https://www.safrifinancial.com https://www.safrifinancial.com/mutual-funds-vs-segregated-funds <h3> This is a subtitle for your new post </h3> <div data-rss-type="text"> <span> <font> Segregated Funds compared to Mutual Funds <div> Legal status of Seg Fund is an Insurance company contract but Mutual Fund is a Security </div> <div> Owner of the fund’s assets is the insurance company in case of Seg Fund but for Mutual Fund it the fund, itself, which is a separate legal entity. </div> <div> Provincial Insurance Regulators vs Provincial Securities Regulators </div> <div> Issuers of Seg Funds are mainly Insurance Companies but for Mutual funds there are Investment companies </div> <div> There is no legal status of Seg Fund. It is serving only to determine the value of benefits payable. Mutual Fund is a legal property; carrying voting rights and rights to receive distributions. </div> <div> Seg Funds are sold to investors with Information folder vs Fund Facts document (simplified prospectus is available upon request) for Mutual Funds. </div> <div> Frequency of valuation is Usually daily for Seg funds or at least monthly, But for Mutual Funds it is  usually daily, and at least weekly. </div> <div> <span> Seller of Seg Fund should be a Licensed life insurance agents. In case of Mutual Fund it should be a successful completion of a recognized investment course Licensed. </span> <br/> </div> <div> Seg Funds comes with  maturity guarantee. It is minimum of 75% of deposits after 10 years.  Companies may offer guarantees up to 100%. But  none for Mutual Funds. </div> <div> Protection against issuer insolvency of Seg Fund is covered by Assuris, a not-for-profit organization, providing limited protection to Canadian life insurance policy holders; maximum compensation up to $60,000 or 85% of the promised guaranteed amounts, whichever is higher; protection only needed if the guaranteed amount is higher than the market value of the investment The Mutual Fund Dealer Association Investor Protection Corporation, a not-for-profit corporation, providing limited protection to eligible customers of its members. </div> <div> Death benefits is included in Seg Funds. It may be subject to age or other restrictions. But for Mutual Funds none . </div> <div> Creditor protection is included under certain circumstances. But Mutual Fund can not provide it.  </div> <div> Probate can be bypassed with Seg Funds since proceeds of contract held by deceased contract holder may be passed directly to beneficiaries.  It is not the case in Mutual Funds.  </div> </font> </span> <div> </div> </div> Fri, 26 Feb 2021 20:49:19 GMT https://www.safrifinancial.com/mutual-funds-vs-segregated-funds