Compare the features side by side
| Feature | Segregated fund | Typical mutual fund |
|---|---|---|
| Structure | Investment through a life insurance contract | Pooled investment fund |
| Market risk | Unit values fluctuate | Unit values fluctuate |
| Guarantees | Contract may top up maturity or death benefits | Generally no insurance-contract maturity or death benefit |
| Costs | Compare fund expenses and the cost of contract features | Compare fund expenses and any account or advice fees |
What would you use the guarantee for?
Check the maturity date against your plans and ask how early withdrawals change the guarantee. Compare funds with similar investments and risk, then compare total costs in dollars. A guarantee can be valuable under the right contract terms, and higher fees can reduce the amount you accumulate.