The London Life Insurance Co. has introduced 11 new segregated funds under its Freedom Funds brand, bringing to 56 the total number of funds in its portfolio.
The funds are being targeted at small business owners and affluent investors.
The funds include the Canadian Growth Sectors Fund managed by London Life Investment Management Ltd. and the Ethics Fund managed by GWL Investment Management Ltd. as well as several funds managed by Mackenzie Financial Corporation.
“While many insurance companies are retreating from the segregated fund market because of increased capital reserve requirements, London Life sees opportunities,” says Rick Rausch, the company’s vice-president, Individual Retirement and Investment Services. “There’s enormous potential in the segregated fund market, especially among small business owners and affluent investors.”
Rausch says the advantages of seg funds include capital guarantees, probate bypass and the potential for creditor protection, which is crucial for business owners.
Segregated funds also appeal to affluent investors, who tend to be more conservative, value the protection of capital guarantees, and want to preserve their estate for their heirs.
“We offer a variety of equity-based segregated funds, so investors can take advantage of long-term growth,” says Rausch. “Plus, when it comes time to pass their estate to their heirs, they won’t have to worry about probate taxes.”
The new funds include:
- U.S. Growth Sectors Fund (London Life Investment Management Ltd.)
- Canadian Growth Sectors Fund (London Life Investment Management Ltd.)
- Ethics Fund (GWL Investment Management Ltd.)
- Canadian Science and Technology Fund (GWL Investment Management Ltd.)
- Balanced Fund (Mackenzie Financial Corporation)
- Smaller Company Fund (Mackenzie Financial Corporation)
- International Stock Fund (Mackenzie Financial Corporation)
- Foreign Equity Fund (Mackenzie Financial Corporation)
- Fixed Income Profile Fund
- Canadian Equity Profile Fund, and
- Global Equity Profile Fund