Helping Your Clients Understand Segregated Funds

Segregated Funds have been around for over 50 years yet many Canadians have never heard of them. As their advisor, you can help your clients understand more about them so they can explore all their options and achieve the right balance for their retirement.

Share the short client article below and educational video that explains what segregated funds are and provides examples of two portfolios in a bull market and a down market.

Contact your client today to help them achieve that peace of mind.

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Growing and Protecting Your Retirement Savings


Policy Transfers from Individuals to Corporations: Still Worthwhile?

The following is an excerpt from the 6th edition of Estate Planning with Life Insurance, by Glenn Stephens, released November 2016.

The March 22, 2016 budget eliminated the income tax advantages of many policy transfers from individual shareholders to corporations. However, the changes primarily affect transactions that involve consideration significantly greater than a policy’s cash surrender value (CSV) or adjusted cost basis (ACB), and there is no requirement that a transfer from shareholder to corporation take place at any particular price. In many cases, it will be to the client’s advantage to transfer a policy to his or her corporation for a lesser amount (generally not exceeding the greater of the policy’s ACB and CSV). Considering the following:

  • Where a policy’s ACB is greater than its CSV at the time of the transfer, it may be sold to the individual’s corporation for an amount equal to the ACB without tax consequences.
  • Where a policy’s CSV is greater than ACB, the difference will be taxable on any policy transfer from an individual to his or her corporation even if the consideration paid is less than CSV. In such cases it may be advisable to set the purchase price at CSV as that will represent the minimum proceeds of disposition in any case. It may still make sense to transfer the policy if the resulting tax liability is not considered onerous.

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How Changes to the Taxation of Trusts may Impact You


Help Family Enterprise Clients Avoid ‘Shirtsleeves to Shirtsleeves’

Running a family business has challenges that include head and heart issues which aren’t typically present in other businesses. However, the proverb about shirtsleeves to shirtsleeves – that family enterprises often fail by the third generation – does not need to be a reality for these families. Family enterprises can improve their chances of achieving intergenerational continuity by building their knowledge and skills – and by working with advisors who understand their unique needs and goals.

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Empower the Enterprising Strength of your Family


Insurance Options

When your client is ready to create a financial plan, your role is to analyze their particular situation and help them choose the best combination of coverage and payment options. The decision-making process and the various available options can be a bit perplexing and stressful.

Share the client article below and accompanying short video that introduces what options are available and the process of purchasing a policy.

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Smart Talk About Your Insurance Options


Categories of Insurance – Explained for Your Client

There are many categories of insurance plans and various products available that can make the decision-making for your client perplexing, stressful, and difficult. It is in your, and your clients’, best interest to help them understand the basic types of insurance and guide them in choosing the best combination of coverage and payment options.

Share the client article below and accompanying short video that explains the difference between Term and Permanent life insurance and more about other categories of insurance such as Living Benefits, Critical Illness, Long Term Disability, and Long Term Care.

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Smart Talk About Choosing the Right Insurance



Changes to the Taxation of Exempt Policies

Legislative changes that affect Canadian life insurance policies take effect January 1, 2017. Many insurer deadlines are just around the corner and it’s important for you and your clients to take action now before it’s too late.

If you have clients who are considering making changes to an existing policy or the purchase of permanent insurance, speak to them now to discuss the potential benefits of taking action as soon as possible.

Use PPI Toolkit’s Changes to the Taxation of Exempt Policies applet to illustrate three key areas that should be considered by your clients:

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Changes to the Taxation of Exempt Policies – Act now before it’s too late


How Life Insurance can Help your Client’s Favourite Charity

The gifting of life insurance to registered charities has always been a popular method for individuals to fulfill their philanthropic goals. For some of your clients, this may be worth considering when it comes to a charity that is near and dear to their heart.

There are two basic options:

  • donate a policy while the client is alive or
  • make the registered charity a beneficiary of the policy

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How your Life Insurance can Help your Favourite Charity


What Your Clients Should Expect When they Apply for Insurance

Prepare for the future. Live in the moment. Our clients hear this advice all the time and wonder which makes more sense. Well, the answer to that is easy – if they prepare for the future, it makes living in the moment a lot easier to do.

Applying for insurance is one of those important tasks that can help your client plan for the future but it can be a little overwhelming for them. There are difficult decisions to make, a lot of questions to answer, paperwork, interviews, and medical tests. You can help make this process easier for them by letting them know what to expect.

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What to Expect When you Apply for Insurance


Coordinating the Completion of Your Client’s Will

Did you know that over 50% of Canadians do not have a will?*  Why? Some don’t know how to get started while others believe they can’t afford it.

Do your clients have a will in place? Is it up-to-date? Help your clients understand the importance of having a will. A will is an important part of their overall plan and without one, assets would be distributed as per provincial intestate legislation. This process takes time, can increase costs, and probably will not match their wishes for their estate. A will is needed in most cases – anyone with assets and/or wishing to give direction for the distribution of assets upon death.

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Where there’s a will, it will be your way