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Investment choice to power your retirement
Eagle LifeTrust
Is retirement looming in the distance? Then Eagle LifeTrust is designed for people like you who would welcome an extra fund to make your retirement comfortable. Imagine paying for only 5 years for a policy that spans 10 to 30 years! Your life cover is 5 times the initial annual premium.
The investment choice you get is amazing!
LifeTrust offers 4 Unit-Linked investment fund options. This gives you the flexibility of choosing how your money should be invested in terms of the risk and the security of the return on investment. You can choose one or a combination of funds based on the risk and return mix you would like to opt for.
Protected Fund
Secure Fund
Balanced Fund
Growth Fund
A guaranteed rate of return will be declared for a 12-month period at the beginning of each year. Irrespective of this, the unit price will move according to the market performance. At maturity, the value of the fund with the year on year guaranteed return will be compared with the actual maturity value (based on market performance) and whichever is higher will be paid.
A
higher proportion in debt securities with a lower exposure
to equities provides progressive returns
Investment in both debt and
equity provides a good balance between risk and return
High capital growth by investing a higher proportion in the equity
market
Fund Composition
Debt Securities: 80-100%
(Treasury Bills, Treasury Bonds & Corporate Debentures) Equities: 0-20%
(Stocks traded in the stock market)
Investing 100% in the Protected Fund which declares an annual rate of return each year.
Investing 100% in Secure, Balanced or Growth Funds.
Investing in a combination of Protected Fund and any or all of the other Unit-Linked Funds
In options b) and c) a minimum of 10% should be invested in
each selected fund.
How does your money grow?
If you are 30 years and take a 10 year plan (you pay for only 5 years) this is your projected maturity value :
Annual Premium
Projected Maturity Value **
Protected Fund
Secure – Balanced - Growth
6%
10%
6
10%
30,000
157,486
213,423
160,755
217,854
60,000
335,435
451,830
342,240
461,043
** The projected maturity values in the above table are calculated by using gross investment returns of 6% and 10% and applying the relevant charges.
The maturity value shown under Secure-Balanced -Growth has been calculated assuming the same unit growth rate for illustration purposes. The actual maturity value will depend on both the investment performance and the charges applicable in respect of each fund.
These assumed rates of return are not guaranteed and are not the upper or lower limits of what you might get back.
The flexibility you get!
Switching
Switching from one fund to another
(either partly or fully) is allowed only for Secure, Balanced
and Growth Funds. This facility is provided to you free of charge
up to one switch in a policy year. In case of a part switch,
the minimum amount switched and minimum balance in the fund
after the switch should be Rs.20,000.
Partial withdrawal
If required you can make partial withdrawals (minimum Rs. 10,000) by cashing in the units from the 3rd year onwards without any penalty, provided that the immediate fund value after withdrawal is not less than Rs. 50,000. The withdrawal amount of the preceding two years will be reduced from your life cover.
You can even change the allocation proportion of premiums to different funds at any time without a charge. This is allowed twice a year.
Entry age: 19 to 60 years at the next birthday.
Maximum age at maturity: 70 years.
Choice of maturity period between 10 and 30 year
You can pay your premium monthly, quarterly, half yearly or annually
What do you get at maturity?
At maturity, the policy value will be the total number of units multiplied by the selling price. In the case of the Protected Fund, the value of the fund with the year on year guaranteed return will be compared with this actual maturity value based on market performance and whichever is higher will be paid. Even though the life cover ceases at maturity, you have the option of maintaining your investment beyond the maturity date. In the Protected Fund, the guaranteed rate of return will also cease.
The in-built life insurance cover makes your maturity value free of tax.
A life cover of up to 5 times the annual premium
Your life cover is 5 times your annual premium. If the unforeseen occurs your loved ones will be provided with either the life cover or the fund value - whichever is higher.
What happens if the plan lapses?
If you don't pay your premiums during the first 2 years, the plan will lapse. However if you have paid for 2 years or more you can cash-in your plan at the respective unit prices subject to a penalty. Since the year on year guarantee in the Protected Fund is applicable only at maturity it will not apply at early encashment.
Alternatively, you can let your fund grow without the benefit of a life cover.
This product can be obtained only from Licensed Eagle Insurance Professionals Hotline: 2310 310
