Creating safety nets with  investment solutions

Segregated funds are only available through life insurance companies. While they are similar to mutual funds, they offer a number of unique advantages. 

For example, some of the latest plans offer guaranteed income for life, acting much like a private pension plan, as well as death benefit or maturity guarantees. Unlike annuities, guaranteed income plans can provide access to your money after the initial investment. Segregated funds can also offer potential creditor protection, which, depending on circumstance may help protect your funds if faced by bankruptcy or a lawsuit.

Segregated funds allow for probate-free transfer to your named beneficiaries in the event of your death, which can significantly reduce the cost and expedite the speed of estate settlement. Furthermore, if beneficiaries of these funds are named, it lends a level of privacy to your financial affairs. This is because the proceeds fall outside of your will, which is a publicly available document. For this reason, they are an attractive estate planning strategy to many.

Guaranteed Investment Certificates, otherwise known as GICs, present a low-risk investment option as they are not exposed to the equity or bond markets. Your original investment and the interest rate are both guaranteed. 

What’s more, they offer certain other advantages if the plan is issued by an insurance company. For example, in the event of your death, funds can be passed on privately to named beneficiaries, and they are potentially creditor-protected.

If you value financial security and peace of mind, you’ll value the prospect of a guaranteed income stream for life – yours when you choose to invest in an annuity backed by the strength and reliability of a solid financial institution. 

Based on a single, lump-sum investment that you make, you’ll receive regular payments. If you choose to invest with a significant other, depending on how these investments are set up, payments can continue beyond the death of one contract owner.

The type of annuity you choose depends on what you hope to get out of it. For valuable insight, contact Martin. He has the experience to help you select an annuity that meets your unique needs, be it a pay cheque for life, a play cheque for life, or a substantial legacy for someone you love.

With the cost of education on the rise, funding college or university will likely be one of the biggest expenses you incur on behalf of your children or grandchildren – even if they’re able to secure scholarships and loans. Of course, it will also be the greatest gift you will ever impart to them.

A solid education is the foundation for a lifetime of independence, achievement, and success, and your children will be working on those college applications before you know it, so consider opening a Registered Education Savings Plan (RESP) now if you haven’t done so already.

RESPs* offer unique benefits. First of all, some provide flexibility with respect to investments. They also shelter your savings from tax until your child or grandchild requires the funds, and when they are called upon, they are taxed at the child’s tax rate, not yours. Best of all, there’s a good chance you’ll qualify for government grants and the more you save, the greater the grant – within government-specified limits – which is why it’s important to start early.

Seize the moment! 

If you’re looking for ways to make investing more tax-efficient, consider complementing your existing savings with a Tax-Free Savings Account* (TFSA). TFSAs allow you to earn tax-free investment income, including capital gains and dividends, and they also permit tax-free withdrawals. 

If you think RRSPs are the only way to go for retirement, think again. TFSAs make a smart addition to any savings plan, regardless of your life stage.*

While there’s no way we can avoid paying taxes altogether, we can minimize the amount we must pay.

For decades, Martin has provided his clients with sound investment advice that has enabled them to maximize their after-tax income with the help of tax-deferring solutions.