Life Income Funds (LIFs)

Description
Life Income Funds are investment instruments used to hold and payout pension funds upon retirement. LIFs allow an investor to convert his or her retirement savings into retirement income. A LIF is created by transferring locked-in pension assets from a pension plan, from a regular or locked-in RRSP or from a LIRA.

Objective
To provide retirement income.

Suitability
Customers turning 69 who need to convert locked-in funds into an income vehicle.

Features

• Conversion: Mandatory conversion to a life annuity at age 80. Rules vary among provinces.
• Withdrawals: A LIF has a maximum annual withdrawal amount and must be used to purchase a life annuity when the plan holder reaches age 80. There are different regulations in different provinces.

Please contact your Edward Jones financial advisor* to determine which regulations apply to you.

For more information, please contact your Edward Jones financial advisor.