As per last topic mentioned, Maybank launched it newly plan known as Luxury Edition, a single premium closed-ended investment fund insurance plan with capital guaranteed by Maybank Berhad. Let read the information given by news as below,
KUALA LUMPUR: To tap into potential of the luxury goods market, Malayan Banking Bhd (Maybank) has launched Luxury Edition, a single premium closed-ended investment-linked insurance plan in Malaysia.
Maybank Luxury Edition offers a combination of insurance protection and investment for potentially higher returns, all within one single plan. It is the first such investment-linked plan in Malaysia which is tied to the luxury market.
The largest financial group in the country targets to achieve its cap of RM275 million in sales by the time the fund closes on 7 May 2013.
Luxury Edition is a 3-year single premium closed-ended investment-linked insurance plan that invests part of the collected premium in an option linked to a basket of six stocks within the luxury theme listed at various stock exchanges. The plan is tailored with potentially higher returns riding on the constant rise of the luxury goods market.
Maybank deputy president & head of community financial services, Datuk Lim Hong Tat said this new plan was designed to meet the increasing demand for attractive investment products that will fit the varying risk profiles of customer segments.
“Luxury Edition is capital guaranteed and has a number of other attractive features that will interest customers who believe in the growth potential of the luxury market,” he said in statement today.
Datuk Lim added that based on research, the luxury market has outgrown global GDP by more than two-fold over the last 10 years and this trend is expected to continue.
“In fact, growth statistics from emerging markets has clearly shown the increasing prominence of luxury spending in these markets,” he explained. “This positive growth has given us the opportunity to tap into the affluent market providing our customers with an insurance plan which offers exclusive advantages,” he said.
Datuk Lim also said that emerging markets are expected to make up over 70% of the global luxury goods market size by the year 2020, with growth expected to be driven by countries such as Macau, China and Russia.
“All these factors highlight Luxury Edition's unique features which we believe will drive demand for this new investment plan. It is risk-free as customers could enjoy potentially higher investment gains apart from the capital guarantee, while being protected at the same time,” he said.
The Luxury Edition plan, underwritten by Etiqa, requires a minimum investment of RM15,000, with additional investments in multiples of RM1,000.
With a short tenure of three years, the plan offers a potential gross cash payout of 8% at the end of the second and third policy year. Apart from the cash payout, the plan offers 100% capital back, 10% of the Single Premium at the end of the first policy year and the remaining 90% at maturity while giving customers life coverage of up to 130% of the capital during investment period.
A short definition is Luxury Definition is a 3 year single premium investment linked plan that invest in luxury market with possibility to earn 8% per annum with minimum investment amount $15,000 and in multiple of $1,000 for additional.
# Capital is guaranteed 100% by Maybank, 10% of the capital will be return on 1st year while 90% of the investment amount will be gain at end of the 3th year tenure.
# A chance or possibility but not guaranteed in 8% payout at the 2nd and 3rd year.
# Short tenure because it only take three years.
# Life insurance protection with subject to minimum 105% of single premium to maximum 130%
# Diversification of portfolio
# Assuming the portfolio does return 8% from stock invesment, the total of three year average return will be at 4.53% per year.
# Imposed 3.30% sales charge which already included 1.1% commission, assuming invested $100,000 into this plan, $3,300 will be charge as sales imposed and leave your investment amount at $96,700.
# Fund management charge maximum 0.30 per annum from the current date for Net Asset Value (NAV)
# Investment return is not guaranteed and subject to the return from luxury investment stocks.
# Return from the investment is not guaranteed and promise in the form of re-invest, it could be given in cash form only.
# Investment tax 8% of any return given on 2nd and 3rd year.
From my personal opinion, we heard that Amanah Hartanah Bumiputera is managed by Maybank Asset Management. However for this case, maybank still keep their fees,charge and return if portfolio not making 8% of the interest by using public investor asset. By using our money to invest and expect a 8% return, It still not a good investment for me. but probably maybe good for you?
This post has been edited by adolph: Apr 10 2013, 12:07 AM
MAYBANK NEWLY LUXURY EDITION 8% RETURN, guaranteed 100% capital