Variable Insurance Trusts
A variable insurance trust ("VIT"), much like a mutual fund shared trust, is a single
registered entity through which a series of funds can be registered with the SEC
and the funds within the trust are advised by multiple advisors. However, shares
of VIT funds are sold only on life insurance platforms and are offered to separate
accounts of participating life insurance companies for the purpose of funding variable
annuity contracts and variable life insurance policies.
Listed below are the benefits specific to a VIT.
- Shares of VIT funds are not offered directly to the general public, which creates
a new distribution channel for your strategy.
- Competition on insurance company platforms is limited allowing your fund a better
chance of gaining new investors than on a more widely used platform.
- The insurance company is essentially selling your fund for you when they are selling
their products, which can lead to more active distribution of your fund.
Gemini has launched the Northern Lights Variable Trust to service variable insurance
trust funds. Multiple advisors have joined the trust utilizing a variety of insurance
companies.
For more information about the Northern Lights Variable Trust, contact us today.