How to guarantee your financial future

One of the hottest investment products in Canada is segregated funds. Although similar to mutual funds, segregated funds come with a life-insurance security blanket. They also come with guarantees. Many segregated funds will return 100% of your investment, should, at maturity (usually 10 years), your investment go down instead of up. Moreover, should you die before maturity, your beneficiary will stand to benefit. As an added benefit, many segregated funds have historically shown better performance compared to ordinary mutual funds.

A new book by Brad Miles (with Michelle Miles) tells you all you need to know about investing in segregated funds: Why you should invest in segregated funds (they come with guarantees, insurance benefits and good performance records), what are their special features (reset features, 100% foreign content eligibility for RRSP, avoidance of probate and estate fees, efficient tax treatment and creditor protection), their drawbacks (insurance costs and service charges) and how to accumulate significant wealth using leveraging techniques. The book has also a chapter on estate and financial plans.

Segregated Funds contains a list of Canadian segregated funds, the detailed features of each fund, performance records and ratings. (Segregated Funds, however, does not include the addresses, phone numbers and websites of these funds.) This book is clearly written and a welcome addition to any investor's bookshelf.

Segregated Funds: How to guarantee your financial future by Brad Miles (with Michelle Miles). Published by Stoddart. Available at a discount from IAC (see page 15).