PRUDENTIAL SAVINGS SAGA

[Shion]

Consumers must be very careful on this. A lot of agents label all these endowments as "savings" even though the first page already states the plan is not a savings (just like the one above)

 

[blurpandasg2014]

think this type of term endowment also extinct

This kind of ntuc plan best. I also have one that parents bought since 7yrs old. Called foundation policy

$688.50/yr premium.... Currently have this plan for 21yrs, surrender value $18,829.80 if keep this plan until maturity which is 55yrs old, the IRR based on the revised benefit illustrations I got last yr, it's 4.4% if I rmb correctly

 

[akwl88]

This kind of ntuc plan best. I also have one that parents bought since 7yrs old. Called foundation policy

$688.50/yr premium.... Currently have this plan for 21yrs, surrender value $18,829.80 if keep this plan until maturity which is 55yrs old, the IRR based on the revised benefit illustrations I got last yr, it's 4.4% if I rmb correctly

your irr now ard 2.3x%?

 

[soneat]

Just went to CompareFirst to take a look at what's out there that *MAYBE* sensible.
Aviva MyWealthPlan.
20 year endowment
Total Premium = 5years x S$5022
Guaranteed Maturity (Year 20) = S$36,000
Non-Guaranteed at Maturity (Year 20) = S$15086
Projected at Maturity (Year 20) = S$51086

Based on just the guaranteed amount, does this "beat" SSB at year 20? From rough (mental) calculation, I think the guaranteed IRR is about 2%. The projected IRR is about 3.6%.

 

[Perisher]

Consumers must be very careful on this. A lot of agents label all these endowments as "savings" even though the first page already states the plan is not a savings (just like the one above)

That's why we cannot depend on agents' words. Most agents have purposely misinterpret or simply don't understand their policy. Almost every agent I met sell endowment as a savings/wealth accumulation product but it's neither.

It basically does Long term regular conservative investing for you for a fee. Whether you get anything other than your capital back is a question mark.

 

[Perisher]

Just went to CompareFirst to take a look at what's out there that *MAYBE* sensible.
Aviva MyWealthPlan.
20 year endowment
Total Premium = 5years x S$5022
Guaranteed Maturity (Year 20) = S$36,000
Non-Guaranteed at Maturity (Year 20) = S$15086
Projected at Maturiy (Year 20) = S$51086

Based on just the guaranteed amount, does this "beat" SSB at year 20?

It's a 5 year premium for 20 year endowment plan?

 

[soneat]

It's a 5 year premium for 20 year endowment plan?

Yup that's right. You pay the premium annually for 5 years. I think the product itself can have many permutations and therefore different returns. So I just cited a permutation which I think has relatively high guaranteed proportion.

SSB - Need to pay entire sum upfront. Guaranteed IRR 2.x% at year 10.
Aviva MWP - You pay the sum in 5 yearly installment. Guaranteed IRR 2% at year 20. Some upside (non-guaranteed) of up to appx 3.6%? at year 20.

Btw, I don't wish to embroil in another SSB vs Endowment argument and every thread seems to spawn into similar argument. I just want to point out that while most endowment products and other participating products don't make good financial sense these days, there are still a handful ok-ok ones and these are the ones that will probably go into extinction soon. =)

 

[peacefulday]

Yup that's right. You pay the premium annually for 5 years. I think the product itself can have many permutations and therefore different returns. So I just cited a permutation which I think has relatively high guaranteed proportion.

SSB - Need to pay entire sum upfront. Guaranteed IRR 2.x% at year 10.
Aviva MWP - You pay the sum in 5 yearly installment. Guaranteed IRR 2% at year 20. Some upside (non-guaranteed) of up to appx 3.6%? at year 20.

Btw, I don't wish to embroil in another SSB vs Endowment argument and every thread seems to spawn into similar argument. I just want to point out that while most endowment products and other participating products don't make good financial sense these days, there are still a handful ok-ok ones and these are the ones that will probably go into extinction soon. =)

NTUC Income Harvest (extinct)
24 year endowment
Total Premium = 5years x S$5319.6 (total S$26598)
Guaranteed Maturity (Year 24) = S$25,000
Sum Assured = S$45,000
Current surrender value = S$48055.76

 

[soneat]

NTUC Income Harvest (extinct)
24 year endowment
Total Premium = 5years x S$5319.6 (total S$26598)
Guaranteed Maturity (Year 24) = S$25,000
Sum Assured = S$45,000
Current surrender value = S$48055.76

Ya...many of such has extinct liao. So among what's left ....a quick glance at CompareFirst suggest that the AvivaMWP has relatively high guaranteed value at end of term.

 

[peacefulday]

Ya...many of such has extinct liao. So among what's left ....a quick glance at CompareFirst suggest that the AvivaMWP has relatively high guaranteed value at end of term.

Not bad on the guaranteed value but still doubt they can achieve their future non-guaranteed portion during years of low rate environment. Ya this one maybe will extinct too, I just like single or short term premium plan (fire and forget)

 

[blurpandasg2014]

your irr now ard 2.3x%?

Haha I didn't go calculate but I know it has broken even
If solely comparing endowment, this endowment can fight with any prudential plan any day any time

 

[Shion]

Haha I didn't go calculate but I know it has broken even
If solely comparing endowment, this endowment can fight with any prudential plan any day any time

Plans that are better for consumers will be eliminated

 

[shadow84]

I have an existing Pruvantage plan at $750/mth. I recently met with another FA from Finexis who gave a 2nd opinion on my current 2x endowment/savings plans and SAF insurance that im paying at $339.

With the amount im pay, he had recommended me a life insurance of $500k for death/TPD, $250k CI from aviva and investment plan which is similar to Pruvantage at $324/mth, which is slightly higher than the amt im pay for above.

But another fren had recommended me Pruwealth as well at $25x with 3x $100k coverage on death/TPM, $150k CI + early CI.

Should I go for low-risk 'savings'or endowment plans or for the med-high risk investment?

 

[akwl88]

I have an existing Pruvantage plan at $750/mth. I recently met with another FA from Finexis who gave a 2nd opinion on my current 2x endowment/savings plans and SAF insurance that im paying at $339.

With the amount im pay, he had recommended me a life insurance of $500k for death/TPD, $250k CI from aviva and investment plan which is similar to Pruvantage at $324/mth, which is slightly higher than the amt im pay for above.

But another fren had recommended me Pruwealth as well at $25x with 3x $100k coverage on death/TPM, $150k CI + early CI.

Should I go for low-risk 'savings'or endowment plans or for the med-high risk investment?

Wah u consult pple who have conflict of interest

Gg

 

[blurpandasg2014]

I have an existing Pruvantage plan at $750/mth. I recently met with another FA from Finexis who gave a 2nd opinion on my current 2x endowment/savings plans and SAF insurance that im paying at $339.

With the amount im pay, he had recommended me a life insurance of $500k for death/TPD, $250k CI from aviva and investment plan which is similar to Pruvantage at $324/mth, which is slightly higher than the amt im pay for above.

But another fren had recommended me Pruwealth as well at $25x with 3x $100k coverage on death/TPM, $150k CI + early CI.

Should I go for low-risk 'savings'or endowment plans or for the med-high risk investment?

If you ask me....its very much advisable to CUT/SURRENDER the pruvantage plan.

If you dont have insurance coverage, recommend you to take term/whole life first. The remainder can put into aviva my wealth coupled with POSB invest saver And the lump sum that u get through surrendering ur pruvantage, u can put into SSB.

 

[Mecisteus]

I have an existing Pruvantage plan at $750/mth. I recently met with another FA from Finexis who gave a 2nd opinion on my current 2x endowment/savings plans and SAF insurance that im paying at $339.

With the amount im pay, he had recommended me a life insurance of $500k for death/TPD, $250k CI from aviva and investment plan which is similar to Pruvantage at $324/mth, which is slightly higher than the amt im pay for above.

But another fren had recommended me Pruwealth as well at $25x with 3x $100k coverage on death/TPM, $150k CI + early CI.

Should I go for low-risk 'savings'or endowment plans or for the med-high risk investment?

I suggest you make up your mind fast. $700 is quite a lot of money being wasted. Think properly before committing into another long term bundled insurance plan. You may end up buying another lemon product and terminating prematurely again.

Understand your needs and buy proper insurance coverage. Don't mix insurance with your savings/investments objectives.

 

[shadow84]

But my pruvantage is sort of making a profit for the past 19 mths, at 19% increased of what i had put in. And it does not come bundled with insurance, i had that portion removed.

Of coz, ownself buy stocks and shares is better but i dun have the know-how.

 

[Perisher]

But my pruvantage is sort of making a profit for the past 19 mths, at 19% increased of what i had put in. And it does not come bundled with insurance, i had that portion removed.

Of coz, ownself buy stocks and shares is better but i dun have the know-how.

19% profit?!

 

[Bigoya]

But my pruvantage is sort of making a profit for the past 19 mths, at 19% increased of what i had put in. And it does not come bundled with insurance, i had that portion removed.

Of coz, ownself buy stocks and shares is better but i dun have the know-how.

Are you sure it's a profit rather than the 1st yr bonus?

 

[Laneige]

But my pruvantage is sort of making a profit for the past 19 mths, at 19% increased of what i had put in. And it does not come bundled with insurance, i had that portion removed.

Of coz, ownself buy stocks and shares is better but i dun have the know-how.

This one is totally investment link plus protection or what
If investment linked v dangerous
Only know when u taking money out
By then sudden market movement can kill policy or Huat
See how one cycle fall is how bad. How gd is how gd. Timing v impt