Life insurance companies’ segregated (or seg) fund offerings augment traditional mutual funds with insurance contracts. Combined advantages boast potential investment growth plus insurance protection with guaranteed principal and death benefits.
This March’s $243 million net sales set the highest monthly record since February 2012, reports Desjardins Securities. That compares to $144.1 million for March 2014. As investors seek portfolio stability, seg fund sales may continue climbing. Total net assets were $113.1 billion by March 2015, up from the previous March’s $104.3 billion, according to Investor Economics.
Ever since the tax-free savings account (TFSA) and the registered retirement savings plan (RRSP) were introduced to the Canadian financial landscape, individuals have been plagued with the issue of where to park their funds. Both of these vehicles offer tax savings, but which is better? The answer is there is no answer. There are a few questions you can ask yourself to determine which one is appropriate for you.
It’s a problem most of us may only ever dream of having. We all think about the vacations we would take, the fancy cars we would buy, and the nice homes we could finally afford. But what if we actually won? Would it be as simple as claiming our winnings and heading to the nearest Porsche dealership? Probably not.