What type of investment has the ability to bypass probate?

A segregated fund can bypass probate when a beneficiary is named because it is an insurance contract rather than a regular investment fund. Upon death, the proceeds can be paid directly to the named beneficiary instead of passing through the estate. This can reduce delays, preserve privacy, and potentially avoid probate fees depending on the province. Mutual funds and exchange-traded funds normally form part of the estate unless held in a registered plan with a named beneficiary or structured through another estate-planning arrangement. Structured products also generally do not automatically bypass probate. The probate advantage is one of the important estate-planning features of segregated funds, along with maturity and death benefit guarantees. Therefore, Option A is correct.