Quote:
Originally Posted by tvp2003
One other question -- aside from undisciplined spending, are there any other pitfalls inherent to this type of product?
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The interest rate is not tied to Prime. Apparently many investment advisors sold the M1 product as being tied to Prime. For the longest time it was too. However, when the shat hit the fan with the banks last year, and the Bank of Canada started dropping interest rates, Manulife did not pass the entire savings along to the customer. Just a buyer beware thing really, make sure you know what you are signing.