deepblueli
Senior Member
- Joined
- Jan 19, 2004
- Messages
- 655
- Reaction score
- 34
Hi all,
I wonder if any fellow forumer has looked into this endowment plan.
https://www.ocbc.com/personal-banking/insurance/campaign/maxadvancepayout-cpa.html
According to my calculation, this can potentially hit between 1.4-3.1% if you're not withdrawing the 1K out.
If you don't withdraw 1000, you will end up with extra 15,617.80 at maturity (PMT = 1K, N = 13 years, I/Y = 3%, compute FV)
Below is how I calculate in financial calculator:
CF0 = 0
CF1 = -2,639.20 (using the example in the website)
F01 = 10 years
CF2 = 0 (no payment required)
F01 = 4 years
CF3 = 14,600 (guranteed benefit) + 15,617.80 (due to non-withdrawal of 1K)
Compute IRR, which is 1.426% without non-guaranteed bonus.
If you add 4.75% of non-guaranteed bonus (i.e. add 5,248 to CF3), you will have IRR = 3.117%.
So, you are earning between 1.426% and 3.117%.
Does it sound like a good regular saving plan?
They have promo now with $200 cash credit and $30 for completing their survey.
I wonder if any fellow forumer has looked into this endowment plan.
https://www.ocbc.com/personal-banking/insurance/campaign/maxadvancepayout-cpa.html
According to my calculation, this can potentially hit between 1.4-3.1% if you're not withdrawing the 1K out.
If you don't withdraw 1000, you will end up with extra 15,617.80 at maturity (PMT = 1K, N = 13 years, I/Y = 3%, compute FV)
Below is how I calculate in financial calculator:
CF0 = 0
CF1 = -2,639.20 (using the example in the website)
F01 = 10 years
CF2 = 0 (no payment required)
F01 = 4 years
CF3 = 14,600 (guranteed benefit) + 15,617.80 (due to non-withdrawal of 1K)
Compute IRR, which is 1.426% without non-guaranteed bonus.
If you add 4.75% of non-guaranteed bonus (i.e. add 5,248 to CF3), you will have IRR = 3.117%.
So, you are earning between 1.426% and 3.117%.
Does it sound like a good regular saving plan?
They have promo now with $200 cash credit and $30 for completing their survey.
