Types Of Investments
Here are the main types of investments
Comparison Of Mutual Funds and Segregated Funds
| Item | Mutual Funds | Segregated Funds |
|---|---|---|
| professional management | yes | yes |
| small ongoing investments (e.g., $25) | yes | yes |
| regular reporting | yes | yes |
| diversification | yes | yes |
| RRSP eligible | yes | yes |
| automatic reinvestment of distributions (interest, dividends, capital gains) | yes | yes |
| option to transfer between funds (a disposition) | yes | yes |
| maturity guarantee | no | yes |
| death benefit guarantee | no | yes |
| creditor protection | no | yes |
| disability waiver | no | yes (optional) |
| bypass probate | no | yes |
| bankruptcy protection | no | yes |
| reset option | no | yes |
| favorable tax treatment | no | yes (capital gains and losses flow to contractholders on an ongoing basis) |
| direct ownership in the fund | yes | no (notional) |
| allocations | Net Asset Value unchanged (number of units increases) | number of units unchanged (unit value increases) |
page revision: 12, last edited: 28 Jul 2007 04:54