Investment 101: Funds VS ILAS | 3-min Read
Want to know the advantages of GoWealth? Let’s first check out how GoWealth is different from investment-linked assurance schemes (also commonly known as ILAS):1 . More flexible investment terms, no lock-up periodThe investment term of ILAS is generally long and may reach 10 years or more, which helps investors to build investment habit in the long-term and helps achieving dual objective of investment and estate planning. However, if the policyholder terminates the policy payment or surrenders the policy before the designated period of the insurance policy, the value of the policy amount that can be withdrawn will be much lower than the value of the premiums paid. Investors shall take note of the long lock-up period feature of ILAS (Details can be referred to IFEC website#). On the contrary, through GoWealth, you can directly invest, with no lock-up period, in top global funds according to the latest market prices.2. No hard-sell, more intelligentSimply invest with GoWealth through WeLab Bank app📱 anytime, anywhere. With no brokers involved in the sales process or influencing your decisions, you can truly invest on your term, and enjoy our “Set, Track, Goal” feature at your fingertips. We are also backed by 5 top global fund houses - Allianz Global Investors, BlackRock, Invesco, Janus Henderson and PIMCO, to provide detailed analysis with our sophisticated system, so you can adjust your investment goals anytime📈.3. Transparent fees and no redemption feeWhile ILAS may not charge switching fee generally, there are still various types of fees and charges involved, especially in the initial years of the policy, such as surrender charges, withdrawal charges, and administrative/management charges, all of which affect investors’ returns. But GoWealth only charges a one-time subscription fee, with no extra fees if you want to redeem early!Regardless of whether choosing to invest in funds or ILAS, investors should make a well-informed decision after considering their own investment objectives, investment horizon and fees and other factors!#Investor and Financial Education Council (IFEC) - Investment-linked assurance scheme: https://www.ifec.org.hk/web/en/financial-products/insurance/product-types/ilas/index.pageDisclaimer: The above information is for reference only and does not constitute any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. The investment products or services are not equivalent to, nor should it be treated as a substitute for, time deposit. Investment involves risks, the value of investment products may go up or down and the investment products may even become valueless. Past performance is not indicative of future results. The contents above have not been reviewed by the Securities and Futures Commission.