Mutual Funds
Mutual Funds are pools of cash and investments managed by a professional fund manager. The manager buys and sells investments that fit the fund’s objectives. Each unit or share represents a fraction of every investment in the fund’s portfolio. You can think of mutual fund share as a miniature version of the entire mutual fund.
As the value of the mutual fund portfolio changes, the value of each unit also fluctuates. Simply put, if the investments make a profit, you get a piece of that profit along with everyone else in the group. If the investments lose money, everyone shares in the loss.
Benefits of Investing in Mutual Funds
- Mutual funds provide instant diversification, thereby reducing risk and volatility
- It is an easy way to diversify your portfolio
- It provides access to global markets with ease
- Your investments can be liquidated the same day
- Mutual funds can be purchased with small and flexible amounts
- Mutual funds are managed by trained professionals
- Can be purchased in most plans (RSP, RIF, LIRA, LIF, RESP, TFSA, RDSP, Open Plans)
What’s New
Fund Facts Document
Effective May 30, 2016, you must receive a Fund Facts document prior to purchasing a mutual fund. The Fund Facts document provides valuable information about a mutual fund, including the performance history, investments and the costs associated with investing in a mutual fund. To learn more view the Fund Facts guide.
Related Information
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Choosing Your Mutual Funds
Create a Portfolio that’s Right for You
With access to over 5000 different mutual funds, we can assist you in customizing a portfolio that is right for you. So, whatever your investing strategy, we offer convenience, value and easy access to meet your needs.
Working with your financial advisor, you’ll receive a consolidated investment statement that gives you a comprehensive picture of all of your investments with online access to your portfolio including timely research on all of your investments.
Transfer your investments to GP Wealth Management
We’ve made it easy to transfer the approved funds you currently hold elsewhere to GP Wealth Management – without the need to sell them.
Contact us and ask for an Investment Transfer Form. It takes only a couple of minutes to complete, and we’ll do all the work for you. With consolidated reporting, you benefit from a focused investment strategy.
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Types of Mutual Funds
Types of Mutual Funds
We offer a wide range of mutual funds. You can choose from more than 5,000 options from some of the most prominent fund families. So whatever your investing strategy, we offer convenience, value and easy access to meet your needs. Below is a list of mutual funds with the categories or areas in which they are invested including the general risk or volatility and the return potential.
Type of Fund Risk Volatility Return Potential Money market funds Low Low Government bond funds Low Low Global bond funds Low/Medium Low/Medium Mortgage funds Low/Medium Low/Medium Canadian/Global balanced funds Low/Medium Low/Medium Dividend income funds Low/Medium Low/Medium Dividend equity funds Medium Medium Canadian equity funds Medium Medium Real estate funds Medium/High Medium/High International/global equity funds Medium/High Medium/High Emerging markets funds Medium/High Medium/High Precious metals funds Medium/High Medium/High Special or sector equity funds Medium/High Medium/High If you have any specific questions, send us an email and we would be pleased to help.
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Mutual Funds FAQ
Frequently Asked Questions About Mutual Funds
In this FAQ, we answer the most common questions asked about investing in mutual funds. If you have any specific questions, send us an email and we would be pleased to help.
Are all mutual funds eligible for my RRSP?
All mutual funds are 100% RRSP eligible if they are held in Canadian currency. The rules once stated only 30% of your RRSP could be in foreign securities, however all foreign funds (commonly known as global or international funds) are eligible mutual funds that can be invested in your RRSP.
What is a MER?
A MER is a Management Expense Ratio that tells you roughly how much you are paying in management fees and expenses each year. It includes most of the fees and expenses and is expressed as a percentage of the fund’s total value.
How do you calculate the value of each unit?
To calculate the value of a fund unit (or the net asset value per share NAVPS) the fund portfolio’s total value for each day is divided by the total units the fund has issued.
Are there costs when buying a mutual fund?
Generally, there are two types of sales charges. The first, often called an initial sales charge or front-end fee, is where you would pay a percentage of the purchase amount when you buy your mutual fund units. Typically the fees range from 0% to 5% of the purchase amount.
The second type is where you can choose to wait until you sell your mutual fund units and pay a percentage of the redeemed value at the time you sell; we call this a deferred sales charge. When choosing this option, you want to be sure to hold your mutual fund units for at least six to seven years, otherwise, you face a sales charge upon redeeming your mutual fund units.
If you redeem during the first six/seven-year time frame, the deferred sales charge fee is calculated on a sliding scale, declining each year that you hold the investment (Example, 5.0% 1st year, 4.5% 2nd year, declining to 0% after year six).
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Mutual Funds Available
GP Wealth Management offers mutual funds from over 30 fund management families. Funds may be discontinued or change names without notice. Some funds have minimum initial deposit requirements, a minimum duration, or have a limited subscription.
If you have any questions about investing in mutual funds, send us an email and we would be pleased to help.
Mutual Funds Available
Segregated Investment Funds
Invesco Segregated Funds Great West Life Assurance Co. CI Segregated Funds Mackenzie Segregated Funds Canada Life Standard Life Empire Life TD Guaranteed Funds Note: Segregated Funds are Insurance Investment Products made available through GP Capital Insurance Agency Ltd.
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Mutual Fund Research
Mutual Fund Research
Whether you have a financial advisor or you do it yourself, it’s good to have resources available to help you research mutual funds.
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Get the Fund Facts Document
Simplified Disclosure with All the Facts
Effective May 30, 2016, you must receive a Fund Facts document prior to purchasing a mutual fund. The Fund Facts document provides valuable information about a mutual fund, including the performance history, investments and the costs associated with investing in a mutual fund. To learn more view the Fund Facts guide.
Investor Protection
Learn about the safeguards that have been put in place to protect your investments and savings
Client Relationship Document
We’ve developed a plain-language document that describes the relationship between you and your GP Wealth Financial Advisor or Planner.