(January 5 – 10:40 ET) – Great-West Life has introduced 12 new segregated funds bringing its portfolio to 54 funds.

“We’re building on our strength in the segregated fund market, which allows us to expand at a time when others are retrenching,” says Murray Taylor, senior vice-president, Retirement & Investment Services at Great-West. “Furthermore, we decreased fees on one-third of our segregated fund portfolio and modestly increased fees on the rest.” The average total fees on Great-West’s segregated funds increased marginally, with the typical increase three to seven basis points, says Taylor.

Great-West is maintaining its “Enhanced Guarantee Rider” which provides investors with higher death and maturity benefits and automatic ten-year resets for an additional fee. Annual fees for the Enhanced Guarantee Rider were increased slightly. “The Enhanced Guarantee Rider remains a leading edge product, providing people with choice and flexibility at a modest price. By offering enhanced guarantees through a rider to our base segregated fund products, we’ve been able to maintain funds and product features with modest price changes,” says Taylor.

The 12 new segregated funds consist of nine separately managed funds and three new portfolio funds. The separately managed funds will focus on specialty sectors such as socially responsible investing, science and technology, and emerging markets. The new portfolio funds will focus on specific asset classes, such as Canadian equity, global equity and fixed income.

Great-West is adding two new sub-advisors to manage some of these new funds. MAXXUM Fund Management Inc. will manage three new funds focusing on core Canadian securities, using its disciplined bottom-up approach to investing.

Scudder Kemper Investments Inc., one of the largest investment management organizations in the world, will bring additional global expertise to the fund family. These styles will complement the investment styles among Great-West’s current advisors.
-IE Staff