimization and estate planning: Wealth advisors can quickly demonstrate their value through their expertise in tax planning and philanthropy. This is particularly true for younger HNW clients, who tend to focus on wealth accumulation and maximizing after-tax income. Advise them on tax-efficient succession and wealth planning to help them build lasting legacies and support causes while reducing the tax impact.
Five essential ingredients for a compelling HNW service
To thrive in this segment, wealth advisors must embrace a tailored, multidisciplinary approach and focus on several key practices:
1. Build strong client relationships
HNW clients value wealth advisors who take the time to understand their needs, aspirations and family dynamics. Preparation is key: getting to know clients well, anticipating their questions and demonstrating genuine curiosity helps build trust. Take a conversational approach to uncover priorities, and don’t hesitate to challenge their assumptions when appropriate. Many HNW clients value professionals who bring alternative perspectives and thoughtful solutions.
2. Provide comprehensive, integrated planning
Success with HNW clients hinges on offering holistic advice that integrates financial planning with estate and tax strategies. Consider working in multidisciplinary teams to deliver coordinated, high-quality service. This approach addresses complex requirements while fostering a consistent, multi-generational client experience.
3. Focus on personalization and flexibility
Generic advice won’t suffice. Tailor your advice to each client’s unique risk profile, goals and preferences. Offer a 360-degree strategy that aligns with their personal and family situations and that can adapt over time. To diversify HNW clients' assets and income while managing risk and optimizing performance, look for options beyond traditional investments. For instance, many affluent individuals allocate more than 30% of their portfolios to private equity and infrastructure.7
4. Communicate effectively and manage expectations
Clear, concise, and jargon-free communication is essential. Set expectations at the outset and consistently deliver on promises. During periods of market volatility, proactively address concerns and provide stability through sound advice. Many clients will not hesitate to change wealth advisors if communication is inadequate or if they feel underserved.
5. Serve the entire family
By guiding not only individual HNW clients but also their whole families, wealth advisors strengthen their value proposition. They gain comprehensive insight into multi-generational objectives, facilitate smoother wealth transfers and grow their business by building relationships with younger family members.
Prospecting HNW clients
Building relationships within HNW circles and demonstrating a clear value proposition are key to expanding one’s practice. Here are some tips for prospecting within this segment:
- Boost your digital presence and credibility: HNW clients, like other potential clients, conduct online research or review testimonials prior to engaging with wealth professionals. To quickly create a positive first impression, make sure your website and social media profiles are professional and up-to-date, clearly presenting your value proposition and stay active on platforms such as LinkedIn.
- Network strategically: Attend events and participate in groups frequented by HNW individuals. Establishing connections within these circles can result in valuable relationships and potential referrals.
- Leverage referrals from satisfied clients: What would they say about you to others? Consider the power of word-of-mouth. HNW individuals often discuss financial matters with peers to gather insights and advice. Cultivating strong relationships and delivering excellent service on a consistent basis motivates individuals to refer others.
Canada’s HNW segment is evolving rapidly, creating meaningful growth opportunities within the industry. By focusing on relationship depth, integrated planning, clear communication, and multigenerational engagement, wealth advisors can deliver distinct value and become trusted partners in their clients’ wealth journeys.
Learn more
Complete our free online training, " Supporting high-net-worth clients," and obtain 1 PDU (Professional Development Unit) using your broker code and rep code on our Continuing Education Portal. For more information, contact your NBI sales representative.
Sources
1. The Motley Fool, What Are High-Net-Worth Individuals?, Oct. 10, 2024.
2. Statista, Number of high-net-worth individuals in Canada from 2014 to 2029 (March 2025).
3. Henley Private Wealth Migration Report 2024. Canada Perspectives: Women, Money, and Wealth, Women of Influence, October 23, 2024.
4. Women of Influence, Canadian Perspectives: Women, Money, and Wealth.
5. Investor Economics Household Balance Sheet Report Canada, 2022 Update and Rebased Forecast, p. 120.
6. Investor Economics, Household Balance Sheet Update and Rebased Forecast 2024, Aug. 20, 2024.
7. KKR Global Wealth Investment Playbook Highlights. February 2024.