Segregated Funds

Yes, due to their ability to bypass probate, offer potential creditor protection, and allow for direct beneficiary designations, segregated funds are often used as a tool for efficient estate planning and wealth transfer.

Segregated funds typically have higher fees than other investment funds due to the insurance features they offer, including management fees and insurance costs related to the guarantees and estate planning benefits.

Resets allow you to lock in gains, adjusting the guaranteed amount to a higher value if the fund's market value increases, which can protect your investment from future market declines.

Yes, segregated funds allow you to name beneficiaries directly, enabling the investment to bypass probate and be transferred quickly and privately upon your death.

In many jurisdictions, segregated funds offer creditor protection under certain conditions, making them an attractive option for business owners and professionals seeking to protect their assets.

The legal structure of segregated funds as insurance products underpins this creditor protection. Governed by insurance legislation, these funds allow policyholders to designate beneficiaries directly, ensuring assets bypass the policyholder's estate upon death and go straight to the beneficiaries, thereby generally shielding these assets from creditors.

Segregated funds typically offer Maturity and Death Benefit Guarantees, ensuring you or your beneficiaries receive a minimum percentage of your initial investment regardless of market performance.

Unlike mutual funds, segregated funds provide a guarantee to protect a portion of your investment (e.g., 75% or 100% of your initial investment) at maturity or on death, and they often include estate planning benefits like bypassing probate.