Segregated Funds offer numerous features and benefits.
- 100% Death Benefit Guarantee
Most Segregated Funds offer a 100% Death Benefit Guarantee. This means your beneficiaries are guaranteed to receive 100% of deposits at maturity. (reduced proportionally by withdrawals) even if there are market downturns.
- Fund Selection
You can choose between a broad selection of investment funds from well-known fund managers, covering a wide variety of asset classes. You also have the ability to switch between funds and fund managers. You can access your savings at any time.
- Creditor Protection
Segregated Funds have the potential to protect your assets from creditors. This feature is ideal for professionals and small business owners looking to help protect their personal assets from professional liablity.
- Ability to Bypass Probate
Ensuring the smooth transfer of investment proceeds to your beneficiaries can be a challenge for a number of reasons.
- The probate process can be lengthy, frequently taking months or even years if the will is challenged
- Probate and estate fees can significantly erode the value of your estate and reduce the amount of money your beneficiaries receive
- The probate process leaves the details of an estate open to public scrutiny
- All of these factors can make probate a very emotional process for your loved ones
Under Segregated Fund contracts you have the ability to name one or more beneficiaries. This makes it possible for the proceeds of your contract to bypass probate and go directly to your beneficiaries, helping eliminate some of the challenges mentioned.