PruVantage Assure - ILP

I know ILPs are traditionally disdained upon.

But I was shared on this policy feature - they capture the policy values at the policy ATH - i see this as quite a worthwhile feature - like for example, if markets are down, you definitely won't want to cash out if you 've cash flow needs.

Will this be a valid feature to consider ILPs, in spite of their high charges?

Their pru funds have also performed relatively well - 8 to 12% - so I thought it may a good way to save for our kid's education fund (about 1 year-old now)

A great thing also is when you get CI, the fund still will still accumulate to the promised value (premium waiver) which I think is something you can't achieve if investing into ETFs on your own.

Looking at investment term - 10 / 15 years

Any thoughts for working parents?

Discussion (5)

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Tan Choong Hwee

06 Dec 2021

Solutions Specialist at Providend

Refer to their website:

https://www.prudential.com.sg/pruvantageassure

The lock-in of policy ATH applies to death and accidental disability coverage, not surrender value. Your policy surrender value will fluctuate according to market performance, i.e. you can't cash out the ATH value.

Again the premium waiver advantage applies to coverage, not your investment value.

If your intention is saving for your kid's education fund, investing in ETF or robo advisors would be a more cost effective choice.

If you want to CI for your kids, can structure a separate term with CI or pure CI plans.

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1M45

06 Dec 2021

"They capture the policy values at policy ATH" don't understand this statement.
8 -12% similar to ETF
If you get CI, if invest in ETF, you can just stop DCA-ing, and your portfolio will still continue to compound. So what is the different?
Usually 1st few years, only a portion of $$$ u pay is invested, normally after 5year then they invest 100% of your premium.

Dont see any benefit🤷‍♂️

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