Read this
article. The Wall Street bankers are primarily interested in earning the large fees by creating these products. They will leave it to the retail investors to face the consequences. Advice: stay away from all types of exotic products when they come to Singapore and are marketed to you.
Do you think the U.S. government will investigate this new "product"?
ReplyDeleteThey must have got the idea from a number of TV shows, where people diagnosed with AIDS sold their policies to brokers for lesser amounts than the actual payouts. That way they got to enjoy their money while still alive. None for the dependents who survived them.
ReplyDeleteAren't the insurance companies doing the same here?
ReplyDelete1.By packaging an old product in new wrappers.
2.By burying an old product that has gone fart deep below additional useless benefits and pass off as new exotic products with revolutionary name to beguile the unwary consumers.
3.by using unqualified agents to peddle them with high commission.
These are but some unethical means the insurers are using to sell par products, like whole life and endowment.
what we learn from history is that people don't learn from history...
ReplyDeleteMoney makes the world goes round. Don't fight it, once the financial system in US stabilized, financial engineering will go into full swing and such product will evolve. Arm yourself with finanical knowledge and prepare for the next wave of "safe" products with high returns. Go in with your eyes open. Don't depend on MAS or Govt, but depend on yourself. The "safe" product may not get you, but it will get the next generation or the people other than the 10,000 MB investors.
ReplyDelete