Annuities: safeguard your income.

Annuities can provide a dependable income for your retirement. When you purchase an annuity, you're guaranteed a specific dollar payout each month. The amount will depend on a number of factors, including the amount you invest, your age, gender, current interest rates, and the number of years for which you want to guarantee your income payments. This income stream is virtually risk-free. These kinds of investments are attractive if you want:

• A dependable stream of income for a specific time period or for life.
• A relatively simple and convenient investment that doesn't require ongoing decisions.
• Peace of mind that you won't outlive the income.
• A diversified investment portfolio.

There are numerous types of annuities, including:

• Life, which provide you with guaranteed income for the rest of your life.
• Term certain, which provide guaranteed, regular income for a specific period of time.
• Prescribed, which offer potential preferential tax treatment.

Segregated funds: growth potential with peace of mind.

Segregated funds are individual annuities that form part of professionally managed pool of funds much like mutual funds. Because they are insurance contracts and are covered by the Insurance Act, they offer a number of distinct advantages. (The term "segregated" refers to the fact the investment is separated from the general assets of the insurance company.)

• Guarantee: Depending on the segregated fund, your capital investment will be protected within a range of 75% to 100% at maturity (typically 10 years).
• Creditor protection: If you run into financial problems and have to declare bankruptcy, segregated funds may offer a degree of protection for your investments.
• Estate planning: When you die, the assets in your segregated fund pass directly to the beneficiary, bypassing all or some estate taxes and probate fees.

There are other factors to weigh when considering segregated funds for your portfolio:

• Depending on the fund, there may be a lack of flexibility or a penalty if you want to cash out early.
• There may be a minimum premium, typically monthly, that requires you to pay a prescribed amount each period.
• Sales commissions and management fees may be higher, which will reduce your return.

The right advice makes all the difference.

As with any decision regarding your investment plan or retirement options, it's best to speak with an insurance advisor to ensure your decisions are well-informed and aligned with your overall financial plan.