Tan Kin Lian's Blog: Revosave

Tuesday, September 04, 2007

Revosave

COMMENT POSTED IN MY BLOG:

I hear from sources that the REVOSAVE was actually designed during Mr Tan's term as CEO.

Perhaps Mr Tan can tell us why it was not introduced to be sold during his time and after he retired, it was promoted as a good flexible hybrid plan?

REPLY:

The source is totally incorrect. I do not design any product which (in my opinion) is complicated, has a high cost, and gives poor value to the customer.

However, I think that the Revosave is better than a similar product which is sold very well in the market. It does give a choice to the consumer.

7 comments:

Anonymous said...: Buying Revosave is like buying the lesser of the evil.It is still an evil.
The ad touts it as a flexible and and among others,liquidity is one of the features.
THERE IS NO LIQUIDITY AT ALL.You get a refund of your premium AFTER 25 months and END of every year after that, you call this liquidity? I think this is misrepresentation and mis-selling.
Liquidity means ability to access your money ANY TIME without the loss to your principle.
If you want liquidity save your money in a money market( it's very liquid) fund to get about 3% and invest the difference, either in an endowment or an ILP.Instead of putting into the revosave ,this is much better alternative. Forget about the rainy or sunny day the ad. mentions.Let me tell you it will be a rainy day once you realise how stupid to put your money and got yourself tied down. for so long .
Customers must understand all this and if you don't, it is safer to get an honest and competent adviser who will not hide anything from you.; September 04, 2007 10:25 AM
Khiat Han Hwee Adrian said...: There will surely be some people who find the liquidity of such Anticipating Endowment policies attractive.

The strength of this NTUC Income plan compared to others is the Investment option where 100% of the cashback are invested into their Combined Funds. There are neither policy fees nor sales charges. Even you buy online, there are around 2.5% sales charges.

The cashback option back into the funds with 3.5% is in my opinion, a less desirable option.

The cashback option to spend is the worst option. He would have defeat the purpose of savings.; September 04, 2007 3:34 PM
Anonymous said...: They say a sucker is born every minute. There will be people who are attracted to revosave. They buy out of ignorance; strong persuasion by glib-tongued salesman and woman;out of obligation and not for financial planning reason. What plan? Plan to spend? What liquidity? One year later? If that is liquidity investment in property is also liquid, right? At least it takes about 6 months to realise your cash instead of one year.
All the options are not good , even
investing into the ILP.You may be entering at bid price but what about the management charge of 1% every year? This is not charged to the fund but to the investment and this can take a lot out of the return and maybe worse than paying one off at entry level because it is charged at total value under management. EG. down the road if the investment value is $20,000 it is 1% of the $20,000, whereas sales charge is 3% of $300 monthly investment. See the math here? This is not a good deal. It is like giving on one hand and robbing you of a bigger amount on the other hand.
It is complicated and definitely never the idea of Mr. Tan.The objective is to confuse the customer with complexity. This is like spinning someone and make her dizzy and then make her to buy.Confused!; September 04, 2007 9:22 PM
Anonymous said...: Maybe revosave is not selling well
because customers can see through the deception of this plan, people are now shifting the blame to Mr. Tan.; September 05, 2007 9:43 AM
Unknown said...: Wow! Anonymous sound so angry and well knowledgeble in insurance with all the harsh words ... well... of course you dare to use this as your are Anonymous! haha dont get so work up or else got high blood pressure.

anyway is it, in the news that ppl are baming Mr Tan? mmm just wonder where it is, from what i read in the paper the new Mr Tan said it is him and his team idea.. something like PRU CASH but better... i think this is what he said.

I have a few policies from NTUC INCOme since Mr Tan Kin Lian day. Now Im considering the Revosave. Property?Easy to liquidate, leh? how you go about it.

i have anticipate endowment similar to Revo and i believe other co. too have this polcy. its being in the market for a long time...

can you explain to me Pru Cash?; September 10, 2007 12:26 PM
Anonymous said...: Both Prucash and revosave are products designed to decieve the unwary customers. Passing off as some revolutionary product isn't going to make everybody beating a path to your doorstep. Only the naive may be conned. The majority now know that it is a retro product trying to make a comeback.The company which designed this must have run out of idea. Come on, be more creative and design something that can really add value to the customers; their wealth and protection efficiently, not some run down product to hoodwink and confuse the customers.
The company's bottom line will not be improved in this way and at the expense of the customers.; September 13, 2007 9:32 PM
Anonymous said...: Being cynical & angry with any financial product does not solve the problem.
The bottomline is everyone wants to PUT OUR MONEY IN SOME PLACE to retire comfortablly. One man's food is another man's poison. As long as we do not have an overdose of a single product, I think putting some $ in Revosave is a good idea.

I have seen numerous products & explore concepts like Buy Term & Invest the Difference. "Intellectually easy to apply, emotionally hard to ride through market cycles when we BUY TERM & INVEST THE DIFFERENCE".

I am also a very skeptical consumer. But after studying all the Products, I find it hard to find fault with Revosave. It offers Liquidity, ZERO Sales CHARGE, FREE SWITCHING + some Protection.

More importantly, THANKS to MR TAN KIN LIAN who introduced the COMBINED FUNDS when he was the CEO, we can now invest in these Solid low cost well managed diversified funds at ZERO SALES CHARGE using Revosave.
QUITE A RARE GOOD DEAL!; November 05, 2008 4:28 PM