Unit-linked

Unit-linked funds (also called insurance funds) are structures in which investments are linked to insurance products. Unit-linked investment funds are only accessible through participation in products such as investment-based mortgages, single premium policies or pension insurances. In these funds the insurer places those investments that affect the payout of the (investment-linked) insurance; they are not available to other investors. The holder of the insurance policy has an agreement with the insurer, not with the unit-linked fund, and has no direct claim on the unit-linked fund or the assets invested in it.

For statistical purposes, unit-linked funds are not considered to be investment funds, except when there may be several other unit holders (e.g. other insurers) in the fund.