There are a number of investments that you can choose to build the portfolio that will provide you with the returns you need to achieve your financial goals now and in the future. Each have a number of advantages and options that can be customized to suit your needs.

Segregated Funds

Segregated Funds are an investment that has the growth of a mutual fund with the security of a life insurance policy. These funds guarantee you at least 75 or 100% of your initial investment upon maturity or death, which allows your investment to be protected against market fluctuations. In addition, since they are a type of insurance policy, these funds offer protection from creditors, making them a good option for business owners. Another advantage of these funds is that they bypass probate fees upon death allowing your beneficiaries the full benefit of the investment.

Guaranteed Investment Certificates (GICs)

A GIC is a safe investment with little risk. As the name suggests, you are guaranteed at least your investment at the end of your term. GICs hold a specific term from a few months to 5 years. There are many options on the type of GIC you invest in – term, fixed or variable interest rates and certain GICs that provide you income throughout the term.

Registered Retirement Savings Plan (RRSP)

A RRSP is a savings plan that is designed to save for retirement. The advantages of a RRSP are that you are not taxed on the amount you invest until you withdraw the investment (which, upon retirement usually means you’ll be in a lower tax bracket) and that you receive tax deductions when you contribute to your RRSP.

With your RRSP, you can also take advantage of the First Time Home Buyer’s Plan, where you can withdraw up to $25,000 to purchase your first home with no penalty (note: you must pay that amount back within 15 years).

Tax-Free Savings Account

A TFSA is an account where you can deposit a limited amount each year and all earnings in your TFSA are tax free. Depending on how you invest the money in your TFSA (exchange traded funds, GICs, stocks, bonds and cash savings), you can withdraw money at any time and the amount you withdraw increases your limit for next year.