Been seeing this product being shared by some friends on Facebook. 2% per annum compounded single endowment policy with lock in period of 5 years (SGD) or 2.5% per annum compounded for USD. Good product? In short, NO.
Lets not even bother about the usd rate as its subject to currency risk, thereby making this product's claim of capital guaranteed moot.
As for sgd (2%), the benchmark risk free rate, the singapore savings bond, gives an avg of 1.56% for the latest month's offering. A mere difference of approx 0.5% per annum, but a vast difference in terms of liquidity (since the ssb has no lock in period).
In addition, for younger people like me who hasnt maxed out their high yield savings account (ocbc 360, uob one, dbs BYOB), these accounts all beat the product's returns handily, albeit with hoops to jump through. But again, liquidity is king.
In gist, a product that I wouldn't touch nor recommend to anyone.
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