Retirement Planning & Investments
Solid planning and sound investments you can count on.
Regardless whether it’s your first foray into retirement planning and/or investments, or you’ve got a solid foundation to work with, an experienced member of our financial services team can help you make the most of the opportunity at hand.
RRSP (Registered Retirement Savings Plan)
A Registered Retirement Savings Plan (RRSP) is a type of Canadian account for holding savings and investment assets. Introduced in 1957, the RRSP’s purpose is to promote savings for retirement by employees and self-employed people. It must comply with a variety of restrictions stipulated in the Canadian Income Tax Act. Rules determine the maximum contributions, the timing of contributions, the assets allowed, and the eventual conversion to a Registered Retirement Income Fund (RRIF) at age 71.
RESP (Registered Education Savings Plan)
A Registered Education Savings Plan, or RESP, is an investment vehicle used by parents to save for their children’s post-secondary education in Canada. The principal advantages of RESPs are the access to the Canada Education Savings Grant (CESG) and a source of tax-deferred income.
RRIF (Registered Retirement Income Fund)
A Registered Retirement Income Fund (RRIF) is a tax-deferred retirement plan under Canadian tax law. Individuals use an RRIF to generate income from the savings accumulated under their Registered Retirement Savings Plan. As with an RRSP, an RRIF account is registered with the Canada Revenue Agency.
A mutual fund is a type of professionally managed collective investment scheme that pools money from many investors to purchase securities. While there is no legal definition of the term “mutual fund”, it is most commonly applied only to those collective investment vehicles that are regulated and sold to the general public. They are sometimes referred to as “investment companies” or “registered investment companies.” Most mutual funds are “open-ended,” meaning investors can buy or sell shares of the fund at any time. Hedge funds are not considered a type of mutual fund.
A Locked-In Retirement Account (LIRA), and the virtually identical Locked-in Retirement Savings Plan(LRSP), are Canadian investment accounts designed specifically to hold locked-in pension funds for former plan members, former spouses or common-law partners, or surviving spouses or partners. Funds held inside LIRAs/LRSPs will normally only become available (or “unlocked”) to holders upon retirement
TFSA (Tax-Free Savings Account)
The Tax-Free Savings Account (TFSA) is an account that provides tax benefits for saving in Canada. Contributions to a TFSA are not deductible for income tax purposes. Investment income, including capital gains and dividends, earned in a TFSA is not taxed, even when withdrawn
A segregated fund is an investment fund that combines the growth potential of a mutual fund with the security of a life insurance policy. Segregated funds are often referred to as “mutual funds with an insurance policy wrapper”.