Investment policy and strategy for participating policies

The investment objective of the underlying investment in participating policies is to ensure that we can meet the guaranteed benefits1 committed to you while delivering competitive returns in order to satisfy the reasonable expectation for policyholders through non-guaranteed dividends and bonuses2. Currently, there are three investment strategies adopted and applied to different types of participating policies. Each strategy has different allocations of asset types, geographical and denominated currency which drives investment returns and risks.


Participating policies investment strategy – type 1

The strategy applies to the following products: RetireRich Income Plan, SaveEnhancer Endowment Plan, Life 100 Whole Life Protection, LifeTrack Assurance Series – Endowment Plan, Child Education Savings Plan and Target Achiever Savings Plan.

The underlying investment has a diversified portfolio, mainly in government bonds, corporate bonds, equities and cash. The range of allocation3 is as follows:

  Cash Government
bonds
Corporate bonds Equities
Allocation 0% – 15 % 20% – 65% 30% – 60% 0% – 30%

The investment is allocated mainly in Hong Kong and the Greater China Region, with assets denominated mainly in USD and HKD.


Participating policies investment strategy – type 2

The strategy applies to the following products: Enricher Savings Insurance Plan, Enricher 2 Savings Insurance Plan, MyCare Early Stage & Major Crisis Cover, SmartRich Income Insurance Plan, IncomePro Insurance Plan, Aviva LifeReward Insurance Plan and Aspire Endowment Plan.

The underlying investment has a diversified portfolio, mainly in government bonds, corporate bonds, equities and cash. The range of allocation3 is as follows:

  Cash Government
bonds
Corporate bonds Equities
Allocation 0% – 15% 0% – 40% 20% – 50% 25% – 65%

The investment is allocated mainly in Hong Kong and the Greater China Region, with assets denominated mainly in USD and HKD.


Participating policies investment strategy – type 3

The strategy applies to MyWealth Prime Savings Insurance Plan.

The underlying investment has a diversified portfolio, mainly in government bonds, corporate bonds, equities and cash. The range of allocation3 is as follows:

  Cash Government
bonds
Corporate bonds Equities
Allocation 0% – 15% 0% – 40% 15% – 45% 30% – 70%

The investment is allocated mainly in Hong Kong and the Greater China Region, with assets denominated mainly in USD and HKD.

Investment strategy of participating policies is reviewed at least once a year. We might conduct more frequent reviews and make necessary adjustments to investment strategy in response to market fluctuations and trends. Any changes in investment policy and strategy are governed by the corresponding management committee and the Board of Directors.


Remarks´╝Ü

  1. Guaranteed benefits such as guaranteed cash value, guaranteed death benefit, guaranteed cash coupon, guaranteed annual income and additional bonus. Please refer to your policy contract regarding which form(s) of guaranteed benefit(s) is/are applicable to your policy.
  2. Dividends/bonuses such as annual dividend, non-guaranteed annual income, terminal dividend, reversionary bonus, terminal bonus and interest on accumulated annual dividend/guaranteed cash coupon/guaranteed annual income/additional bonus. Please refer to your policy contract regarding which form(s) of non-guaranteed benefit(s) is/are applicable to your policy.
  3. There may be a possibility that actual allocation is out of above range due to market fluctuations. If this happens, there will be corresponding actions to bring the allocation back to the range.