Anybody can share their experience with AXA Wealth Accelerate ILP?

With any ILP, I would say it's normal to be aware of the potential charges and associated fees. As an advocate for AXA WA, for a MIP of 30 years, the fees tend to taper off after the initial 5 years period.

According to AXA's product summary, here's the description of the fees:

The AMF is payable from the IUA during the MIP.

The AMF is calculated as below:

Monthly AMF = (AMF Rate per annum / 12) x the Account Value of the IUA as

of the due date for the AMF

AMF Rate per annum: 3.4% of IUA Value

These rates are guaranteed throughout the MIP. No AMF is payable after the end of the MIP.

The Investment Management Fee is payable during the Policy term and as long as the Policy is in force.

Monthly IMF = (IMF Rate per annum / 12) x the AUA Value as of the due date for the IMF IMF

Rate per annum: 1.0% of AUA Value

The IMF rate is guaranteed throughout the Policy term.

The highest charges are in the first 5 years of your accumulation period, which is 4.4%. The bonus given for 30 years MIP at 200% also goes on to mitigate the charges that will potentially affect your returns.

If you are looking to invest in the long haul and not looking to withdraw and surrender pre-maturely, then your fees are pretty much fixed and will naturally reduce over time as you are incurring more of 1.0% of AUA Value.

Now, in fact, your primary concern is the sub fund selection and your fund allocation. For this ILP, it makes no sense to invest in bonds since many higher quality bonds are unable to produce a return above 4%.

Your advisor should be assisting you with the various sub fund selection as well as optimizing the fund allocation such that you are able to generate the best risk free return.

If you are in doubt and would like to discuss, please don't hesitate to contact me for more information.​​​

Hi Anon! You are right to say that it is not an insurance-based ILP. It only has a 1% additional death benefit which is a plan feature you do not pay for. I personally think AXA Wealth Accelerate ILP is quite a competitive ILP in the market, I myself also have one towards my retirement goal :)

If you bought into a good fund, I think it's a pretty good plan towards a long-term goal with the 3 bonuses it offers. In general, the longer minimum investment period (MIP) you have, the lower the charges.

Also, earlier in the year, the good news is that AXA have increased the number of Free Partial Withdrawals for AXA Wealth Accelerate MIP 25 and 30 to provide customers greater comfort in committing to longer premium terms:

MIP 25

• Any Policy Year: 2 Free Partial Withdrawals

• Policy Year 16 onwards: can do a 3rd Free Partial Withdrawal

MIP 30

• Any Policy Year: 2 Free Partial Withdrawals

• Policy Year 16 onwards: can do a 3rd Free Partial Withdrawal

• Policy Year 21 onwards: can do a 4th Free Partial Withdrawal

• Policy Year 25 onwards: can do a 5th Free Partial Withdrawal

Other conditions of Free Partial Withdrawal remain the same. Each Free Partial Withdrawal can only be from Accumulation Units Account and is subject to a cap of 2 times of the prevailing Annual Regular Premium. No Power-Up Bonus or Loyalty Bonus will be given in the next 12 policy months if a Free Partial Withdrawal is exercised.

So long as you are investing your surplus (ie. monies you do not need), have a mid to long term horizon and are comfortable investing that amount in the MIP with the level of liquidity it provides, I think that AXA Wealth Accelerate is not a bad choice (if you get a good fund).