AMRF (Approved Minimum Retirement Fund)

There are a number of conditions in place, which determine the ability to purchase an ARF and the value which can be transferred to the ARF. These conditions centre on the risk that the retiree may withdraw too much too soon from their ARF and not having enough funds to cover their later retirement years. Before being able to purchase an ARF, it is a requirement that the individual has some other source of minimum pension income. These qualifying conditions may also necessitate the buying of an AMRF.

An ARMF is very similar to an ARF, the primary difference is that no withdrawal can be taken from the initial capital invested until the retiree has reached 75 years of age. Withdrawals can be taken at any time from any investment gains made within the AMRF. An AMRF automatically converts to an ARF when the retiree reaches 75 years of age or upon death of the retiree.

The decision to invest funds in an AMRF versus purchasing an annuity which produce a minimum retirement income, will depend on individual circumstances.

See more >> ARF