Segregated funds

Segregated funds are an investment product sold by life insurance companies and are individual insurance contracts that invest in one or more underlying asset (such as a mutual fund). Unlike mutual funds, segregated funds guarantee protection of part of your principal investment, but you have to hold your investment for a certain length of time (usually 10 years) to benefit from the guarantee. You will also pay an additional fee for this insurance protection.

Segregated funds may be right for you if you:

  • Want 75-100% of your principal investment guaranteed (if you hold your fund for a certain length of time)
  • Want guaranteed death benefit
  • Need potential creditor protection
  • Can have your money locked in (usually for 10 years)
  • Can handle higher management expense ratios (MERs) and penalties for early withdrawals
G&F Financial Group Insurance Services Ltd. is a wholly-owned subsidiary of G&F Financial Group. This website is for informational purposes only and is not intended to provide specific insurance, financial, investment, tax, or other advice to you, and should not be acted or relied upon in that regard. We encourage you to seek personalized advice from a qualified professional. Insurance products are underwritten by certain licensed insurance companies and are only available throughout British Columbia, Canada