Mutual Funds pool the investments of many individuals together into one big fund. Professional investment managers invest the money following an investment policy established for that particular fund. These include bond funds, equity funds, and treasury bills funds. A mutual fund portfolio can be de [...]
GIC and Term Deposits offers a guaranteed rate of return over a fixed period of time, most commonly issued by trust companies or banks. Due to its low risk profile, the return is generally less than other investments such as stocks , bonds , or mutual funds. Even though it is guaranteed, the return may be lower than inflation. GIC’s can be Registered or Non Registered, and c [...]
Segregated Funds or Seg Funds are life insurance products. A segregated fund is similar to a mutual fund but has unique feature, such as the guarantee of all or part of the principal. If the fund loses value because of poor market performance, you get part or all of your original capital back but only if you keep the fund for a specific period of time, typically ten years. [...]
Annuities are insurance contracts. It is financial product, typically offered by a financial institution that may accumulate value and take a current value and pay it out over a period of years.Their main use is to generate a known level of income. There are several strategies that take advantage of Annuities.This information is generic and does not constitute financial advice [...]
Individual Pension Plan is a defined benefit pension plan for one person. An IPP is typically most appropriate for key executives of an organization, self-employed professionals or owner-managers. It provides all the benefits permitted under the Income Tax Act of Canada in order to maximize tax-sheltered retirement savings.This information is generic and does not constitute fin [...]
A Life Income Fund (LIF) is an investment vehicle used in retirement. Once funded by converting a LRSP or LIRA, a LIF allows for periodic withdrawals while the remaining balance remains tax deferred. The withdrawals have a specified minimum and maximum, depending on age.This information is generic and does not constitute financial advice. You should consult [...]
A Group RRSP enables employees of a company to save for retirement by contributing to an RRSP through payroll deductions and receiving a tax break every pay at source.This information is generic and does not constitute financial advice. You should consult us before purchasing. Ektos Financial offers a selection of Investment solutions that may fit your P.A.C.T plan.What make u [...]
A LRSP or Locked In Retirement Account (LIRA) originates from Registered Pension Plans. It is typically the result of termination of employment. Investment growth is not taxed as it is earned. It is similar to a RRSP but it inherits restrictions from the company Registered Pension Plan.This information is generic and does not constitute financial advice. You should consult us [...]
A Pension is a steady income given to a person. Pensions are typically payments made in the form of a guaranteed annuity to a retired or disabled employee. Some retirement plan designs accumulate a cash balance (through a variety of mechanisms) that a retiree can draw upon at retirement, rather than promising annuity payments. In either case, a pension created by an employer fo [...]
A Registered Education Savings Plan (RESP) is a special trust arrangement, but it is not subject to trust rules in the Income Tax Act. It must be terminated by the end of the year that includes the 25th anniversary of the particular plan. Contributions can be made during the first 22 years of the plan's existence. There are two types, family and individual.The Canada Revenue A [...]
