RRSP - Wawanesa Life...RRSP s are: Investments that utilize a government tax shelter to defer the...
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RRSP Daily Interest Account Interest is earned and compounded in this account daily. The value of the Daily Interest Account is guaranteed by the Company and is defined as money contributed plus interest earned less any amounts withdrawn. (Interest rates are subject to change at any time). Higher interest rates are rewarded to accounts with balances exceeding $1,000. Rates are competitive with money market funds. No administration fees. RRSP’s are: • Investments that utilize a government tax shelter to defer the taxation impact, which allows for accelerated growth. • Limited to investment contributions of 18% of your 2017 income to a maximum of $26,230 for 2018, (projected maximum of $26,500 for 2019). • Able to carry forward any unused credit from 1991-201 which could allow for a contribution cap greater than $26,230 for 2018. Wawanesa Life’s RRSP offering is a Guaranteed Retirement Annuity (GRA). The GRA has been designed for individuals who are using the tax deduction and deferral provisions in the Income Tax Act for their retirement savings. The GRA investment options are: 1. A Daily Interest Account 2. Non-Guaranteed Segregated Funds Market Participation Option (MPO) 3. Guaranteed Investment Accounts Wawanesa Life offers four MPO funds: 1. The Canadian Equity Index Fund 2. The U.S. Equity Index Fund 3. The International Equity Index Fund 4. The Canadian Bond Index Fund Subject to any applicable Maturity and Death guarantee, any part of the premium or other amount that is allocated to a segregated fund is invested at the risk of the contract holder. It may increase or decrease in value according to fluctuations in the market value of the segregated fund assets. The MPO provides you as a GRA policyowner the opportunity to participate in the Canadian bond market and major stock markets in North America and throughout the world by allowing you to purchase units of segregated funds. You can allocate a percentage of your contribution amounts to buy units of segregated funds, and can make contributions in lump sums (Wawanesa Life may require a $500 minimum contract balance after the first 12 months), or by PAD (Pre-Authorized Debit) for as little as $25 per month. Because buyers of segregated fund units assume a higher degree of investment risk, there are some very important differences between how segregated fund and guaranteed investments are sold, you must be sure to discuss the investment risks with an insurance and financial services advisor. Non-Guaranteed Segregated Funds - The Market Participation Option (MPO) ®
Transcript of RRSP - Wawanesa Life...RRSP s are: Investments that utilize a government tax shelter to defer the...
RRSP
Daily Interest AccountInterest is earned and compounded in this account daily.
The value of the Daily Interest Account is guaranteed by the Company and is defined as money contributed plus interest earned less any amounts withdrawn. (Interest rates are subject to change at any time).
Higher interest rates are rewarded to accounts with balances exceeding $1,000.
Rates are competitive with money market funds.
No administration fees.
RRSP’s are:
• Investments that utilize a government tax shelter to defer the taxation impact, which allows for accelerated growth.
• Limited to investment contributions of 18% of your 2017 income to a maximum of $26,230 for 2018, (projected maximum of $26,500 for 2019).
• Able to carry forward any unused credit from 1991-201 which could allow for a contribution cap greater than $26,230 for 2018.
Wawanesa Life’s RRSP offering is a Guaranteed Retirement Annuity (GRA). The GRA has been designed for individuals who are using the tax deduction and deferral provisions in the Income Tax Act for their retirement savings.
The GRA investment options are:
1. A Daily Interest Account2. Non-Guaranteed Segregated Funds
Market Participation Option (MPO)3. Guaranteed Investment Accounts
Wawanesa Life offers four MPO funds:1. The Canadian Equity Index Fund2. The U.S. Equity Index Fund3. The International Equity Index Fund4. The Canadian Bond Index Fund
Subject to any applicable Maturity and Death guarantee, any part of the premium or other amount that is allocated to a segregated fund is invested at the risk of the contract holder. It may increase or
decrease in value according to fluctuations in the market value of the segregated fund assets.
The MPO provides you as a GRA policyowner the opportunity to participate in the Canadian bond market and major stock markets in North America and throughout the world by allowing you to purchase units of segregated funds. You can allocate a percentage of your contribution amounts to buy units of segregated funds, and can make contributions in lump sums (Wawanesa Life may require a $500 minimum contract balance after the first 12 months), or by PAD (Pre-Authorized Debit) for as little as $25 per month. Because buyers of segregated fund units assume a higher degree of investment risk, there are some very important differences between how segregated fund and guaranteed investments are sold, you must be sure to discuss the investment risks with an insurance and financial services advisor.
Non-Guaranteed Segregated Funds - The Market Participation Option (MPO)
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Guaranteed Investment Accounts
Interest rates are guaranteed and compounded on an annual basis.
At the end of the term the accumulated value will be rolled over into a new account with the same term as the prior term, unless Wawanesa Life is notified otherwise.
No fees: no front-end fees, no administration fees or termination fees.
An investment account may be surrendered prior to the end of its term, however it may result in a Market Value Adjustment being charged. This would be applicable if the interest rate, on the date the account is surrendered, plus ½% exceeds the guaranteed rate.
Contributions which are less than $500 will be held in the daily interest account until the total of the accumulated contributions plus interest held in the daily interest account attains $500 (or if you indicate, another greater amount). At that time an Investment Account will be created automatically for a term chosen by you.
Contributions may also be made using Monthly PAD for as little as $25 per month.
No PAD fees.
PAD deposits will accumulate with daily interest until the minimum required to create an Investment Account is accumulated.
A GRA may be created for as little as $500.
A GRA policy may contain a number of Guaranteed Investment Accounts with different terms. Terms of 1, 2, 3, 4, 5, 7 and 10 years are available.
RRSP
For additional information on how Wawanesa Life can benefit you and your family, contact your broker or your nearest Wawanesa Life
branch today.
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