WS- What are your views on ILPs?
TKL - Very bad.
WS- In what way? I find ILPs nowadays very flexible. Can adjust sum insured amount and type of investment and can even adjust premium.
TKL - The upfront charges make the ILP policy very bad. It is better to invest in the STI ETF directly, and get the return for yourself. When you invest in the ILP, the insurance company takes away 40% of the accumulated amount. The STI ETF gives you all the flexibility that you need, and allows you to keep 95% of the total return. You can buy the insurance cover separately.
TKL - Very bad.
WS- In what way? I find ILPs nowadays very flexible. Can adjust sum insured amount and type of investment and can even adjust premium.
TKL - The upfront charges make the ILP policy very bad. It is better to invest in the STI ETF directly, and get the return for yourself. When you invest in the ILP, the insurance company takes away 40% of the accumulated amount. The STI ETF gives you all the flexibility that you need, and allows you to keep 95% of the total return. You can buy the insurance cover separately.
They are bad because they have high charges that are not disclosed to customers. Secondly, the agents are salesmen at best and they are,not investment savvy. Thirdly , the agents are all cheats. Fourthly, the insurance companies are Cheats too.
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