Fixed D with prudential

[kurtgoh]

received a msg from a FA, about this new scheme from prudential;

1.9% p.a, min. $10k and above only.
lock up period: 5yeas.

if within first 3 years, terminating will incur 10% as penalty.

whats your view on this?

 

[Mr.Huttons]

No good.

OCBC 360 account can easily hit 2% (up to 3.05%), and there is flexibility.

Other endowment plans from Tokio Marine, NTUC, or manulife seems to be better.

 

[archcherub]

1.9% is not ideal, especially when locked for 5 yrs.

I am sure if you approach some foreign banks, they can give a better quote for 5yrs.

or if u prefer get from insurance company, i am sure the IFA agents here can give better deals from one of their partners.

*PAGING FOR IFA AGENTS!*

 

[Mr.Huttons]

Yes I agree, you should consult IFAs like IPP or PIAS, as they can sell products from different agencies.

Conclusion: 1.9% p.a just doesn't cut it for 5 years tie-down period. If its for 15-18 months maybe can still consider.

 

[SpinFire]

I'll want a min 3% rate to get my $$ locked in for 5 years.
If you really want endowment plans, can consider Tokio Marine. I had a policy with them several years ago, achieved a 3% annual return for a 5 year term.

 

[FP_IFA]

Actually I heard the 1.9% isn't even guaranteed.

And there is no 5 years term plan from TM now.

 

[MaoZeDuo]

manulife... capital guaranteed

returns - non-guaranteed

 

[nicholaslee]

ocbc360 better.. only need to "lock" my money for less than 2 years to achieve same returns as you.. some more is guaranteed and can withdraw anytime no penalty.

 

[kurtgoh]

ocbc360 better.. only need to "lock" my money for less than 2 years to achieve same returns as you.. some more is guaranteed and can withdraw anytime no penalty.

thanks for sharing with me, however this ocbc 360 may not be suitable for me..
as i much prefer a saving account with not much activities.
basically like a FD

 

[kurtgoh]

No good.

OCBC 360 account can easily hit 2% (up to 3.05%), and there is flexibility.

Other endowment plans from Tokio Marine, NTUC, or manulife seems to be better.

did anyone did a table comparison of this endowment plans?
mind sharing your views on which is the highest.

currently i already have an endowment plan with manu life, think the duration is 15 years.

http://www.manulife.com.sg/retirement-smartsaver-insurance.aspx
the period may be too long for me..
as i may need the money to buy a car when in due time.

http://www.tokiomarine-life.sg/indi...h-enhancement/tm-wealth-enhancement-cashback/
seems the highest % and lock up is 10years.

http://www.income.com.sg/insurance/endowment/index.asp
never state anything.. must write in to enquire

 

[Keverus]

FD....take out got penalty?

 

[Mr.Huttons]

thanks for sharing with me, however this ocbc 360 may not be suitable for me..
as i much prefer a saving account with not much activities.
basically like a FD

TS, the "activities" you mentioned are basically hassle-free. You only need to credit your salary to earn 1%, pay off 3 bills (can be any bills including own OCBC credit cards) for another 1%, and lastly (the most "effort") spend min $400 on ALL your ocbc credit cards for the last 1%.

I would say the 1st two are easily achievable, so 2% for you straight (beats out any FD in the market right now). Maximum amount of money to earn this bonus interest is only up to $50K though.

 

[cscs3]

1.9% is not ideal, especially when locked for 5 yrs.

I am sure if you approach some foreign banks, they can give a better quote for 5yrs.

or if u prefer get from insurance company, i am sure the IFA agents here can give better deals from one of their partners.

*PAGING FOR IFA AGENTS!*

That is correct. Especially need to locked for 5 years.

 

[Lewis.T]

If anything it's for a limited time offer only, the last one was quite a success for us. The 1.9% is your projected returns, with 1.5% being guaranteed per year compounding for 5 years.

 

[djchris]

The first question I would think of, is that you are obviously looking for investments. Why are you buying insurance?

 

[Mr.Huttons]

If anything it's for a limited time offer only, the last one was quite a success for us. The 1.9% is your projected returns, with 1.5% being guaranteed per year compounding for 5 years.

How is 1.9% a success?

 

[Lewis.T]

The success was in the interest shown by people! If you're not keen you can always look away.