A.T. Financial Newsletter
Want to simplify your estate plan?
Consider segregated funds
Investors typically choose segregated funds because they offer access to a range of diversified, professionally managed portfolios (similar to mutual funds) along with maturity and death benefit guarantees. But they also offer significant estate-planning benefits.

Because the death benefit goes directly to your named beneficiary(ies), it doesn’t pass through your estate. As a result, it won’t be subject to probate fees or taxes in provinces where they exist.

And because the segregated fund beneficiaries are never mentioned in your will (which is a public document), the bequest remains confidential. This can be an advantage in certain delicate family situations where you want to
leave a legacy for someone, but you don’t want your other heirs to know about it.

If you think a segregated fund could be useful in your situation, please give us a call.
The MONEY file
A risk-free 35% return!
Double-digit returns are rare these days. Risk-free double-digit returns are almost unheard of. However, by paying off a revolving credit card balance, you can achieve the same effect.

Many credit cards charge interest on overdue balances at a rate of 25% or more. So paying them off can yield major savings.

That means that if you owe $1,000 to your credit card provider, and are paying a 25% annual interest rate, eliminating that balance will save you $250. That’s a 25% after-tax return for a risk-free $1,000 investment. Not bad — but it gets better!

Consumer credit card interest is paid in after-tax dollars. In a 33% tax bracket, you need to earn more than $375.38 to pay $250 in interest. Taking that into consideration, paying down $1,000 in revolving credit card debt generates a pre-tax return of more than 35%.
graphic evidence of how investing works
Big benefits for 'Millennials' who start saving earlier

A new study1 suggests that Millennials, the generation born after 1978, are starting to save on average at age 22. That’s almost a decade earlier than their Baby-boomer parents.

Clearly, the next generation grasps the importance of starting early when it comes to saving and investing. In this chart, for example, Rupert sets aside only one-third as much as Renee, yet has over $120,000 more at age 65.

If you have children, try to make them aware of the benefits of starting early when it comes to saving. In fact, why not bring them along next time we meet? We can show them how easy it is to get started.
1 Transamerica Center for Retirement Studies®,
The Retirement Readiness of Three Unique Generations:
Baby Boomers, Generation X, and Millennials, April 2014.
For more information,
please contact us at

(647) 833-2782