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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

separate account  

Definition 1.

A pooled fund created by an insurance company which is segregated from the general funds maintained by the company for the purpose of paying claims. Separate accounts invest in a variety of securities and funds and often contain retirement funds.
 

Definition 2.

1. A privately managed investment account opened through a brokerage or financial advisor that uses pooled money to buy individual assets. 2. In the context of variable annuities, these are payments made to an insurance company for the purpose of investing in securities. These securities are kept separate from the insurer's general investments.
 
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