Segregated Fund

Segregated Fund This is a special offering by an insurance company that protects investments that are made. The insurance company is able to guarantee that an investment will yield a specific return once it has matured. If this return is not met, the investor has the right to money from the segregated fund. It is called segregated because all of the funds are completely separated from the other investments that have been made, which prevents then from getting the same return as the other investment. There are also a number of fee exemptions with this type of fund, which will save the investor money if this becomes necessary.