Who Bears The Investment Risk In A Variable Annuity? 
In Canada , Variable Annuities are called Segregated Funds -LRB- Seg Funds -RRB- or Guaranteed Investment Funds -LRB- GIFs -RRB- . They are similar to Mutual Funds . However , since they are issued by insurance companies , they have different features and benefits . The key features are described in the policy 's information folder . Any amount that is allocated to a segregated fund is invested at the risk of the policy owner and may increase or decrease in value . The policy owner bears the investment risk . As an insurance product , they do have maturity and death benefit guarantees of 75 % or 100 % . Design and options do vary . An independent insurance broker can help you find a plan that is right for you . If you have additional questions , please do not hesitate to contact me . Additional information is available at www.protectandgrow.ca 