We firmly recommend the advantage of having your RRSP’s with insurance companies in order to enjoy the security of creditor proofing and, in the event of death, the avoidance of probate fees.
Segregated funds (seg funds) are the common name given to individual variable insurance contracts. Currently popular are seg funds “wrapped” around investment funds that are generally invested in mutual funds. Seg funds include a number of attractive benefits such as deposit principal and death benefit guarantees, estate planning benefits and potential creditor protection. Other features include the ability to diversify your portfolio to ensure your individual investment objectives are met, and investment flexibility giving you access to your funds if you need it. Investing in seg funds allows you to enjoy potential gains from the underlying mutual funds’ performance while receiving the benefits associated with insurance contracts.