What Are Segregated Funds?

​

Segregated funds are investment products offered by insurance companies in Canada that combine the growth potential of mutual funds with the security of insurance. These funds are professionally managed and typically include a mix of stocks, bonds, or other assets, similar to mutual funds. However, they offer unique features such as maturity and death benefit guarantees (often 75% to 100% of your original investment), creditor protection (in certain circumstances), and the ability to bypass probate by naming a beneficiary directly.

 

Segregated funds can be a smart choice for investors seeking both market exposure and capital protection, particularly for retirement planning or estate transfer purposes.